Spain increased its share of European real estate investment from 6% in 2019 to 15% in 2025. In doing so, it entered the “top league” of the European market, according to the Spanish Association of Real Estate Consultants (ACI).
ACI explains this by noting that, compared with the main eurozone markets, Spain’s share of real estate investment outperforms the dynamics of Germany (whose share has fallen from 40% to 28% over the past seven years), France (also a decline – from 23% to 18%) and Italy (which increased this indicator, but less than Spain: from 6% to 11%). Thus, real estate consulting companies emphasize “the dynamics of the Spanish market in the European context and its ability to continue attracting investment and contributing to the growth of the Spanish economy”.
They also refer to real estate investment volume of €16.928 billion in 2025, which is 30% more than a year earlier. This figure exceeds €12.012 billion in Italy, although it remains below €20.347 billion in France and €31.008 billion in Germany.
Profitability and investor confidence
In addition, ACI notes that Spain offers attractive returns in real estate. After the record year of 2022 and the rise in interest rates, the adjustment in real estate investment volumes in 2023 was more moderate than in the main European markets (-35% versus -54% in Germany, -46% in Italy or -42% in France), and, starting in 2024, the national market showed a “more intense recovery, consolidating high investment volumes” within the historical series.
Spain still maintains one of the most attractive profiles for investment. In particular, the yield on office assets in 2025 was 4.6% – higher than in Germany (4.3%), France (4.1%), Italy (4.1%) and the United Kingdom (3.9%). At the same time, real estate risk decreased from 2.6% in 2019 to 1.4% in 2025, reflecting investor confidence in the Spanish market.
Which segments attract the most investment
By segment, residential real estate predominates, accounting for 27% of investment in 2025, exceeding the 23% registered collectively in the other analyzed countries. Next come investments in hotel assets (24% of the total compared with 9% in other European markets), reflecting the structural importance of tourism in the Spanish economy and its ability to attract foreign capital.
The remaining real estate market segments are below the average indicators of other European countries. For example, commercial real estate accounts for 15% of investment compared with 17% in Europe, while the gap widens in the case of offices (14% in Spain, 24% in other European countries), as well as logistics and industrial real estate (8% compared with 20%).
