Planning Due Diligence

The main amendments to the RJUE introduced by Decree-Law 108/2026 are scheduled to enter into force on 1 October 2026 following the postponement enacted by Decree-Law 155-B/2026.

The acquisition and planning strategy must therefore distinguish between:

• the legal position applicable to investigations and submissions made before that date
• procedures expected to be initiated on or after that date
• and existing procedures potentially affected by the transitional rules.

Due diligence completed before 1 October 2026 should be updated before relying on a planning route, filing a procedure or entering an unconditional construction commitment after that date.

See Decree-Law 108/2026 and Decree-Law 155-B/2026.

At the end of planning due diligence, the investor should be able to choose between:

Proceed

The core planning assumptions are supported and no unresolved issue is expected to prevent the intended project.

Proceed with conditions

The project appears viable, but completion or further investment should depend on defined evidence, approvals or corrective action.

Reprice or redesign

The property may remain suitable, but the verified development envelope, cost, use or programme differs materially from the original appraisal.

Restructure the transaction

The project should proceed through an option, conditional acquisition, phased completion, share transaction, development agreement or another appropriately reviewed structure.

Pause

Critical information or authority positions are missing.

Withdraw

A planning, legal, physical or infrastructure issue makes the intended project unavailable or commercially unacceptable.

The report should provide a reasoned recommendation rather than leaving the reader with an unranked list of documents.

INTERACTIVE MODULE

Build the due-diligence scope

Define what the transaction depends on before deciding which documents and investigations are material.

What are you acquiring?

SELECT ONE

• Undeveloped land
• Existing building
• Development site
• Approved project
• Subdivision
• Construction in progress
• Completed development
• Operating property
• Shares in a project company
• Mixed portfolio

What does the investment require?

SELECT ALL THAT APPLY

• Existing lawful residential use
• Change of use
• New construction
• Rehabilitation
• Extension
• Demolition and reconstruction
• Multiple units
• Subdivision
• Tourism development
• Commercial operation
• Industrial or logistics use
• Construction finance
• Unit sales
• Long-term operation
• Planning-led resale

What must be confirmed?

SELECT ALL THAT APPLY

• Property boundaries
• Legal access
• Existing building area
• Authorised use
• Development capacity
• Valid PIP
• Valid licence or communication
• External approvals
• Infrastructure capacity
• Ability to start construction
• Ability to complete and use
• No enforcement proceedings
• No material planning liabilities
• Transferability to the buyer

Transaction stage

SELECT ONE

• Initial opportunity
• Non-binding offer
• Exclusivity
• Due-diligence period
• Promissory contract
• Finance approval
• Pre-completion
• Post-acquisition review

PRIMARY CTA

Create my due-diligence plan

Suggested result

YOUR PLANNING DUE-DILIGENCE SCOPE

• Critical investment assumptions
• Documents required
• Municipal investigations
• Site inspections and surveys
• External-authority checks
• Specialist advisers
• Critical contractual protections
• Recommended sequence
• Target completion date
• Outstanding information

RESULT CTA

Build the planning data room

Tool disclaimer: This tool provides preliminary organisational guidance only. The scope must be adapted by appropriately qualified professionals to the transaction, property, project and applicable law.

The investigation should test the assumptions on which the price and investment decision were based.

Record the required:

• use
• construction area
• saleable or lettable area
• number of units
• height
• parking
• access
• infrastructure
• planning route
• approval date
• construction-start date
• completion date
• and exit strategy.

For each assumption, state:

• minimum acceptable outcome
• preferred outcome
• evidence required
• responsible adviser
• verification deadline
• and consequence if not confirmed.

Example

ASSUMPTION

The site supports 8,000 square metres of residential construction.

MINIMUM ACCEPTABLE OUTCOME

At least 7,200 square metres of above-ground residential construction.

EVIDENCE REQUIRED

Planning review, measured boundary, applicable plan calculations and, if required, a favourable PIP.

CONSEQUENCE OF FAILURE

Price adjustment, redesign, extension of the due-diligence period or termination.

A planning report that does not test the investment assumption may be legally informative but commercially incomplete.

An initial screen may identify a planning category or potential constraint.

Due diligence must verify:

• the correct property
• the current legal instrument
• the complete written and graphic rules
• the relationship between the map and the surveyed boundary
• the municipal history
• the lawful existing position
• external-authority requirements
• and the consequences for the proposed project.

