Introducing the concept of residential tourism into the public agenda and attracting the attention of media with verifiable data and tangible benefits have been two of the great achievements of the Portuguese Association of Residential Tourism and Resorts (APR). The entity, whose members include 36 of the 40 resorts in the country, has been working for more than ten years to strengthen the sector and position Portugal internationally as a luxury destination. In our recent Arum Talks, APR Managing Director Pedro Fontainhas spoke with our director of marketing and communications, Elodie Casolà, about the origins and the evolution of the Association.
“The term ‘residential tourism’ barely existed within the industry or at the institutional level, but today it is an emerging asset in our government’s 5-year tourism strategy,” stated Fontainhas. He explained that in 2011, several companies dedicated to managing resorts joined together to lobby the government in the context of an economic crisis. What began as a temporary banding together of companies in the high-end hotel industry became, over the subsequent years, a private non-profit organization that includes developers and real estate agents, specialized consultants, lawyers and carefully selected financial institutions as well.
Known as a top lobbyist of the National Tourism Office and the Portuguese Tourism Confederation, the APR has been able to demonstrate that the residential tourism segment generates some 650 million Euros and 4,500 jobs a year, very significant figures in a dynamic sector that expects investments of 1.2 billion Euros in the next five years.
Constant, fluid and constructive communication with different public bodies has allowed the Association to directly influence legislation because before they began their lobby, “our sector’s special needs were not recognized.” And because they can demonstrate their contribution to the economic development and international positioning of Portugal, they have been able to access local and European subsidies.
Because the APR has aimed, since its establishment, to promote the destination of Portugal, it considers its purpose to be akin to a union. Therefore, “the relations between the members are based on trust, the common good, and respect for data confidentiality.” The 25 companies at the top of the resort hotel sector in the country are all represented in the Association and have clear priorities: joint promotion, gaining knowledge through scientific studies and relevant sector statistics, and representing the interests of members with regard to institutions and public opinion. As Pedro Fontainhas explains, “The more relevant we are, the more value our sector will have, and the more we will grow.”
A leader in residential tourism, Portugal is committed to the quality of the villas and apartments offered as second homes in its high-end tourism complexes. It’s a commitment that is aligned with one of today’s trends: the need to create new real estate products for citizens of Northern Europe. These professionals, couples and families have been looking, in recent years, for homes with outdoor space and the advantages and services of a resort. This is a trend we’ve also seen at Arum Group through the sale of Branded Residences for Abama Resort Tenerife, in Spain. Fontainhas attributes this trend to new perspectives developed during and after the pandemic. “Times are changing and we see changes in society. More and more people want to live in a resort permanently, although, unlike before, they now want a more customized product: a place they can spend significant time in and find comfortable.”
With a very competitive offer, Portugal is becoming a consolidated destination for investments in tourism. They plan to continue innovating in the residential tourism sector through the work of entities like the Portuguese Association of Residential Tourism and Resorts, whose excellent model should be analyzed closely by the resort management industry in Spain.
