Branded Residences Market to Grow 55%

Why it matters

- The branded residences sector has grown by 180% over the last decade, with forecasts suggesting the total number of developments will surpass 1,000 by 2030. This growth is partly driven by high-net-worth individuals purchasing second, third, or even fourth homes as part of their wealth management strategies. - While hotel groups have historically dominated the market, non-hotel luxury brands now account for 21% of the sector and are expanding. Notable entrants include fashion houses like Armani and Missoni, and automotive icons such as Porsche, Aston Martin, and Bentley, which is developing a 100-story residence in Dubai. - Marriott International is the market leader in the hotel-branded segment through its luxury brands like The Ritz-Carlton and St. Regis. The Ritz-Carlton recently overtook Four Seasons for the top spot in the number of standalone projects. - For buyers, investment is the primary driver for purchase, followed by lifestyle benefits. Branded residences often command a price premium of 20-35% over comparable non-branded properties, a figure that can exceed 70% in emerging markets. - Dubai now ranks first globally for both completed and pipeline branded residence projects, solidifying its position as a central hub for the sector. The Middle East and North Africa region has seen one of the fastest growth rates worldwide, increasing by 187% over the past five years. - A significant trend is the rise of standalone residences that are not co-located with a hotel, a model projected to grow from 8% to over 12% of the global market. This shift caters to ultra-high-net-worth buyers seeking the privacy of a primary residence combined with the service standards of a luxury brand. - The next wave of amenities is heavily focused on hyper-personalization and wellness. New developments are integrating medical-grade wellness centers, AI-driven health coaching, and in-residence dining by private chefs to create a holistic lifestyle experience.

Key numbers

• The global branded residential sector is projected to grow by 55% through 2026, according to a new report from Knight Frank.
• - The branded residences sector has grown by 180% over the last decade, with forecasts suggesting the total number of developments will surpass 1,000 by 2030.
• While hotel groups have historically dominated the market, non-hotel luxury brands now account for 21% of the sector and are expanding.
• Notable entrants include fashion houses like Armani and Missoni, and automotive icons such as Porsche, Aston Martin, and Bentley, which is developing a 100-story residence in Dubai.

What happens next

• The branded residences sector has grown by 180% over the last decade, with forecasts suggesting the total number of developments will surpass 1,000 by 2030.
• The next wave of amenities is heavily focused on hyper-personalization and wellness.

Sources

• to grow
• The branded residences
• This growth is partly
• Notable entrants include
• The Ritz-Carlton recently
• For buyers, investment
• Branded residences often
• Dubai now ranks first
• This shift caters to
• The next wave of amenities

Quick answers