Screening conclusion

“The property appears to be in urban land.”

Due-diligence conclusion

“The surveyed property is affected by two planning categories. Residential use appears permissible in one category, subject to the stated parameters. The remaining area is subject to separate restrictions and has not been included in the development calculation. Confirmation through a PIP is recommended before the acquisition becomes unconditional.”

The second conclusion is capable of supporting a decision.

The data room should be organised by subject rather than by the order in which documents are received.

Folder 01 — Transaction and project

• heads of terms
• offer
• exclusivity agreement
• promissory contract
• draft acquisition agreement
• proposed project brief
• investment memorandum
• financial model
• area schedule
• development programme
• and finance requirements.

Folder 02 — Property and ownership

• current Land Registry certificate
• acquisition title
• tax record
• cadastral information
• property plans
• ownership history
• registered rights and charges
• easements
• leases
• occupation agreements
• boundary agreements
• and pending registrations.

The official permanent Land Registry certificate provides current registrations and pending registration requests concerning the property. See the official property-certificate service.

Folder 03 — Surveys and physical information

• topographical survey
• boundary survey
• measured-building survey
• aerial photography
• utility survey
• tree survey
• geotechnical information
• contamination reports
• drainage information
• and site photographs.

Folder 04 — Territorial planning

• PDM regulations
• PDM ordering plan
• PDM constraints plan
• PU
• PP
• special programmes
• amendments
• suspensions
• protective measures
• municipal regulations
• and planning-capacity calculations.

Folder 05 — Municipal history

• construction licences
• prior communications
• architectural approvals
• PIPs
• approved drawings
• specialist-project records
• extensions and amendments
• demolition records
• use documents
• inspection records
• completion documents
• municipal correspondence
• fee receipts
• and enforcement or legalisation files.

Folder 06 — Subdivision and urbanisation

• subdivision title
• approved subdivision drawings
• amendments
• plot schedule
• urbanisation projects
• infrastructure agreements
• public-land transfers
• guarantees
• provisional acceptance
• final acceptance
• and outstanding works.

Folder 07 — External authorities

• RAN decisions
• REN procedures
• environmental decisions
• water-resource titles
• coastal decisions
• nature-conservation opinions
• heritage opinions
• archaeological reports
• road or railway approvals
• airport or aviation approvals
• fire-safety documents
• tourism opinions
• and infrastructure-operator responses.

Folder 08 — Design and construction

• current architectural project
• specialist projects
• professional appointments
• terms of responsibility
• contractor agreement
• construction programme
• site records
• variations
• inspection reports
• and insurance.

Folder 09 — Completion and operation

• completion declarations
• testing and commissioning
• energy certification
• fire-safety documentation
• acoustic evidence
• infrastructure acceptance
• use-related documents
• tourism classification
• operating licences
• and property-registration updates.

Folder 10 — Questions and findings

• document-request list
• questions to the seller
• questions to the municipality
• authority enquiries
• missing documents
• assumptions
• finding register
• and closing requirements.

For each document, record:

• title
• issuing entity
• document date
• effective date
• expiry date
• property or project covered
• version
• whether complete
• whether signed
• whether registered
• whether still valid
• whether it has been amended
• whether conditions remain outstanding
• and which investment assumption it supports.

Document status

Use:

• Received and verified
• Received but incomplete
• Received but inconsistent
• Superseded
• Expired
• Missing
• Seller confirmation only
• Authority confirmation required
• Not applicable

A file name such as “Approved Project Final” is not evidence that the document is final or approved.

The first request should be structured and proportionate.

Ask the seller to:

• identify every property included in the transaction
• provide current registry and tax documents
• identify all planning procedures
• provide complete municipal references
• disclose alterations to existing buildings
• disclose changes from approved plans
• provide all external decisions
• identify disputes and enforcement
• disclose unpaid municipal fees
• identify infrastructure obligations
• provide authority correspondence
• identify pending applications
• provide access for surveys
• authorise municipal and authority enquiries where required
• and confirm whether any relevant document has been withheld.

Seller knowledge is not verification

A seller’s statement can assist the investigation, but it does not replace:

• official documents
• independent survey
• municipal records
• or authority confirmation.

The acquisition documents should determine the legal effect of seller statements, disclosures and omissions.

