Data from C9 Hotelworks has shown that the luxury residential market in Asia has reached a new milestone, with a record-breaking market value of US$26.6 billion ($35.5 billion). This market value, representing over 68,000 branded residential units, is proof of the growing demand for luxury properties in the region. According to the consultancy, Vietnam leads the way with 17,680 branded residential units spread across 59 properties. In terms of average price, Vietnam also takes the top spot with an average price of US$350 per square foot (psf). In second place is Thailand, with 16,271 units across 65 properties and an average price of US$510 psf. The Philippines follows closely behind with 13,276 units across 46 properties, priced at about US$400 psf.However, the highest prices for branded residences in the region are found in Singapore, where units command an average of US$2,140 psf. Branded residences in Japan also fetch high prices, at around US$1,935 psf.Read also: Gilded Age luxury living reimagined at The Towers of the Waldorf Astoria, New YorkThe trend of branded residences is also growing in emerging markets such as South Korea and Malaysia, with 3,026 units across 16 properties in South Korea, and 6,014 units across 24 projects in Malaysia.While urban-located branded residences make up 56% of the existing supply in Asia, they also dominate the market in terms of value. In South Korea, for instance, urban units are priced at US$2,670 psf while resort units go for about US$1,040 psf. In Thailand, urban units fetch an average of US$770 psf, while resort units sell for approximately US$430 psf.The data also shows that affiliating with a reputable brand can add a premium of 30%-35% to the market rate of a property. This helps developers increase their market share and attracts buyers who are willing to pay a higher price for the prestige that comes with a branded residence.Read also: Investors step up demand for branded residences in Southeast AsiaAdvertisementThe rise of branded residences in the Asia Pacific region can be attributed to the increasing appeal of luxury lifestyle brands. The success of such partnerships has prompted more luxury brands to explore licensing their brand into real estate developments across the region. For example, fashion and design brands have joined forces with developers to create branded residences. The 28-unit Fendi Casa Residences by Armani in Miami, the 259-unit 888 Brickell by Dolce & Gabbana in Miami, the 90-unit Büyükyalı Residences in Istanbul, Turkey, and the Karl Lagerfeld Villas, a collection of five ultra-luxury villas in Marbella, Spain are just some examples of successful branded residences partnerships.Asian buyers, particularly those from Singapore, are showing keen interest in branded residences in popular destinations such as Phuket and Bangkok in Thailand, Bali in Indonesia, and emerging markets in Vietnam, all of which are just a two-hour flight from Singapore. This has prompted developers to focus on these markets, with buyers from Singapore making up over 45% of total regional purchases.The Singapore property cooling measures have also led to an increase in the number of Singapore-based high-net-worth buyers seeking second homes in the Asia Pacific region. As a result, hospitality operators like The Ascott are looking to expand their market share by partnering with developers who want to venture into the branded residential market. The Ascott believes that its brands – such as Ascott, The Crest Collection and Oakwood Premier – have established reputations that will attract buyers looking for the assurance of quality service.Gianfranco Bianchi, general manager of Asia Pacific at The One Atelier, an international design consultancy specialising in branded residences for lifestyle brands, says that buyers are drawn to branded residences because they offer more than just top-notch hospitality services. They also offer the rare opportunity of owning a home that embodies the luxury lifestyle associated with the brand, making them highly sought-after properties.
Investing in a Singapore condo has emerged as a top preference for both local and foreign investors, owing to the country’s strong economy, stable political environment, and exceptional quality of life. The real estate market in Singapore presents a plethora of opportunities, with condos being a highly sought-after choice due to their convenience, amenities, and potential for lucrative returns. In this article, we will delve into the advantages, factors to consider, and essential steps when looking to invest in a condo in Singapore.