Branded residences are steadily gaining popularity, combining the opulence of hospitality with the exclusivity of private property ownership.
According to Knight Frank’s Global Branded Residences 2023 report[i], the global branded residences market is anticipated to witness a 55% surge by 2026.
These upscale properties, often associated with globally recognised brands, provide a distinctive living experience and present lucrative opportunities for investors.
What are Branded Residences?
Branded residences are real estate properties affiliated with renowned brands across diverse sectors. Whether it’s luxury hotels offering residential suites or apartments envisioned by iconic fashion designers, these properties encapsulate the unique essence of the associated brand. Owners not only gain a living space but also immerse themselves in a lifestyle intricately tied to the brand’s identity.
Knight Frank’s analysis reveals a total of 186 active projects globally until 2022, with an additional 32 projects slated for launch in 2023 and 23 more projected for 2024. North America leads with almost 40% of the projects, followed by Asia-Pacific and Europe.
In Spain, brand aligned properties are gradually making an appearance. The Branded Residences 2023 report by Colliers forecasts a tripling of their supply over the next four years, reaching up to 1,200 units.
With SPI you can get in on the ground floor (or penthouse!) with new branded residence projects.
Providing Investment Opportunities
Investing in these properties not only means acquiring a premium real estate asset but also presents opportunities for attractive returns.
The association with prestigious brands can enhance the property’s appeal and value over time. Moreover, professional property management by the brand ensures impeccable maintenance and top-notch services, contributing to the ongoing appreciation of the investment.
Real Estate Crowdfunding’s Role
In the realm of branded residences, real estate crowdfunding emerges as a unique avenue for investors to enter this exclusive market.
Participating in these projecta through crowdfunding allows investors to enjoy the benefits of aligning with a prestigious brand without the need for a substantial upfront investment.
This democratises access to investment opportunities that were traditionally reserved for larger capital investors.
An Opportunity Worth Exploring
Branded residences not only represent an innovative approach to luxury housing design but also unlock new avenues for real estate investment.
Taking a proactive stance to explore these opportunities enables investors to enhance their financial portfolios through high-end property ownership while actively participating in the evolving landscape of the real estate market through crowdfunding.
The amalgamation of luxury, lifestyle, and investment potential positions branded residences as a noteworthy phenomenon in today’s real estate arena.
