The Spanish real estate market has started 2026 with strong momentum. According to Colliers, investment reached €6.394 billion in the first quarter, a 45.4% increase compared to the quarterly average for 2025 and clearly above the averages of the past five and ten years.
This is no minor figure. In an international environment marked by uncertainty, Spain has once again positioned itself among the most attractive markets for capital. While the Eurozone recorded an average 26% decline in real estate investment, the Spanish market showed far greater resilience, supported by factors such as population growth, economic dynamism, and the strength of tourism.
Spain continues to benefit from very strong demand
Part of the explanation lies in the foundations supporting the market. Spain combines several structural drivers that continue to underpin investment: population growth, changing housing needs, resilient consumption in certain segments, and a tourism industry that remains exceptional.
That does not mean that “anything goes.” Quite the opposite: the market is becoming more selective. Capital is seeking assets with clear demand, adaptability, and value-creation potential. In other words, less indiscriminate investment and more focus on fundamentals.
Living once again becomes the main protagonist
The living segment – encompassing residential assets and other housing-related formats – was the standout performer of the quarter. Colliers places investment at €2.386 billion, representing 127% growth and accounting for 37% of total investment.
Within living, the main driver was multifamily, particularly build to rent (BTR) developments – projects specifically built for rental purposes – which accounted for around 90% of residential investment. The appeal is clear: strong demand, limited supply, and a recurring-income model that remains highly attractive to investors.
Retail and offices return to the spotlight
After several more uneven years, retail and office assets regained momentum at the start of the year.
In retail, investment reached €1.14 billion, an increase of 84.8%. Interest focused primarily on shopping centers and large retail parks, within core+ strategies (relatively stable assets with some room for improvement) and value-add strategies (assets with refurbishment, repositioning, or operational enhancement potential to create value).
In the office segment, volume reached €923 million, up 58.7%, with Barcelona emerging as one of the most active markets of the quarter. Demand centered on assets with strong ESG credentials (environmental, social, and governance standards), prime locations, and repositioning potential, particularly in secondary areas with room for improvement.
Hotels, alternatives, and industrial: more selective, less uniform
The hospitality sector remains important, although its performance was somewhat more moderate than other segments. Investment stood at €811 million, a 24.1% decrease. Even so, investor interest continues to focus on premium assets – both urban and resort-based – and hotels with strong operational cash flow quality.
Alternative assets totaled €782 million, an increase of 18.3%. Two major categories stand out here. On the one hand, healthcare assets – such as senior living facilities and healthcare centers – driven by population aging. On the other, data centers, supported by digitalization trends and Spain’s growing role as a digital hub for Southern Europe.
Meanwhile, the industrial and logistics segment recorded €352 million, down 16.2%. Nevertheless, investor interest remains strong in specific niches such as nearshoring (relocating production closer to end markets), last-mile logistics (distribution close to consumers), and energy-efficient assets.
Where the focus appears to be in 2026
If the start of 2026 makes one thing clear, it is that opportunities remain abundant, but increasingly concentrated in very specific sectors and asset types.
In living, the dominance of multifamily and BTR confirms that rental residential remains one of capital’s main targets. In retail, attention is focused on assets capable of sustaining activity and repositioning. In offices, the market rewards quality, ESG credentials, and adaptability. At the same time, healthcare and data centers continue consolidating their status as long-term investment themes.
The underlying message is clear: the market is not growing uniformly, but rather rewarding assets with the strongest fundamentals and the greatest ability to create value.
A strong market, but a more demanding one
The strong start to the year does not eliminate risks. The international environment remains uncertain, and geopolitical tensions persist. Yet even against this backdrop, Spain continues to hold a relatively strong position within the European real estate market.
The key conclusion is not simply that there is more investment, but how capital is being deployed. The market appears to be moving beyond the “everything goes up” mindset and entering a more demanding phase, where product type, cash flow quality, location, and genuine long-term value creation matter far more.
