Chiado neighborhood is one of the most exquisite, elegant and bohemian areas in Lisbon. Placed between Príncipe Real and Baixa, here most of the buildings are palaces dating from the 1700s, sporting beautiful facades, surrounded by stunning plazas and cultural places.
In 1988, a massive fire stroked in the famous commercial shopping center of Armazéns do Chiado and many of the buildings in this area were in ruins. It took 10 years to establish this area again and all the damaged properties went through a severe process of renovation. This renovation project was carried out by the architect Álvaro Siza Vieira, who decided to keep the buildings’ old façade, and now the district is richer than ever. To the present-day, it features the highest real estate prices in Lisbon and in Portugal.
So, if you are wondering how does this neighborhood look like nowadays just picture the famous “Belle Époque”. It is a lively cosmopolitan ambiance, with every corner flashing back to the late 19th and early 20th centuries, with its vintage, well-known cafes such as A Brasileira, where the writer Fernando Pessoa was immortalized with a sculpture on the terrace, and with its renowned theaters and museums. All of this combined and we can surely understand that this neighborhood is considered one of the most expensive districts in Lisbon.
And why is it called Chiado, you may wonder. Once referred only to the busy Garret street it is now mentioned to name all of its surrounding areas, forming the center of commerce for Lisboners. However, the name itself “Chiado” remains a bit unknown, with most of the definitions leaning to the meaning of a “Squeak”. The term, although not a unanimous description, refers to the sounds made by the stone streets.
What to Do and Visit
Chiado is also always in vogue. It is a gathering point for everyone, whether for a coffee or an afternoon of shopping. This neighborhood attracts both residents and tourists, and it is extremely sought after for sight-seers, casual strollers and shoppers. With a mix of antique shops and designer stores, Chiado has been a desired place not only for the best Portuguese brands and international logos but also for trendy restaurants and small business, formed after the recent crisis.
Thus, if you want to spend a whole day in Chiado you will see that there are a lot of different things to do in this area, and yes, time does fly when you are having fun. So, if you need a little help to get to know this neighborhood make sure you pay close attention to our recommendations.
Start the day by heading to the multi-story mall of Armazéns do Chiado to do some shopping. Stop by a quick treat at Santini, a famous ice-cream shop with fresh, delicious ingredients and as you would prefer, before or after the dessert, have a delicious meal in Bairro do Avillez, where the Portuguese and international cuisine is at its best. Then, why not buy some croissants at the famous Benard pastry or maybe a couple of pastéis de Nata at Manteigaria to bring back home? Visit the historic Convento do Carmo, which was ruined in the 1755 earthquake but has been allowed to stand, and is now the site of an archaeological museum. And, last but not least, finish the day with a fresh beer at Miradouro do Adamastor and enjoy one of the most beautiful views in Lisbon.
Very important notice: make sure you use comfortable shoes because Chiado is filled with up and down streets, and you are going to be walking a lot, especially on a gorgeous sunny day.
The Real Estate Market
So, if you are already fascinated by this multicultural scenario and you are interested in knowing how the real estate market stands in this luxurious district, here are a few market insights. And, who knows, maybe sooner than later you are calling Chiado your new home.
First, you should know that, equal to other similar European capitals, the most expensive districts are usual in the center of town. Hence, the parish of Santo António (where Chiado is situated) and the Avenida da Liberdade area are the two most expensive areas in Lisbon. A study by Confidencial Imobiliário, which collects data on the real estate sector, registered that, in the year of 2017, this two were the zones with the highest prices in Lisbon of all times, with Chiado holding prices between 6.500€ and 9.000€ per square meter just ahead of Avenida da Liberdade with 6.000€ to 9.000€ p/sqm.
With the Worldwide emergence from recession, tax incentives to foreign countries as well as attractive schemes for non-European citizens, such as the Portuguese Golden Visa Program, the demand in tourism increased exponentially, which consequently put Portugal on the map for international investors. And where do you think these investors are going to look first when it comes to buying a rentable property? You guessed it: in the most popular areas, being Chiado one of them.
Chiado is already a very consolidated zone, especially focused on the international market, and with most of the real estate deals being from foreigners with an emphasis on the high-end and luxury segment. To give you a perspective, during the past few years international buyers represented around 20% of the total transactions. Similarly, Chiado, Avenida da Liberdade and the surrounding areas such as Bairro Alto, Santos and Cais do Sodré accounted for more than half (57%) of the 1.100 acquisitions from foreign, private buyers carried out in the Urban Rehabilitation areas in Lisbon. These Urban Rehabilitation areas cover the parishes of São Vicente, Santa Maria Maior and Misericórdia (part of which is Chiado, among other neighborhoods) and captured around €893 million in 2017 alone. This equates to an average selling rate of one house per day. A pretty popular neighborhood, let’s just say.
The tourism in Portugal is still booming, and apart from the Golden Visa program and tax benefits, the demand for Portugal as a destination to live, study and work is growing significantly. Chiado is and it will be a highly requested area for real estate investment – in the last quarter of 2017 it increased 10% more compared to the same period of the previous year. Consequently, housing prices are and will continue to be very competitive. Due to its privileged location and all of its intakes, this district accounts for numerous investment properties with a high rental yield.
So, if you’re still keen to move to Portugal and have your fantastic place in the sun and invest in this beautiful country and famous neighborhood of Chiado, we are waiting for you.