Benfica Neighborhood Undergoes Transformation with New Housing and Stadium Overhaul
Lisbon’s Benfica neighborhood is experiencing a period of significant change, driven by a combination of new affordable housing initiatives and a sweeping redevelopment of the iconic Estádio da Luz. These projects, representing a substantial public and private investment, aim to address the city’s housing crisis and create a vibrant, multi-functional urban district.
On , Ricardo Marques, president of the Benfica parish council, observed ongoing construction of 50 new affordable rental apartments. The project, a €6 million undertaking, is fully funded by Portugal’s EU-backed Recovery and Resilience Plan (PRR). According to Marques, the construction site was relatively quiet on that day, with only a handful of workers methodically continuing their work.
The new apartments, a mix of one, two and three-bedroom units, are intended to alleviate Lisbon’s escalating housing affordability crisis. The development is located in the Calhariz de Benfica area, on a vacant plot of land ceded by the Lisbon City Council. Its location adjacent to the new Calhariz de Benfica University Residence and the Benfica train station is designed to provide future residents with excellent public transport links.
The construction utilizes modern prefabricated concrete modules, a strategic choice intended to significantly reduce construction time and accelerate the delivery of much-needed housing. This project is part of a larger €69 million housing program by the Benfica parish, which aims to deliver over 270 affordable homes and enhance the neighborhood’s infrastructure.
Benfica District: A Vision for Urban Regeneration
Beyond the new housing, a far more ambitious project is underway to transform the area surrounding the Estádio da Luz into the “Benfica District.” S.L. Benfica, in collaboration with Populous and Saraiva + Associados, has unveiled a masterplan to modernize the stadium and create a year-round active hub. The project, valued at €220 million (£190 million), aims to improve the fan experience and create a valuable civic asset for the city.
The masterplan envisions four integrated districts: the Stadium District (with a renovated stadium including hospitality and office space); the Sports and Entertainment District (featuring a new multipurpose arena with a capacity of 10,000, a theater, a swimming pool, two sports halls for 2,500 and 1,500 people, an athletics track, and an outdoor soccer field); the Commercial District (with a museum, restaurants, a shopping center, a hotel, and a residence); and the Fans District (with a Fan Plaza, a DJ set, and a Club store).
Key elements of the Benfica District include a multipurpose indoor arena capable of hosting concerts, cultural events, eSports, and major sporting events. Two state-of-the-art indoor sports halls, adaptable for various sports, will replace existing facilities. A new communal pool (25 x 25 m) and a new theater with a capacity of 500 people are also planned.
The redevelopment is intended to strengthen the venue’s connection with both fans and the local community, ensuring the club’s long-term financial sustainability. A new plaza, inspired by Lisbon’s famous civic squares, will provide a space for fans to meet and interact before and after matches. Work on the Benfica District is scheduled to be completed by 2030, potentially in time for the World Cup.
The project is seen as a significant opportunity to regenerate the entire neighborhood, adding new office space and housing to the area. The overall vision is to create a world-class sports and entertainment landmark in the heart of Lisbon.