The municipal file is one of the central components of planning due diligence.

It may show:

• original approval
• later amendments
• approved drawings
• conditions
• specialist projects
• inspections
• complaints
• enforcement
• demolition
• legalisation
• completion
• and recognised use.

Obtain the complete history

Do not request only the latest drawing.

Ask for or investigate:

• every relevant procedure number
• archived paper files
• linked subdivision files
• related property references
• previous applications
• rejected or withdrawn projects
• amendments
• and enforcement records.

Access and confidentiality

Access to administrative documents is governed by the applicable legal framework, including Law 26/2016, and may be subject to rules concerning legitimate access, personal data, confidential information and procedural status.

Seller cooperation or authorisation may be required in practice for an efficient and complete review.

See Law 26/2016 on access to administrative documents.

Record what was unavailable

If the municipality cannot locate part of the file, state:

• what was requested
• what was provided
• what remains missing
• why the missing item matters
• whether alternative evidence exists
• and what protection is required.

Absence from the file does not automatically prove either legality or illegality.

Prepare a chronological schedule containing:

• application date
• applicant
• property reference
• proposed works
• procedure
• submission version
• requests for additional information
• external consultations
• approvals
• conditions
• fees
• construction commencement
• extensions
• amendments
• inspections
• completion
• use
• enforcement
• and expiry.

The chronology should identify gaps and contradictions.

Example

1998

Initial residential construction approval.

2002

Approved extension.

2008

Physical enclosure of terrace; no corresponding approval located.

2016

Change of internal configuration shown in tax information.

2022

Planning application withdrawn.

2025

Seller-commissioned survey includes the terrace as internal area.

DUE-DILIGENCE CONCLUSION

The original building and 2002 extension appear supported. The enclosed terrace remains unverified and should not be treated as lawful internal area unless additional evidence or a successful legalisation procedure is obtained.

The investigation should identify the building, works and use that can be supported by appropriate evidence.

Potential evidence may include:

• construction title
• approved drawings
• valid prior communication
• municipal certification
• use documentation
• historic records
• evidence that the building pre-dates the applicable control requirement
• and other legally relevant documents.

The required evidence depends on:

• construction date
• location
• legislation then in force
• municipal boundaries at the time
• later alterations
• and current intended use.

Age does not prove legality

Do not assume that a building is lawful because it:

• appears on old aerial photography
• has existed for decades
• is registered for tax
• is connected to utilities
• has been sold before
• is insured
• or has an energy certificate.

Those facts may be relevant evidence but do not replace the complete legal analysis.

Commission a measured survey and compare it against the legally recognised documents.

Review:

• location
• implantation
• footprint
• construction area
• number of floors
• height
• façades
• windows and doors
• balconies
• terraces
• basements
• attics
• annexes
• garages
• pools
• retaining walls
• internal units
• common areas
• and use.

Classify every difference

• No material difference
• Measurement tolerance requiring confirmation
• Internal change
• External alteration
• Additional construction
• Change in use
• Change in units
• Encroachment
• Work potentially exempt from procedure
• Work requiring legalisation
• Work potentially incapable of legalisation

The architect, surveyor and lawyer should use the same comparison schedule.

The caderneta predial provides fiscal information concerning the property.

It may show:

• tax article
• location
• registered owner for tax purposes
• areas
• use description
• age
• and taxable value.

The official service is available through the Portuguese Tax Authority property-record portal.

Differences between the tax record and planning documents should be investigated.

The tax record may need updating, but an update does not legalise an unauthorised planning situation.

Decree-Law 10/2024 removed the obligation to exhibit or prove the existence of the housing technical file and use authorisation when transferring urban property.

This simplification of transaction formalities does not confirm that:

• the building is lawful
• the current use is permitted
• the physical property matches approved plans
• or the buyer’s intended project is available.

The absence of a document from the mandatory completion formalities makes independent investigation more important, not less important.

See Decree-Law 10/2024.

Identify the legally recognised use of each:

• building
• unit
• floor
• annex
• external area
• and operational component.

Compare it with:

• current occupation
• leases
• tax record
• business operation
• insurance
• marketing materials
• and intended future use.

