As seems usual, the luxury real estate news is a mixture of spin, good news, bad news and vultures picking through the carcasses of failed condo ventures. Top of the list of things-most-talked about seems to be London luxury property prices. With a dearth of sales (around 50% of normal volumes) and a discount of around 30% to buyers spending Euros, average property prices have squeezed up.
According to Bloomberg, “London’s luxury home prices have recovered faster than the rest of the housing market because of a lack of properties for sale and as the weaker pound lured overseas buyers. While Knight Frank LLP says that prime real-estate values rose an annual 17 percent in February, overall U.K. prices on Halifax’s measure climbed 4.5 percent.” But they then go on to say, ” House prices across the country fell 1.5 percent in February from the previous month, the first decline in eight months,” Bloomberg
Confused? Good – that is the idea. We don’t want anybody actually being able to understand what the market is doing – because then we would have a genuine panic. More big news is the fact that the President of Azherbaijan has purchased in the region of $75 million in property in Dubai using his children’s names to register them. Luxury property in Dubai
Further afield – or closer to home, depending – a large US based REIT, Essex Property Trust, has invested heavily in an Orange County Luxury Condo development.
Essex Property Trust, Inc. (NYSE: ESS), a fully integrated Real Estate Investment Trust (REIT) that invests in apartment communities located in highly desirable, supply-constrained markets, announced today that the Company has entered into a venture to acquire Essex Skyline at MacArthur Place, a 349-unit high rise condominium project in Santa Ana, California for $128 million. REIT buys Luxury condo development
A luxury Spa in London extends it’s treatment options to include some very expensive holistic health treatments. Far be it for me to question a £260 ($395) massage….
The Landmark Spa, located in the Landmark London Hotel, announces the launch of a range of Ayurvedic treatments to extend their luxury spa treatment offerings. Based on traditional Indian medicinal therapies, Ayurvedic treatments are simultaneously relaxing and revitalizing. Luxury Spa in London
Still – the Hong Kong government will increase the levy on luxury property transactions from April 1st to offset the risk of a property bubble they are certain is not happening.
Hong Kong Financial Secretary John Tsang said Wednesday in his annual budget address that the government would increase the levy on luxury property transactions in an attempt to offset the risk of a property price bubble. From April 1, the levy on transactions of properties valued at more than 20 million Hong Kong dollars ($2.58 million) will be raised to 4.25%, up from its current level of 3.75%. In addition, buyers will no longer be allowed to defer payment of the levy. Tsang said the government will consider extending the same measures to lower-priced properties if it finds “excessive speculation.” Market Watch
