The Market Seen from the Street: Why aren’t the urban plans being densified in Portugal?
Why aren’t existing Urban Plans being densified in Portugal?
The housing crisis in Portugal has become one of the central challenges of contemporary urban planning. Rising demand, limited supply, and high housing prices are making it increasingly difficult for families and young people to find a place to live. Despite urban consolidation, high-rise construction and urban densification remain sensitive topics, facing resistance from various sectors. This raises an inevitable question: why do we continue expanding into rural and peripheral areas when so much potential remains untapped within cities? Ultimately, why aren’t we investing more in these solutions?
The Concept of Urban Densification and Verticalization
Urban densification refers to the more efficient use of urban land by constructing taller buildings and increasing the use of already-infrastructured areas. Verticalization, on the other hand, involves high-rise construction, allowing more people to live in the same urban space. These concepts offer sustainable alternatives to uncontrolled urban sprawl, reducing the need for additional infrastructure and improving land-use efficiency. However, this solution is not universally applicable—it should primarily be considered for medium- and high-density urban centers.
According to key stakeholders and specialists (engineers, architects, real estate developers), urban densification presents both advantages and challenges.
What are the benefits?
Densification and high-rise construction provide several advantages for sustainable urban development and can help address the housing crisis by significantly diluting land costs per square meter. They also optimize urban space by reducing the need to occupy new areas, thereby preserving green zones and natural spaces. Additionally, they promote the efficient use of existing infrastructure, such as roads, sanitation, and public transportation, avoiding additional costs for municipalities.
Another crucial benefit is the containment of urban sprawl, contributing to more orderly city growth. From an environmental perspective, densification reduces car dependency and prevents urban expansion into green and agricultural areas, helping to protect the environment and reduce carbon emissions.
In the housing sector, high-rise construction can increase the supply of homes, making prices more affordable and mitigating housing shortages. Lastly, higher population concentration boosts the urban economy, generating more commerce and services, revitalizing city centers. However, despite these clear advantages, this strategy remains more of an exception than a rule.
What are the challenges and main criticisms?
One of the primary reasons for resistance lies in urban planning restrictions and rigid regulations. Many Municipal Master Plans (PDMs) impose strict limits on building heights, the number of housing units, and construction types, preventing more efficient growth.
Additionally, social and political resistance plays a crucial role. Many people associate increased density with a lower quality of life, increased traffic, and neighborhood character loss, leading many municipalities to hesitate in supporting densification measures for fear of losing electoral support. This is why high-rise construction must be integrated with architectural quality standards and urban identity preservation.
Another significant barrier is the cost associated with rehabilitation and permitting. Renovating old buildings can be significantly more expensive than building on new land and often involves lengthy bureaucratic processes.
Furthermore, not all areas are prepared to support a significant population increase, making it necessary to invest in infrastructure reinforcement to prevent overloading existing systems. A thorough assessment of infrastructure capacity should always be conducted before advancing densification efforts in any given area.
Finally, real estate interests and speculation also influence this equation. For some developers, it may be more profitable to invest in expansion into new areas, acquiring land at low prices that become significantly more valuable once rezoned.
Regulations and Legal Obstacles
Urban planning regulations and Municipal Master Plans (PDMs) impose various restrictions on high-rise construction through different normative instruments. Based on major urban centers, let’s examine the most relevant regulations and how they impact this type of development.
1. General Regulation of Urban Buildings (RGEU)
The 45-Degree Rule: The maximum height of buildings cannot exceed an imaginary 45-degree line projected from the opposite side of the street, significantly limiting high-rise potential.
Distance Between Buildings: The RGEU sets minimum distances between facades to ensure adequate lighting and ventilation, making it difficult to build taller structures in dense urban areas.
2. Municipal Master Plans (PDM) – Lisbon and Porto
Occupancy and Building Indices: PDMs establish construction density limits and land occupation coefficients that can restrict building heights.
Skyline Protection: Some areas have specific restrictions to avoid negative visual impacts on the city’s skyline.
Heritage Protection Zones: Areas such as Lisbon’s and Porto’s historic centers have strict regulations that almost completely prevent new high-rise construction.
View Preservation and Urban Context: In locations of scenic or cultural interest, such as riverfront areas, high-rise construction may be restricted to preserve panoramic views.
3. Lisbon’s Municipal Urbanization and Building Regulation (RMUEL)
Maximum Building Heights: RMUEL defines height limits based on zoning, restricting high-rise construction in specific areas.
Architectural Integration: New buildings must respect the urban and architectural context of their surroundings. In consolidated areas, building heights cannot significantly differ from neighboring structures.
Heritage Protection: In historic and classified zones, high-rise construction is highly restricted or outright prohibited to preserve the city’s architectural identity.
High-rise construction in Lisbon and Porto faces numerous restrictions imposed by local and national regulations aimed at balancing urban growth with heritage preservation and quality of life. While there are strong arguments in favor of verticalization, current regulations tend to favor maintaining existing urban scales, making large-scale high-rise projects difficult to implement.
What Is the Government’s and Political Parties’ Position?
Over recent years, urban densification and high-rise construction have not been clear priorities in government programs. While some parties advocate revising PDMs to facilitate new construction, others warn against urban character loss and real estate speculation. The debate has been marked by a conservative approach, with no significant structural reforms, largely due to concerns over potential electoral backlash.
What Can We Learn from Other European Cities?
While Portugal hesitates, several European cities demonstrate that well-planned densification can make cities more accessible, sustainable, and dynamic.
Rotterdam transformed former port areas into mixed-use, modern neighborhoods, combining housing, offices, and leisure without compromising quality of life.
Copenhagen revitalized underutilized areas like Ørestad, focusing on sustainable mobility and green spaces.
Berlin invested in rehabilitating old buildings and incentivizing densification despite local resistance, ensuring affordable housing.
Barcelona reorganized entire neighborhoods with the "superblocks" concept, promoting housing while enhancing quality of life in denser areas.
Vienna created affordable housing in densified areas through robust public planning and strategic partnerships with the private sector.
These examples show that densification does not have to mean a loss of quality of life—on the contrary, when well-planned, it can lead to urban renewal, greater accessibility, and enhanced sustainability.
Where should we densify in Portugal?
Portugal has several underutilized urban areas with significant densification potential.
In Lisbon:
Lisboa Oriental – Marvila, Beato, and Braço de Prata still contain large industrial and logistics areas ideal for requalification.
Alcântara and Santos – Connected to future sustainable mobility plans (Metro and railway expansion).
Alta de Lisboa – Some mid/high-density buildings exist, but there is still space for residential towers.
In Porto:
Campanhã and Antas – Well-connected to Metro and major avenues, with available space.
Matosinhos Sul and Leça da Palmeira – Growing demand and strong transport links to Porto.
Eixo da Boavista – Already hosts taller buildings and has expansion potential.
Vila Nova de Gaia (near Metro and riverfront, outside the historic center) – Well-infrastructured, with space for larger developments.
Conclusion
High-rise construction can be an effective solution to Portugal’s housing crisis, provided it is well-planned and integrated. With a balanced approach, regulatory revisions, and infrastructure investments, densification can help create more accessible, dynamic, and sustainable cities without compromising urban identity and quality of life.
Best regards,
Gonçalo Carvalho Miguel