Common inconsistencies

• Residential space used as offices
• Storage used as accommodation
• Garage converted into internal living area
• Agricultural building used for tourism
• Retail premises used as a restaurant
• One authorised unit physically divided into several units
• Basement marketed as a bedroom
• Common area occupied exclusively
• Tourism operation without the required classification or registration

Each inconsistency should be assessed under both planning and activity-specific rules.

Planning due diligence should independently reconstruct the development calculation.

Do not rely only on:

• the seller’s architect
• a marketing brochure
• an old appraisal
• an expired PIP
• a concept plan
• or a neighbouring development.

Confirm:

• surveyed property area
• applicable planning categories
• calculation area
• permitted uses
• construction index
• implantation
• impermeability
• height
• floors
• density
• units
• parking
• setbacks
• public land
• infrastructure
• and existing lawful area.

Reconcile four area schedules

The project should distinguish between:

1. planning area;

2. construction area;

3. saleable or lettable area;

4. area used in the financial model.

They should be linked but not treated as interchangeable.

Downside calculation

Where an interpretation is uncertain, model:

• preferred case
• reasonable base case
• reduced-capacity case
• and failure case.

The acquisition price should not depend solely on the most optimistic interpretation.

For each PIP, licence, communication or approval, confirm:

• applicant
• property covered
• scope
• approved or submitted project
• decision date
• conditions
• external consultations
• validity
• extension
• amendments
• fees
• outstanding requirements
• and transfer or reliance position.

A decision title is not enough

Review the drawings, conditions and supporting documents forming part of the decision.

Check project consistency

Confirm that the project used in:

• the financial model
• valuation
• lender package
• construction budget
• marketing
• and acquisition negotiations

is the same project covered by the planning decision.

Check expiry risk

Record:

• current expiry date
• extension mechanism
• deadline for action
• responsibility for extension
• consequence of expiry
• and whether the transaction timetable is realistic.

If the seller states that a work or building was exempt from planning control, request:

• legal basis
• construction date
• location at the relevant time
• description of the work
• supporting evidence
• professional opinion
• and municipal confirmation where appropriate.

“Exempt” can mean different things:

• exempt from licence
• exempt from prior communication
• exempt because of age
• exempt under a special regime
• or allegedly exempt without supporting evidence.

Even where procedural exemption is established, compliance with substantive planning and technical rules may still require analysis.

Investigate whether the property is affected by:

• municipal complaints
• inspection
• embargo
• stop-work order
• demolition order
• corrective-work order
• administrative offence proceedings
• unpaid fines
• legalisation procedure
• litigation
• neighbourhood dispute
• or authority correspondence.

Legalisation is not guaranteed

An existing breach may be capable of legalisation only if:

• the applicable legal conditions are met
• the required professional evidence can be produced
• external authorities accept the position where necessary
• corrective works are completed
• and the municipality approves or accepts the relevant procedure.

Quantify the exposure

Record:

• area affected
• use affected
• corrective works
• professional costs
• fees and penalties
• programme impact
• operational disruption
• finance impact
• and demolition exposure.

The issue should then be reflected in the transaction structure.

For a plot within a subdivision, verify:

• valid plot creation
• plot boundaries
• permitted use
• construction area
• implantation
• height
• unit numbers
• parking
• infrastructure
• public land
• amendments
• and current title.

Also investigate:

• whether urbanisation works are complete
• provisional acceptance
• final acceptance
• outstanding defects
• guarantees
• unpaid municipal obligations
• incomplete phases
• and disputes between the developer, municipality and infrastructure operators.

A building plot can be legally created while still depending on incomplete infrastructure or unresolved subdivision obligations.

For every external decision, confirm:

• correct project
• correct property
• competent authority
• legal basis
• issue date
• validity
• conditions
• monitoring
• mitigation
• transferability
• and whether later project changes invalidate or require revision of the decision.

Potential decisions include:

• RAN
• REN
• water resources
• coast
• environmental assessment
• Natura 2000
• heritage
• archaeology
• fire safety
• road access
• railway
• aviation
• tourism
• health
• energy
• and industrial licensing.

Conditional opinions

Extract every condition into the project register.

Do not describe an opinion as favourable without stating material conditions.

Request written information from the relevant operators where the project depends on:

• water
• wastewater
• stormwater
• electricity
• gas
• telecommunications
• road access
• or other infrastructure.

