The Prime Central London and Monaco residential property markets are like twins; both representing Europe’s leading locations for luxury property, and having very similar features, trends and buyer profiles.
These are some of the findings revealed by London and Monaco based property company Pastor Real Estate, which has produced the first ever in-depth report that analyses parallels and differences between the luxury property markets in both locations. The key findings reveal:
- Prime Central London and Monaco are both small land areas: development and supply constraints set against huge global demand keep an upward pressure on property values in both locations
- Buyers are attracted to both locations because of their political stability, advantageous tax regimes, concentration of luxury hotels and shopping facilities and ultra-prime residential markets
- Each location has seven ultra-prime districts – “city-villages” – which together represent 14 of the most valuable addresses in the world
- At £3.43 million, the average apartment price in Fontvielle (Monaco’s most expensive address) is higher than the equivalent in Knightsbridge at £3.27 million, but the price gap between Monaco and London has been closing
- A significant proportion of UHNW (Ultra High Net Worth) buyers who acquire or rent ultra-prime property in London also have an address in Monaco
- Just as Monaco’s Fontvielle district has challenged Monte-Carlo (traditionally the most expensive area) in terms of highest residential prices achieved, so Mayfair is challenging Knightsbridge
- Monaco-Ville is the most relatively “under-priced” district in Monaco
- Space and planning constraints in both locations has focused new development on medium to high rise luxury apartment buildings that provide lateral living and have 5-star amenities that attract international purchasers.
In order to produce the new report Pastor Real Estate commissioned market intelligence group Dataloft to review data from LonRes and Pastor’s own records, allowing an in-depth analysis of key trends in both property markets.