Comporta property development and price evolution

Comporta's development challenges – price evolution

Comporta, once a quiet fishing village on the Alentejo coast, has transformed into one of the most coveted destinations on the luxury property market, not just in Portugal, but globally. This transformation has been accompanied by a significant increase in average property sales prices in the region.

According to the National Statistics Institute (INE), the median value of sales per square metre of family housing in Portugal stood at €1,709 in the third quarter of 2024. Over recent years, we have seen a considerable rise in the average price per square metre of construction, driven by the growing demand for luxury developments in the region.

This shift highlights a clear trend: Comporta is no longer a hidden gem but a hub for high-end property investment. It has become an attractive destination for both national and international buyers in search of exclusivity and an elevated quality of life.

Anyone who has closely followed the price evolution in Comporta will have noticed the significant annual increases. Today, we find ourselves at a peak level, prompting a key question for small, medium, and large property investors alike:

“If I buy now, at the current prices, will I be protected in 5 or 10 years' time and make a profit on resale?”

This has become the ‘million-euro’ question. While predicting the future is challenging, it is possible to analyse the international market and compare the realities of other global tourist destinations.

In this article, we will share a benchmarking study we conducted, using data from Engel & Völkers’ worldwide internet platform. This study examines a comparable high number of new or well-maintained villas for sale, with a focus on asking prices. The sample is intended to be representative of each area’s property market, allowing for meaningful conclusions to be drawn.

Benchmarking the global luxury property market

Several key indicators were selected for this comparative analysis, including house size, number of bedrooms, plot size, average house price, and, of course, the average price per square metre of construction (gross building area).

These indicators provide a comprehensive picture of the luxury property market in various high-end destinations around the world. By comparing Comporta with other well-established luxury markets, we can gain valuable insights into the region’s current position and future potential.

Key findings from the comparison include

• Size of houses: Comporta ranks seventh, with an average size of 345 sqm per house. In comparison, Marbella tops the list with an average of 834 sqm, followed by the Hamptons at 783 sqm. This suggests that while Comporta’s homes may be smaller on average, the focus remains on exclusivity and quality rather than sheer size.

• Number of bedrooms: the average number of bedrooms in a Comporta villa is 4.4, ranking eighth. The Hamptons leads with an average of 7.6 bedrooms, followed by Marbella at 7.2. The size of properties in Comporta is more modest, but still luxurious, with a focus on comfort and elegance.

• Plot size: Comporta has an average plot size of around 5,500 sqm, placing it towards the bottom of the list. The Hamptons remains in the lead with an average of 9,900 sqm, while Ibiza is in second place with approximately 7,200 sqm. While Comporta’s plots are smaller than some of its competitors, they offer privacy and tranquillity in a more intimate setting.

• Average house price: in Comporta, the average price of a villa is around €3.7 million, while in the Hamptons, the average price is close to €18 million. Both the French Riviera and Marbella share similar average prices of €15 million. This highlights Comporta’s growing appeal as a luxury destination, offering a more affordable alternative to some of the world’s most expensive locations.

• Average sale price per square metre of construction: Comporta’s average price is €10,666 per sqm, which ranks it second to last. The French Riviera leads with an average sale value of almost €30,000 per sqm, followed by the Hamptons at around €25,000, and Marbella in third place with approximately €20,000. Although Comporta’s price per square metre is lower than that of other high-end destinations, it still reflects the region’s increasing desirability.

The future of Comporta’s development

Comporta faces several challenges in terms of development, which we have discussed in previous articles. However, if these challenges are overcome, it has the potential to rise sustainably in the global rankings, with improved services, infrastructure, and development strategies.

The trend in Comporta, already evident from the increasing number of visitors coming from competing destinations, is towards larger houses with more private space and an increased number of bedrooms. This aligns with the growing demand for exclusivity and luxury in the region.

Looking at the key indicators from this study, it is clear that Comporta’s journey as a world-class tourist destination is only just beginning. The region still holds significant potential for investors, with ample opportunities for those seeking long-term growth in property value.

The potential for investors

Based on the data from this study, it is clear that Comporta’s path as a luxury destination is still in its early stages. The region’s continued development, combined with its natural beauty and increasing international appeal, means there is considerable potential for small investors looking to capitalise on property value growth over the next ten to twenty years.

While predicting the future remains a challenge, the growth of Comporta as a sought-after location is undeniable. As the area develops with better infrastructure, services, and more luxurious properties, its value will continue to increase, making it a prime location for investment in the years to come.