Confirm:

• connection point
• current capacity
• reinforcement
• off-site works
• easements
• responsible party
• security
• cost
• and timing.

Seller estimates

A seller’s budget for infrastructure should be identified as an estimate unless supported by:

• operator information
• engineering
• accepted quotation
• or contractual commitment.

Document review should be supported by an appropriate site inspection.

The inspection team may include:

• architect
• surveyor
• engineer
• environmental consultant
• heritage specialist
• project manager
• and legal adviser where useful.

Inspect:

• boundaries
• access
• occupation
• buildings
• extensions
• adjoining uses
• watercourses
• slopes
• vegetation
• utilities
• road connections
• signs of flooding
• instability
• contamination
• construction
• and evidence inconsistent with the documents.

Record limitations

State:

• areas not accessed
• concealed elements
• unavailable keys
• unsafe zones
• seasonal limitations
• and matters outside the inspector’s expertise.

A share acquisition requires both property-level and company-level investigation.

In addition to the property, review whether the project company:

• owns the relevant assets
• is the applicant or holder of planning procedures
• entered development agreements
• provided guarantees
• has unpaid municipal obligations
• made representations to authorities
• is involved in disputes
• engaged project professionals
• owns or may use the designs
• and can continue the project after the change of control.

Also check whether:

• finance documents restrict change of control
• public agreements require consent
• grants or incentives are affected
• warranties from contractors or consultants remain available
• and the seller retains any essential project right.

Acquiring the company does not cure defects in the underlying planning position.

A due-diligence finding should lead to a decision or protection.

Condition precedent

Use where completion should not occur unless a defined event happens.

Examples may include:

• favourable PIP
• planning approval
• extension of an approval
• legalisation
• infrastructure confirmation
• discharge of enforcement
• or delivery of a required authority decision.

Seller covenant

Use where the seller must perform an action before or after completion.

Examples may include:

• provide documents
• maintain an approval
• refrain from changing the project
• cooperate with a planning procedure
• complete corrective works
• or obtain a specific certificate.

Representation and warranty

Use to allocate risk concerning stated facts, subject to applicable negotiations and legal review.

Specific indemnity

May be considered for a known, identifiable exposure where ordinary warranties are insufficient.

Price adjustment

May be linked to:

• verified construction area
• unit numbers
• infrastructure cost
• legalisation cost
• or another measurable planning outcome.

Retention or escrow

Part of the price may be retained pending resolution of a defined issue.

The mechanism, release conditions and enforcement must be clearly documented.

Long-stop date

Set a final date for satisfaction of planning conditions.

Allow for:

• authority timing
• appeals
• extensions
• seller cooperation
• and consequences of failure.

Termination right

Define whether the investor may withdraw if a critical result is not achieved.

Access and cooperation

The buyer may require rights to:

• survey the property
• access the municipal file
• meet authorities
• prepare a PIP
• submit an application
• and use project documents before completion.

These rights should be documented rather than assumed.

Between initial review and completion, the seller or project team should not make unapproved changes to:

• the property
• boundaries
• occupation
• leases
• project design
• planning procedures
• authority submissions
• construction contract
• professional team
• infrastructure
• or project company.

Require notification of:

• new authority correspondence
• complaints
• inspections
• deadlines
• adverse decisions
• project revisions
• and changes in applicable plans.

The due-diligence report should be updated if the factual or legal position changes materially.

The lender and valuer should receive the same verified planning information used by the investor.

Reconcile:

• property boundary
• lawful existing area
• development area
• use
• unit schedule
• parking
• approval status
• construction programme
• infrastructure
• conditions
• and expiry dates.

Avoid parallel planning cases

Do not use:

• one area schedule for the seller
• another for the lender
• and a third for the investment committee

without explaining the differences.

Lender reliance

Determine whether advisers’ reports:

• may be disclosed
• may be relied upon
• require reliance letters
• contain liability caps
• or need to be updated.

Valuation assumption

If the valuation assumes planning approval that does not yet exist, that assumption should be express.

Use four levels.

Green — Confirmed

The required evidence has been reviewed and no material issue has been identified.

Amber — Manageable

An issue exists but appears capable of being addressed through design, documentation, cost allowance, authority procedure or contractual protection.

Red — Critical

The issue may prevent the intended use, materially reduce value, delay the programme or create unacceptable liability.

Grey — Unverified

Information is missing or inconclusive.

