Horizontal property in Portugal: requirements, certificate and permillage

Propriedade horizontal (horizontal property, Portugal’s condominium regime) is the regime that allows a building to be divided into autonomous units (fracções autónomas), each with its own owner, while the common parts are held in co-ownership by all of them. It is only possible when each unit is an independent unit, distinct and isolated from the others, with its own exit to a common part or to the public road. The title that constitutes it (título constitutivo) can only be drawn up with a document from the câmara municipal (municipal council) or, in a building constructed to be sold as separate units, with the approved design.

This guide follows the law in force in November 2026 and is written by people who prepare these processes: the schedule of areas, the permillage and the documents the municipality and the notary ask for.

What horizontal property is

The Código Civil allows the units of a building, where they can constitute independent units, to belong to different owners (Article 1414). Each owner is the sole owner of their unit and a co-owner of the common parts, and the two rights cannot be separated: one cannot be sold without the other, nor can an owner renounce their share of the common parts to stop paying for their upkeep (Article 1420).

The regime also applies to groups of adjoining buildings linked by common parts (Article 1438-A). If you are developing from scratch, see also housing developments: feasibility and legal framework.

Requirements: when a building can be placed under horizontal property

Article 1415 requires the units, besides being independent units, to be distinct and isolated from one another and to have their own exit to a common part of the building or to the public road. In practice, there are four checks.

If these requirements are not met, the constitutive title is null and void, and the building falls under the regime of co-ownership (compropriedade) (Article 1416).

There is a fifth point, less often mentioned: if the title states the purpose of each unit, that purpose must match the one in the design approved by the municipality, or the title is void (Article 1418(3)).

What the constitutive title must contain

The title has two mandatory contents (Article 1418(1)): the specification of the parts of the building that correspond to each unit, so that each is individually identified, and the relative value of each unit, expressed as a percentage or permillage of the total value of the building. It may also contain the purpose of each unit, the condominium rules and an arbitration clause (paragraph 2).

The land, the structure, the roof, the common entrances and stairs and the general installations are always common (Article 1421(1)). Unless the title states otherwise, courtyards and gardens, lifts, and garages and parking spaces are presumed to be common (paragraph 2), and the title may assign common areas to the exclusive use of one owner (paragraph 3). This is why garages, storerooms and terraces must be stated explicitly: if the title is silent, the legal presumption decides.

Permillage: how it is calculated and what it is for

The permillage (permilagem) is the relative value of each unit within the total value of the building, with all of them adding up to 1,000. Unless otherwise provided, the costs of maintaining and using the common parts are shared in proportion to the value of the units (Article 1424(1)), and each owner has as many votes at the general meeting as there are whole units in their percentage or permillage (Article 1430(2)).

The law does not say how it is calculated: Article 1418 only refers to relative value. A common basis is the gross private area (área bruta privativa) of each unit, measured along the outer perimeter and the centre lines of the walls separating it from neighbouring units, as defined in Article 40 of the Código do IMI (the municipal property tax code). Garages, storerooms, outdoor areas or different uses in the same building may justify different weightings. The criterion is decided case by case and should be set down in writing.

A badly set permillage is not easy to correct: changing the title requires the agreement of all the owners, and a court cannot make up for the lack of agreement when the change affects the relative value (Article 1419(1) and (2)).

Setting up horizontal property: the steps

The sequence is the same for a new or an existing building; what changes is where the drawings come from and the document presented to the notary.

The municipal document

The notary can only draw up the constitution of horizontal property if a document issued by the municipal council is attached, proving that the units meet the legal requirements (Article 59(1) of the Código do Notariado, the Notarial Code). This is what is known as the horizontal property certificate (certidão de propriedade horizontal).

In a building constructed to be transferred as separate units, it can be replaced by the approved design and its approved amendments (paragraph 2). This is why, in a new building, the division into units goes into the architectural design from the outset. Portaria n.º 320/2026/1 (a ministerial order) requires, in the full PIP (prior information request), in planning permission and in prior notification, the breakdown of the units and common parts and the relative value of each unit, with a drawing, where horizontal property is intended (Annex V, items 24, 25 and 27).

When the works are finished, the certification request can accompany the prior notification of use (Article 66(3) of the RJUE, the Portuguese legal regime for urbanisation and building, as worded by Decree-Law n.º 108/2026, in force since 1 October 2026). The documents required for the certificate application vary from one municipality to another; check the municipal regulations before preparing the file.

The title and registration

Horizontal property is constituted by legal transaction, adverse possession (usucapião), administrative decision or court decision (Article 1417 of the Código Civil). The usual case is a transaction by the owner, by public deed (escritura pública) or authenticated private document (documento particular autenticado) (Article 22 of Decree-Law n.º 116/2008).

This is followed by land registration (Article 2(1)(b) of the Código do Registo Predial, the Land Registry Code). While construction is unfinished, the entry is provisional by nature (Article 92(1)(b)), which makes it possible to constitute horizontal property for a building under construction.

New building or existing building

If works are needed to meet the requirements, they follow their own procedure: see planning permission or prior notification.

Changing horizontal property once it is constituted

Amending the title requires the agreement of all the owners (Article 1419(1)). As regards the common parts, a court can make up for the lack of agreement if those opposing represent less than 1/10 of the invested capital and the change does not affect the use, the relative value or the purpose of the units (paragraph 2).

Merging adjoining units does not require the authorisation of the other owners; dividing a unit is only possible if the title or the general meeting, without opposition, authorises it (Article 1422-A). Changing the use of a unit to housing also requires no authorisation (Article 1422-B, since 2024). When the change alters the composition or the purpose of the units, the notary requires a municipal document, which is waived if there is an approved design for the adaptation works (Article 60 of the Código do Notariado).

What the architect does

Horizontal property is a legal act, but it rests on technical documents. At the studio we prepare the survey and the check of the requirements, the plans of the units and common parts, the schedule of areas (private, ancillary and uncovered areas for exclusive use), the permillage with a justified criterion and the certificate application. In a new building, these elements go into the planning application; in a building being refurbished, they are part of the urban rehabilitation work.

The notary or the lawyer handles the title and the registration; the architect makes sure that what is written there matches the building and what the municipality approved. Timeframes depend on the state of the building’s documentation, on any works and on the time taken by the municipality, the notary and the land registry.

How much horizontal property costs

The figures for the study are the studio’s indicative values for 2026, excluding VAT. They are not market prices: they are a basis for quoting a specific case.

Example: a building with four residential units and a warehouse, with no up-to-date drawings, comes to about €1,050 + 4 × €350 + €700 = €3,150 + VAT, to which the certificate, the title and the registration are added. In large developments, the cost per unit can come down, because the work is repetitive. On design fees in general, see how much an architectural project costs.

Official sources: Código Civil, Articles 1414 to 1438-A · Código do Notariado, Articles 59 and 60 · Código do Registo Predial, Articles 2 and 92 · Decree-Law n.º 116/2008, Article 22 · Regulamento Emolumentar dos Registos e Notariado, Article 21 · Decree-Law n.º 108/2026 (RJUE, Article 66) · Portaria n.º 320/2026/1, Annex V.

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