Economic cycles are unpredictable and affect the real estate market differently depending on the type of crisis. Yet, as Gavari’s CEO Juan Merino points out, housing remains a timeless need — “people will always need a roof over their heads.”

Founded in Spain in 2018, Gavari is a real estate management company that focuses exclusively on housing — particularly rental properties, coliving spaces, and student residences — as it sees long-term structural demand in Portugal and Spain. Over the past eight years, the firm has invested around €100 million in ten projects across the Iberian Peninsula.

In early 2025, Gavari began its international expansion in Portugal with a €30 million student residence in Quinta da Caparica, Almada, offering 400 beds and scheduled to open in September 2026. The project, located near major universities, highlights the company’s commitment to addressing the shortage of student accommodation — Lisbon, for example, has one of the lowest availability rates in Europe.

Over the next three years, Gavari plans to invest another €200 million in Portugal and Spain, with Portugal playing a key role through new rental and student housing projects. The company is also analyzing additional investments worth about €45 million and is particularly interested in the cities of Lisbon and Porto.

Gavari aims to focus on student housing, “flex living,” and mid-range rental properties, while avoiding sectors like offices, logistics, or retail. It emphasizes methodical project management to maintain high occupancy rates and strong returns, targeting a gross yield of around 7% in 2025.

Merino does not foresee a real estate bubble in Iberia, expecting instead a price stabilization given the persistent imbalance between demand and supply. Gavari is also considering launching a SIGI (Portuguese REIT) in the future, as the country offers an attractive regulatory environment for this investment vehicle.

Despite political instability, Merino believes Portugal remains a solid and attractive market, with strong economic fundamentals, steady demand, and a clear need for new residential developments. Gavari’s long-term vision gives it confidence to continue investing in the country.