Grey is not equivalent to green.

Finding format

ISSUE

Describe the fact.

EVIDENCE

Identify the documents and investigation completed.

RISK

Explain the legal, technical and commercial consequence.

RATING

Green, amber, red or grey.

REQUIRED ACTION

State what must happen.

TRANSACTION RESPONSE

Proceed, condition, reprice, retain, indemnify, extend or withdraw.

OWNER

Identify the responsible party.

DEADLINE

State when the issue must be resolved.

A small discrepancy may be material if it affects:

• the only access
• a required fire route
• the project’s principal use
• lender security
• the minimum saleable area
• a key unit
• an operating licence
• or the ability to complete.

A larger discrepancy may be manageable if it affects an unused ancillary area and can be corrected without changing the investment case.

Materiality should consider:

• probability
• legal consequence
• financial consequence
• programme
• finance
• operation
• reputation
• and exit.

The report should be readable by legal, investment, finance and project teams.

1. Executive decision

State:

• proceed
• proceed conditionally
• reprice
• restructure
• pause
• or withdraw.

2. Critical assumptions

List the development and transaction assumptions tested.

3. Property identification

Describe:

• ownership
• boundaries
• access
• occupation
• and inconsistencies.

4. Existing lawful position

Identify:

• recognised buildings
• use
• areas
• units
• and outstanding verification.

5. Planning framework

Summarise:

• applicable plans
• land classification
• uses
• parameters
• and execution requirements.

6. Development capacity

Present:

• confirmed or supportable envelope
• preferred case
• downside case
• and unresolved interpretations.

7. Procedures and approvals

List:

• PIPs
• licences
• communications
• external decisions
• conditions
• and validity.

8. Constraints

Address:

• RAN
• REN
• environment
• water
• coast
• nature
• heritage
• wildfire
• transport
• and infrastructure.

9. Enforcement and disputes

Summarise any existing or potential proceedings.

10. Project delivery

Address:

• access
• utilities
• off-site works
• consultants
• construction
• completion
• and use.

11. Finding schedule

Provide the complete green, amber, red and grey register.

12. Transaction protections

Specify:

• conditions precedent
• warranties
• covenants
• indemnities
• price mechanisms
• retention
• access
• and long-stop dates.

13. Next actions

Identify the person, document and deadline for each action.

14. Reliance and limitations

State:

• documents reviewed
• sources unavailable
• assumptions
• professional scope
• inspection limitations
• and date of the report.

INTERACTIVE OUTPUT

Planning Due-Diligence Snapshot

PROJECT

Project name and location

REPORT DATE

Date and time of the current review

TRANSACTION STAGE

Offer, exclusivity, contract, finance or completion

PLANNING STATUS

Screened, partially verified or fully investigated within scope

CORE DEVELOPMENT ASSUMPTION

Use, area and units

CONFIRMED

Key verified findings

CONDITIONAL

Issues requiring action

CRITICAL

Red findings

UNVERIFIED

Missing evidence

NEXT DECISION

Proceed, proceed conditionally, reprice, restructure, pause or withdraw

NEXT REVIEW DATE

Required update date

DOWNLOAD CTA

Download due-diligence snapshot

The snapshot should link to the full report and must not be presented as a legal certification of development rights.

Step 1 — Define the transaction assumptions

Identify what the price and project depend on.

Step 2 — Issue the document request

Create the structured data room and missing-document list.

Step 3 — Verify the property

Review title information, tax records, boundaries, access and occupation.

Step 4 — Obtain the municipal history

Review the complete planning file and build the chronology.

Step 5 — Compare physical and lawful positions

Survey the site and classify discrepancies.

Step 6 — Reconstruct planning capacity

Independently calculate use, area, height, units, parking and infrastructure.

Step 7 — Verify procedures

Review PIPs, licences, communications, conditions, fees, amendments and validity.

Step 8 — Check external constraints

Confirm RAN, REN, environment, heritage, water, transport and other authority issues.

Step 9 — Test infrastructure

Obtain operator and engineering information.

Step 10 — Grade findings

Separate confirmed, manageable, critical and unverified issues.

Step 11 — Negotiate transaction protection

Connect each material finding to a contractual response.

Step 12 — Update before completion

Repeat critical searches and verify that the position has not changed.

