Spotlight:
Monaco Residential Market 2015

Monaco Residential Market
Spotlight:
Monaco Residential Market

19 May 2015, by Yolande Barnes

2014 was a record year for Monaco's residential markets. A weak euro offers buyer opportunities.

Welcome to our second in-depth look at the residential property market in Monaco. In this report we show how market activity and pricing is at an all-time high while extraordinarily constrained land supply means newly built property is extremely rare and at a premium so only the ultra prime market and the world’s wealthiest are now catered for in the Principality.

Monaco has the highest GDP per head of any population in the world. It is one of a handful of global elite city-states and, in this respect, has more in common with Macau and Singapore than almost anywhere else in Europe.

 

Monaco’s wealth and status, nevertheless, goes hand in hand with some of the world’s major urban centres where many Monaco residents will also spend some of their time. The lives of the ultra-rich in London, New York and Moscow are often intertwined with Monaco.

To classify Monaco solely as another world-class urban conurbation misses the point. It occupies a unique position as a hybrid centre that incorporates not only commerce and ultra-wealth in a low-tax jurisdiction but also a Mediterranean playground for the world’s wealthy.

Aside from the clear parallels with other world centres, Monaco is a premier destination for gambling, motor sport, yachting, recreation and relaxation. This combination, right on Europe’s doorstep, sets it apart from almost any other city or state. Only Macau, on the doorstep of China is beginning to come close but the attractions of the South China Sea are not the same as the Mediterranean. In the longer term, Gibraltar has the potential perhaps to be a regional rival but will need huge amounts of investment and infrastructure to approach Monaco’s prestige.

The unique offering of Monaco’s global appeal and its extremely limited land supply will all combine to keep Monaco’s real estate prices high with few or no mechanisms for them to fall. We anticipate they are at, or near, a high plateau, in common with many other ultra prime markets globally and will be for some time to come.

 

 

Articles from Spotlight: Monaco Residential Market - 2015

Monaco at a Glance

19 May 2015

Monaco at a Glance

Monaco's low taxes and appealing living environment have made it a centre of global wealth.

The Residential Markets in Monaco

The number of residential sales exceeded their 2007 peak for the first time in 2014.

Monaco

New build development is characterised by well-appointed schemes offering large units to appeal to the world’s wealthy.

Shaping Monaco: City Building for the Future

New build development space is being created through urban restructuring, land reclamation and renewal.

The Outlook for Monaco

New developments and sustained demand from global UHNWIs will drive price growth.

 
 

Key contacts

Yolande Barnes

Yolande Barnes

Director
World Research

Savills Margaret Street

+44 (0) 20 7409 8899

 

Paul Tostevin

Paul Tostevin

Associate Director
World Research

Savills Margaret Street

+44 (0) 20 7016 3883

 

Subscribe to Savills research

 

Would you like to be notified via email about new property research?