Building in Estrela with 436 m²

Building for Sale | Lisbon – Estrela (Madragoa)

Machadinho 24/32 – Renovated Residential Building for Investment

Machadinho 24/32 is a historic building located in the heart of Estrela, one of the most sought-after and valuable areas in Lisbon.

The original façade, protected as part of the city's heritage, is being preserved and restored, while the entire interior is being fully renovated to create eight modern and functional apartments with premium finishes and completely updated infrastructure.

The project is scheduled for completion in March 2026, with all units ready for occupancy.

Why invest in Machadinho 24/32

Prime location

Estrela is one of the fastest-growing and most valuable parishes in Lisbon.

New and high-standard renovation projects in this area are priced between €6,500/m² and €12,000/m², with newly built properties currently reaching around €7,500/m².

Machadinho 24/32 combines heritage, modernity, and a strategic location, offering a competitive price and high potential for profitability and appreciation.

Income and yield potential

The Lisbon real estate market offers an average yield between 5% and 7%, depending on the type and location of the property.

In the case of Machadinho 24/32, considering the rental of the eight planned units — 1 studio (T0), 5 one-bedroom apartments (T1), and 2 two-bedroom apartments (T2) — and the average rental rates in the Estrela area, the estimated yield is as follows:

Estimated Rental Income and Return:

• T0: €1,200/month
• T1: €1,800/month
• T2: €2,500/month
  

Gross Annual Income Calculation: (1 × 1,200 × 12) + (5 × 1,800 × 12) + (2 × 2,500 × 12) = €182,400/year

• Gross Yield: (182,400 ÷ 2,700,000) × 100 = 6.75% per year
• Net Yield (after average operating costs of 20–25%): ≈ 5% – 5.2% per year
• Average Annual Appreciation (Estrela, Lisbon): ≈ 5%
• Estimated Total Annual Return: ≈ 10% – 12% per year 

Additional Advantages

• Capital Appreciation: Estrela has a consistent track record of value growth, driven by limited supply and strong international demand.Purchasing an entire building in this prime location offers protection against inflation and solid medium- to long-term appreciation.

• Rental Flexibility: The units have been designed for medium- and long-term rentals, meeting the growing demand from expatriates and international professionals who value centrality, comfort, and proximity to services, gardens, and public transport.

• Simplified Management: The investor will be the sole owner of a fully renovated building, avoiding the complexities of shared condominium management and enabling a coordinated rental strategy to maximize occupancy and returns.

General Features

• Full renovation with preservation of the historic façade and contemporary interior design
• Functional areas and efficient layouts, equipped kitchens, and custom-made carpentry
• Unit types: 1 studio (T0), 5 one-bedroom (T1), and 2 two-bedroom (T2) apartments
• Premium finishes and brand-new electrical and plumbing infrastructure
• Location: Estrela, Lisbon – near Jardim da Estrela, the Tagus River, public transport, and amenities

Opportunity

Machadinho 24/32 represents an exclusive opportunity for investors seeking a solid asset with predictable returns and continuous value growth.
With a net yield of approximately 5% and annual appreciation potential of up to 6%, this is a secure, profitable, and timeless investment in one of Lisbon’s most prestigious and stable neighborhoods.

Machadinho 24/32 — an investment with soul, built to stand the test of time.

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