Visitor Numbers Spur Hotel Construction Boom in Portugal

The buzz about Portugal has been growing in the last few years, but can the country’s upward visitor trend withstand the vagaries of the economy, fuel prices and the exchange rate?

The numbers tell the story. According to the Portugal Tourism Office, the destination saw a 20 percent jump in U.S. visitors in 2007, despite the steadily dropping dollar.

To accommodate the increase in tourism, there are 57 resorts set to open by the end of the decade, effectively doubling the number of hotel rooms in Lisbon alone. Most of the new properties in the capital city will be in the four- and five-star category, offering a testament to the destination’s increased cachet among high-end travelers.

The spike in hotel demand in Lisbon began in 2005, which saw an 8 percent boost in tourism over the previous year.

New Lisbon properties include the CS Palace Gloria in the renovated Palacio dos Lumiares, set to open by 2010, and the La Hotel Lisbon Lanidor on Avenida de Liberdade, to open by the end of 2009.

By 2011 there will be 37 new hotels in the greater Lisbon region, which also includes Estoril, Sintra and Obidos.

Five of those will be situated in Nations’ Park, originally built for Expo ‘98; three on Avenida Almirante Reis; and two on Avenida 5 de Outubro.

The Royal Obidos Golf Resort, with a scheduled opening in 2010 in Obidos, is a $260 million-plus project designed by architects Miguel Saraiva and Costa Lopes. The 230-acre resort will include a five-star hotel, townhouses and an 18-hole golf course.

Next to Lisbon, the region boasting the most hotel growth is Leiria/Fatima, with the construction of five four-star hotels. The number of properties in this area is in direct response to the growth in religious tourism, according to tourism officials.

Porto and the northern regions of Portugal are among the country’s newest hot spots, with a 12 percent growth in lodging that outpaces the national average.