Europe’s growing focus on energy-efficient homes
To mark Earth Day on April 22nd, we explore eco-friendly homes in Spain, Italy and Portugal
The desire for an eco-friendly home is on the rise. Whether for environmental priorities, potential financial savings on energy bills or because of ever-increasing government regulations, more of us want a home that promotes sustainable living, and it certainly makes economic sense. Research from independent company Smart Energy GB shows that 64% of homeowners agree that eco-upgrades add value to a property while according to Rightmove data, 77% of buyers today will pay more for energy-efficient properties.
It's equally true of homes in Europe according to Knight Frank research.
“The integration of ESG principles is transforming the luxury residential market in Europe,” says Kate Everett-Allen, Knight Frank’s Head of European Residential Research. “This shift is primarily driven by regulatory changes, evolving buyer principles and the increasing importance of sustainability in property development.”
She points to a client survey in the 2025 Alpine Property Report revealing that nearly half of all respondents consider energy ratings ‘essential’ when purchasing property, with a further 43% finding it ‘somewhat important’.
Regulatory changes are pushing landlords and developers to prioritise energy efficiency upgrades, says Everett-Allen. They include the UK government’s plan to decarbonise the entire electricity grid by 2030 with a similar deadline in the EU for all new buildings to meet net zero emissions, using energy only from renewable sources. In France, new energy regulations, effective from January this year, have banned the rental of homes with a G energy rating while the Portuguese government has implemented various policies supporting sustainable development, including tax incentives for green buildings.
Renewable energy is the theme of this years’ Earth Day on 22nd April, an annual global event highlighting the importance of protecting the environment. Now in its 55th year, it has become the largest environmental movement in history, supported by a billion people in 200 countries, and as a global movement has been instrumental in the introduction of a host of environment-focused laws.
To mark Earth Day 2025, we look at rural homes in Spain, Italy and Portugal with thoughtful environmentally friendly credentials, from the addition of solar panels through to an entire design with a laser-level focus on sustainability. These homes all adopt the motto of “be lean, be green, be clean”, conserving energy, thinking sustainably and using energy from renewable sources, demonstrating that combining countryside living with an eco-friendly footprint is perfectly possible.
Portugal; Villa in Praia da Luz, Algarve
Portugal’s Algarve region on Portugal’s southern Atlantic coast likes to boast of enjoying over 300 days of sunshine every year and this villa in the charming coastal town of Praia da Luz makes the most of the rays with roof-mounted solar panels. This three bedroom villa with a private pool and wide terracing was extensively renovated in 2021 to improve its eco-credentials with improved insulation throughout, double glazing added and solar panels.
Praia da Luz is one hour from Faro airport in the Western Algarve, a former small fishing village that has become a popular holiday destination thanks to its long sandy beach, good choice of restaurants and calm, family-friendly atmosphere.
The Tuscan countryside is one of the most protected landscapes in Europe, cherished for its unchanging beauty of vineyards and green rolling hills. The Italian authorities understand the importance of preserving this natural scenery.
The Forci Estate is five miles northwest of Lucca and 45 minutes from Pisa airport and offers the opportunity to protect historic homes and take part in the region’s farming heritage. Set in 350 acres of forest and rich agricultural land, olive groves and vineyards, with a regenerative farm at its heart, the historic estate has eleven farmhouses for sale, each with several hectares of farmland and each part of an approved renovation project that follows specific eco-sustainable requirements.
The project is a way for buyers to embrace regenerative architecture with a sustainable home in outstanding countryside. They would be welcome to join into a community that shares in the harvest and farm life.
The Forci Estate has appointed a roster of talented local architects, inspired by London-based architect Alex Michaelis. The overall goal is “to assist homeowners to create beautiful, comfortable, and environmentally friendly homes, while making responsible choices and minimizing waste for a brighter future.”
Positioned at the western edge of the Costa del Sol in Spain’s province of Andalucía, Sotogrande is an elite European sporting resort, its roll call of facilities covering golf, tennis, padel, polo, hiking, biking and just about every water sport imaginable. Yet while its three golf courses are some of the most famous in Europe and the lifestyle package is excellent, Sotogrande’s striking contemporary architecture is equally noteworthy.
This off-plan six-bedroom villa, designed by notable Spanish firm Fran Silvestre Arquitectos and due for completion in 2026, is a prime example, designed with sustainability at its core. Health and wellness features include a private spa with gym, sauna and separate indoor and outdoor swimming pools and there is also a wine cellar and cinema. Along with the sleek design and views across to the Mediterranean Sea come detailed sustainable features. Low-enthalpy geothermal energy, solar panels and a hybrid system with battery storage ensure that environmentally sound principles do not compromise comfort, while advanced home automation and circadian lighting combine advanced technology with a user-friendly design.
This Sotogrande villa in the exclusive La Reserva neighbourhood is priced €8,800,000
“Twenty years ago, our main clients were British buyers wanting a traditional Andalucian villa,” says Manuel Moriche, lead architect at ARK whose firm has designed over 70 homes on the Sotogrande resort. “Now the demand is for contemporary architecture but with wonderful nature and sustainability and the low density that has always defined Sotogrande.”
ARK specialise in the “architecture of sustainable luxury” and Moriche, the architect behind this Sotogrande villa, also in the prestigious La Reserva neighbourhood, has employed the finest renewable energy installations. The five-bedroom villa is built at the highest point of La Reserva, benefitting from the resort’s best panoramic views, taking in Gibraltar and across the Mediterranean Sea to Africa. Natural materials, pale stone and woods, add to the calm design, as does the garden layout, landscaped with indigenous trees, plants and herbs.
This Sotogrande villa is priced €9,800,000
Contact the Knight Frank International Property team to find your dream home.