As an initial assumption:

• scoping and document request: 2–5 working days
• initial document review: 1–3 weeks
• property and planning searches: 1–3 weeks
• municipal-file review: 1–6 weeks or longer
• survey and physical comparison: 2–6 weeks
• specialist constraints review: 2–8 weeks
• infrastructure enquiries: 2–12 weeks or longer
• initial red-flag report: 1–3 weeks after core documents are received
• full report: 3–8 weeks or longer
• pre-completion update: 2–10 working days, depending on scope.

The timetable should not begin when the contract is signed if essential municipal and authority information will take longer than the contractual due-diligence period.

Allow for:

• legal planning review
• Land Registry documents
• tax and cadastral information
• municipal-file copies
• topographical survey
• measured-building survey
• architect
• planning consultant
• engineers
• environmental consultant
• heritage and archaeology
• geotechnical investigation
• contamination studies
• infrastructure enquiries
• translation
• authority fees
• and report updates.

The scope should reflect the value at risk.

Reducing the investigation budget can be rational where the exposure is limited, but the excluded work and resulting uncertainty should be stated.

Before making the acquisition unconditional, confirm:

Property

• Is the seller entitled to transfer the required property or rights?
• Is the property correctly identified?
• Are boundaries reliable?
• Is legal and technical access available?
• Are occupation and third-party rights understood?

Existing position

• Are existing buildings supported by evidence?
• Is the current use identified?
• Has the physical property been compared with municipal records?
• Are unauthorised or unverified areas excluded from the appraisal?
• Is any required legalisation realistically available?

Development capacity

• Is the intended use permitted?
• Is the planning calculation independently verified?
• Does the supportable area meet the minimum investment case?
• Are height, units, parking and access workable?
• Are existing lawful areas correctly treated?

Approvals

• Are the relevant PIPs, licences and communications valid?
• Does the transaction rely on the correct project version?
• Are conditions and fees understood?
• Are extensions required?
• Can the buyer rely on or continue the procedures?

Constraints

• Have public restrictions been checked?
• Are external approvals complete?
• Are conditions included in the design and budget?
• Could any unresolved authority issue prevent the project?

Infrastructure

• Is network capacity sufficiently confirmed?
• Are reinforcement and off-site works identified?
• Are land rights available?
• Are cost and timing included in the model?

Enforcement

• Are complaints, inspections and proceedings disclosed?
• Are corrective or demolition risks understood?
• Are fines, fees and liabilities allocated?

Transaction protection

• Are critical conditions precedent?
• Are seller obligations documented?
• Are warranties and indemnities appropriately scoped?
• Is price adjustment available where required?
• Is the long-stop date realistic?
• Can the investor withdraw if the minimum planning outcome is not obtained?

Update

• Have searches been refreshed?
• Has the municipality issued new correspondence?
• Have plans or laws changed?
• Has the seller changed the project or property?
• Is the report still current for the completion decision?

If a critical assumption remains grey, the report should not present the project as planning-confirmed.

Starting without a defined investment assumption

The investigation becomes a document summary instead of a decision tool.

Accepting the seller’s data room structure

Important gaps can remain hidden across unorganised folders and duplicate versions.

Reviewing only the latest municipal approval

Earlier conditions, alterations and enforcement may remain relevant.

Treating missing documents as evidence that no issue exists

The absence of information is an unverified risk.

Assuming a previous sale confirmed legality

Completion of a conveyance does not establish the complete planning position.

Treating the tax record as approved area

Fiscal registration is not planning approval.

Failing to compare the building with approved drawings

Document review alone may not detect unauthorised construction.

Accepting a marketing area schedule

Marketing, planning, construction and saleable areas may use different definitions.

Ignoring the expiry of planning decisions

A valid approval can lose practical value if the transaction or finance programme extends beyond its validity.

Reviewing external opinions without their conditions

A favourable opinion may require material redesign, monitoring or mitigation.

Assuming utility availability from nearby networks

Connection and capacity require confirmation.

Leaving red findings for the construction phase

Once land has been acquired and finance committed, negotiation leverage may be lost.

Using warranties instead of resolving a project-critical issue

Financial remedies may not replace the lost ability to build or operate.

Failing to update before completion

Planning, registrations, procedures and enforcement can change during the transaction.

Reporting every issue at the same level

Decision-makers need materiality, consequences and recommended action.

