How Branded Residences Are Creating New Standards for Luxury Living

The idea of ​​branded residential properties is not new – around a hundred years ago Sherry-Netherland became the first branded resort to offer fully serviced apartments.

While the idea may not be revolutionary, the branded residence industry is going through something of a revolution.

Over the past decade, branded residential properties have grown by 230%, totaling over 580 developments worldwide, with forecasts calling for continued exponential growth.

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So why this sudden increase 100 years later? For Jonathan Nash, one of the top luxury realtors at Beverly Hills-based Hilton & Hyland, the recent popularity has something to do with modern society’s propensity to become familiar with brands. “We live in a brand world, and buyers of these products are looking for an association with brands they are loyal to and know they can count on for a premium product,” Nash says.

With good reason, hotel brands make up the majority of the industry, with brand loyalty rooted in a proven track record of first-class hospitality. In almost all cases, residents of luxury hotels have access to the same amenities and services as those of corresponding hotel establishments. As such, a luxury experience at high-end stays like Peninsula hotels, The Ritz-Carlton, or The Four Seasons can indicate what a higher-level residential existence can look like.

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“If a brand is highly recognizable and ambitious, the story has already been written and the marketing requires much less explanation because buyers already know what to expect,” Nash says.

Although hotels account for 86% of branded residences, recent years have shown growing diversity in the sector, with high-end automotive, fashion and interior design companies now looking to produce residential. These names include Aston Martin, Versace and Philippe Starck.

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While brand loyalty and resort-like amenities are a big part of the appeal, branded residences are ultimately real estate products that demand more basic amenities, like location, views and size, to appeal to today’s buyers. That’s why you’ll often find branded residences in some of the most prestigious addresses in big city markets like London, New York or Hong Kong.

As branded residences continue to prove themselves, the standard of luxury living continues to evolve beyond traditional 5 star service. Properties like the upcoming Peninsula London Residences are changing the standards of luxury living, with amenities that will include personalized concierge services, a fleet of chauffeur-driven Rolls Royce cars and high-end restaurants and shops, all with a canvas background which includes Buckingham Palace, Hyde Park Corner and Wellington Arch.

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“Going beyond the notion of a branded residence, the property is fully integrated into the hotel building, merging unparalleled hospitality and ultra-premium real estate,” says Simon Fernandez, Sales Director at Peninsula Residences London.

As is the case with other similar developments, The Peninsula Residences London will house an exclusive and limited offering of private residential offerings in a variety of sizes and floor plans.

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Couple that with a prime location, first-class amenities and a reputable name, like those found on the London Peninsula, and the project has instant global cachet.

Looking ahead, Nash believes demand for prime London property will only grow in the years to come. As a global hub, London’s property market is still considered one of the strongest in the world for ultra-prime property, especially as inventory shortages continue to drive up property prices. and that interest from Asian and American buyers remains strong.

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Hilton & Hyland is a founding member of Forbes Global Propertiesa consumer marketplace and member network of elite brokerages selling the world’s most luxurious homes.

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