Real Estate Markets

Markets In Focus

Building Excellence Across Diverse Real Estate Sectors

At Novo Construction, we operate across multiple real estate markets, delivering high-quality, sustainable, and innovative developments that drive economic growth and community transformation. With expertise in residential, commercial, industrial, hospitality, infrastructure, and mixed-use developments, we create long-term value for investors, businesses, and residents alike.

We are currently focusing on the following real estate markets:

UAE

Spain

Portugal

Southeast Asia

MIDDLE EAST

Dubai

Population 10 million
Property transactions in 2022 97,000 (US$ 71.56 billion)
New residential units in 2023 47,700

Dubai is one of the best value global markets for investors, according to the UBS Bubble Index 2022. Prices in Dubai have risen over the past two years, but coming off the back of seven years of price reductions, they remain good value, with average rental yields at a healthy 6.5 per cent.

Dubai has been a net beneficiary of the pandemic and recent global uncertainties and is attracting new residents and investors like never before, and we expect the coming years will be a continuation of these trends.

 

SOUTHEAST ASIA

(Region includes Indonesia, Thailand, Vietnam, Malaysia, Philippines, etc.)

GDP Approximately US$3.6 trillion (combined)
GDP per capita (PPP) Varies significantly across countries (e.g., Singapore ~US$133,000; Indonesia ~US$15,000)
Property Transactions in 2022 Varies by country; combined estimate around 1.5 million

Southeast Asia is one of the fastest-growing real estate markets, with foreign investment playing a crucial role in shaping urban landscapes. Countries like Vietnam and Indonesia are seeing a sharp rise in property transactions due to increased tourism and relaxed foreign ownership laws.

 

EUROPE

Portugal

Porto

Long term rental yield 6 – 8%
Short term rental yield 5 – 7%
GDP per capita (PPP) $42,000

 

Porto, Portugal, presents a compelling case for real estate investment, offering a blend of affordability, growth potential, and strategic advantages. Here’s an overview highlighting key factors:

  • Capital Gains & Rental Yields: Investors in Porto can anticipate substantial returns. As of 2024, rental yields in Porto stood at 5.9%, surpassing Lisbon’s 5.2%.
  • Affordable Property Prices: Porto remains one of the more affordable cities in Western Europe. In 2024, the median property price was €1,472 per square meter, reflecting a 13.2% year-over-year increase.
  • Consistent Price Appreciation: Portugal’s real estate market has demonstrated steady growth. House prices rose by 4.9% in 2015, 5.7% in 2016, 7% in 2017, 9.7% in 2018, 11.7% in 2019, 6% in 2020, 11.2% in 2021, and 13.5% in 2022. In 2023, house prices continued to increase, albeit at a slower pace of 5.4%.
  • Infrastructure Development: Porto is experiencing significant infrastructure enhancements, including urban renewal projects and transportation improvements, further boosting its appeal to investors.
  • Economic Stability: Portugal has enjoyed consistent GDP growth, averaging around 4% per annum over the past decade, underscoring the country’s economic resilience.
EUROPE

Spain

Málaga

GDP €220 billion (Andalusia)
GDP per capita (PPP) €25,000
Population

580,000 (Málaga city)
New residential units in 2023

8,200

 

  • Capital Gains & Rental Yields: Málaga has seen strong property appreciation, with average home prices rising by 8% year-over-year. Rental yields range between 4-7%, with higher returns in short-term tourist rentals.
  • Affordable Prices Compared to Madrid/Barcelona: The average property price is €2,700/m², which is lower than in major Spanish cities, attracting foreign investors.
  • Increasing Prices: Property prices have consistently increased over the past decade, fueled by international demand and tourism growth.
  • Residency Permits: Non-EU investors can obtain a Golden Visa by purchasing property worth €500,000+, granting residency rights.
  • Infrastructure Growth: Málaga is expanding its metro system and airport capacity, making it a key business and tourist hub.
  • Economic Strength: Málaga benefits from strong tourism, a booming tech sector, and a growing international expatriate community.