Before issuing the final report, confirm that you have:

• defined the required project outcome
• recorded the minimum acceptable planning result
• reviewed the transaction timetable
• created the data room
• issued the document request
• recorded missing documents
• obtained the current Land Registry certificate
• reviewed pending registrations
• obtained the tax record
• reviewed ownership documents
• reviewed cadastral information
• commissioned the required survey
• confirmed boundaries
• confirmed legal access
• reviewed occupation and leases
• inspected the property
• recorded inspection limitations
• obtained the municipal-file references
• reviewed the complete available municipal history
• prepared the planning chronology
• obtained approved drawings
• identified the existing lawful position
• compared the physical and approved buildings
• classified every discrepancy
• identified the authorised use
• reviewed the PDM
• reviewed any PU or PP
• reviewed subdivision documents
• reviewed municipal regulations
• checked amendments and pending plans
• independently calculated development capacity
• reconciled planning and financial-model areas
• tested a downside case
• reviewed every PIP
• reviewed every licence
• reviewed every communication
• checked validity and extensions
• checked conditions and fees
• checked RAN
• checked REN
• checked environmental procedures
• checked water and coastal requirements
• checked protected areas and Natura 2000
• checked heritage and archaeology
• checked wildfire requirements
• checked roads and railways
• checked aviation
• checked infrastructure corridors
• requested utility information
• identified off-site works
• checked municipal enforcement
• checked legalisation procedures
• checked disputes and complaints
• reviewed project-company obligations where applicable
• reviewed professional appointments
• reviewed design rights
• graded every finding
• linked every material finding to a transaction response
• identified conditions precedent
• identified warranties and covenants
• identified any required indemnity or retention
• set realistic long-stop dates
• identified post-completion obligations
• stated all assumptions and limitations
• issued the executive recommendation
• and scheduled the pre-completion update.

Due-Diligence Scope Builder

Define the project assumptions, documents, investigations, advisers and deadlines.

CTA

Build the due-diligence scope

Planning Data Room Builder

Create the complete property, planning, authority, design and completion folder structure.

CTA

Build the data room

Municipal File Tracker

Record procedure numbers, documents requested, documents received and outstanding records.

CTA

Track the municipal file

Lawful Building Comparator

Compare approved drawings, recognised areas, physical construction and current use.

CTA

Compare the property

Planning Capacity Reconciler

Compare seller, architect, planning, valuation and financial-model areas.

CTA

Reconcile project areas

Finding & Risk Register

Grade each issue as confirmed, manageable, critical or unverified.

CTA

Build the findings register

Transaction Protection Builder

Connect planning findings to conditions, covenants, warranties, price mechanisms and long-stop dates.

CTA

Build transaction protections

Pre-Completion Update

Refresh registrations, planning procedures, municipal correspondence and critical findings.

CTA

Run the final update

Tool disclaimer: These tools provide preliminary organisational guidance only. They do not constitute legal due diligence, a title opinion, a planning opinion, a valuation or confirmation of development rights and do not replace project-specific professional advice.

PLANNING & LICENSING — GUIDE 03

Prior Information Request — PIP

Use a formal municipal request to test the viability and conditions of a proposed development before committing to the complete licensing project.

The next guide explains when a PIP is useful, the difference between a general and more detailed request, which project parameters to include, how to coordinate external authorities and how to protect the investment while the decision is pending.

PRIMARY CTA

Continue to the PIP Guide

SECONDARY CTA

Return to Planning & Licensing

Turn planning information into an investment decision

VVA can support investors, developers, landowners, family offices, funds, lenders and operators in planning due diligence for Portuguese real estate transactions.

Support may include:

• due-diligence scoping
• planning data-room review
• Land Registry and property coordination
• municipal-file investigation
• lawful-building analysis
• PDM, PU and PP interpretation
• subdivision review
• development-capacity analysis
• RAN and REN assessment
• environmental and heritage procedures
• infrastructure and access review
• planning approvals and validity
• enforcement and legalisation
• project-company planning liabilities
• red-flag and full reports
• acquisition conditions
• warranties, covenants and indemnities
• price and retention mechanisms
• PIP strategy
• pre-completion updates
• and planning support for finance and construction.

PRIMARY CTA

Request planning due diligence

SECONDARY CTA

Speak with VVA