This Spanish real estate market just set a new record in the first half of the year. Investment reached 9,870 million euros, a figure that points toward doubling the volume compared with the same period in 2021, as reported by CBRE, a leading real estate consultancy. The numbers reflect the strongest data since records began, underscoring a robust appetite from investors in Spain.
Analysts highlight the retail sector as the magnet for capital, drawing roughly 2,900 million euros, nearly 30 percent of the total. That segment is eight times higher than in the first half of the previous year, signaling a broad-based confidence in commercial assets. A standout transaction driving much of this momentum involved BBVA’s repurchase of more than 630 former Merlin branches for about 2,000 million euros, a move that amplified activity in the market.
Housing space follows closely, receiving about 2,400 million euros in investment, about a quarter of the total. The trend shows appetite for multifamily homes, rental housing, and purpose-built accommodations, with investors increasingly eyeing dormitories and similar living arrangements as long-term opportunities. Although owner-occupied properties remain appealing, rental assets are gaining traction on a global scale as operators expand portfolios to cover living environments that combine convenience with community amenities.
Taken together, commercial and residential properties account for more than half of Spain’s real estate investment. The hotel segment recorded a five-year high for the first half of the year with around 1,650 million euros, while the logistics and industrial sector reached about 1,175 million. Office buildings continue their ascent, contributing 1,000 million euros and expanding their share by roughly 27 percent. The alternative sector, including healthcare and senior living facilities, stood at about 600 million with numerous transactions reported worldwide, underscoring diversification across asset classes.
CBRE’s research director for Spain, Miriam Goicoecheanevertheless, notes that macroeconomic volatility could alter momentum in the second half of the year. The current market fluctuations warrant close monitoring of investment activity as the year progresses, highlighting potential shifts in capital flows depending on economic conditions and policy responses.
house price rises
AI-driven forecasts from CBRE at late May suggested a 3.6 percent rise in house prices for the year, with new construction expected to grow about 4.4 percent and existing homes around 3.4 percent. Through March, the Registration College indicated the housing sector had already grown more than 10 percent year over year. At the start of the year, the average Spanish house price stood at 1,911 euros per square meter, with Catalonia among the more expensive markets at about 2,391 euros per square meter.
Regardless of price increases, CBRE stresses that this pattern should not be interpreted as a housing bubble. The sector remains in a phase of strong activity, not a speculative peak. The real estate market is said to be in a favorable cycle, with 2021 representing a period of heavy deal flow and 2022 expected to continue in that vein. As demand outpaces supply in many parts of the country, the outlook for livability and sustained investment remains favorable, suggesting substantial growth potential in Spain’s housing market for the near term.