For sale - Commercial property - Santo António das Areias - Marvão

International Investment Opportunity in Portugal
This remarkable 3‑floor property in Marvão represents a rare chance to combine lifestyle and business in one of Portugal’s most iconic medieval villages. Set on a 396 m² plot, with 328 m² gross area and 295 m² usable space, the residence offers 5 spacious bedrooms, 4 bathrooms, 2 kitchens, a bar, garage, attic, and outdoor leisure areas — all fully furnished and ready to use.

Key Features
• 5 bedrooms, 4 bathrooms, 2 kitchens
• Fully furnished, excellent condition
• Outdoor leisure spaces with barbecue and social areas
• Quiet location with good access
• Energy class: D
• Sale price: €460,000 (furniture included)

Strategic Investment Potential
For international buyers, this property is more than a home — it is a gateway into Portugal’s booming rural tourism sector. Its layout makes it ideal for conversion into a Guest House, boutique hotel, or vacation rental, offering multiple income streams.
Why Marvão is a smart choice:
• Tourism demand: Marvão is one of Portugal’s most visited medieval towns, attracting global travelers year‑round.
• Cross‑border appeal: Located near the Spanish border, it draws visitors from both Portugal and Spain, expanding your client base.
• Cultural magnet: Festivals, cultural events, and authentic Alentejo experiences ensure steady occupancy.
• Market growth: Rural tourism in Portugal is experiencing strong demand, with rising property values and high ROI potential.

Investor Advantage
At €460,000, this property offers entry into the luxury rural market at an accessible price point, combining lifestyle enjoyment with solid investment fundamentals. With Portugal’s reputation for safety, stability, and growing tourism, international investors can expect long‑term appreciation and reliable rental yields.
ROI Potential
• Guest House Conversion: With 5 bedrooms, 4 bathrooms, and 2 kitchens, the property can be adapted into a boutique Guest House with 6–8 rentable units.
• Average Daily Rate (ADR) in rural Portugal: €80–€120 per room (depending on season and amenities).
• Occupancy Rate: Rural tourism in Alentejo averages 55–70% annually.
• Projected Gross Revenue:
• At €100 ADR × 6 rooms × 60% occupancy → ~€131,400 per year.
• At €120 ADR × 8 rooms × 70% occupancy → ~€245,280 per year.
• ROI Estimate: Between 12–18% annually, depending on management efficiency and marketing strategy.

⚖️ Risk Analysis
• Market Risk: Tourism demand can fluctuate with economic cycles, but Portugal’s rural tourism sector has shown steady growth.
• Seasonality: Higher occupancy in spring/summer; lower in winter. Diversifying with cultural events and cross‑border Spanish visitors mitigates this.
• Operational Risk: Requires professional management, licensing, and marketing to achieve target occupancy.
• Regulatory Risk: Compliance with local hospitality laws and guest house licensing is essential.
• Currency Risk: For international investors, euro fluctuations may impact returns when converted to home currency.

Financial Plan (at request)
Initial Investment: €460,000 (purchase price, furniture included).
Conversion Costs: €40,000–€60,000 (minor renovations, branding, licensing, marketing setup).
Total Capital Outlay: ~€500,000.
Revenue Streams:
• Guest House nightly stays
• Vacation rentals (Airbnb/Booking.com)
• Event hosting (small retreats, cultural stays)
Operating Costs (annual):
• Staff & management: €40,000–€60,000
• Utilities & maintenance: €15,000–€20,000
• Marketing & booking fees: €10,000–€15,000
Net Operating Income (NOI):
• Conservative scenario: ~€60,000–€80,000 per year
• Optimistic scenario: ~€120,000–€150,000 per year
Payback Period: 4–7 years depending on occupancy and pricing strategy.