As an Investment - Branded Residences
Are Branded Residences a Good Investment? Luxury branded developments come with intrinsic value built into the proposition. Extensive amenities, attentive service and lifestyle benefits and the backing of internationally recognized hospitality brands. With the sector now booming, international high-net worth buyers also seek security in buying a branded product in unfamiliar markets. Buyers of branded real estate can expect to pay a premium of around 31% versus non branded developments, but the good news is that data shows that branded residences also appreciate to a larger extent. Indeed, looking at Four Seasons properties around the world with a residential component, there are regular transactions suggesting appreciation of 20% to 25%. The limited supply of branded residences also serves to protect prices. Add to that continued investment from the brand into the scheme and there is long-lasting appeal for buyers. There may also be greater ease for owners...