The merger between luxury brands and real estate has created one of the most desirable and profitable asset classes in the market: luxury real estate. branded residences. These projects, which combine the exclusivity of a private residence with the services and prestige of a renowned brand, not only offer an incomparable lifestyle, but also represent an investment with a tangibly superior value.
The difference is measurable and striking. On average, a branded residence sold with a value premium of 32% compared to a comparable, but unbranded, luxury property. This price premium, which puts the average value of these properties at 1.9 million, The new hotel brand is proof that shoppers are willing to pay for the trust, quality and level of service that a prestige brand guarantees, whether it is a large hotel chain such as Marriott or Four Seasons, or a non-hotel luxury brand such as Porsche or Armani.
This market is booming. In the last decade, the automotive sector has branded residences has experienced a growth of the 150%, The number of projects has already exceeded 700 globally, and it is anticipated that to double by 2030. This dynamism is driven by a demand that seeks much more than just a property: it seeks a hassle-free living experience, with access to concierge services, wellness and world-class dining.
The component of Flexible Accommodation is a key part of this model. Many of these projects offer owners the option to include their residences in rental programmes managed by the brand itself. This turns the property not only into a luxury home, but also into a flexible investment asset, capable of generating income while not in use, all with the guarantee of professional, high quality management.
The expansion of this segment is a testament to the evolution of luxury. It is no longer just about owning, but about experiencing. The branded residences are the materialisation of that idea, an ecosystem where the prestige of the brand and the comfort of a home come together to create the gold standard in the Flexible Accommodation and residential.
