Branded residences characterised by themes such as high fashion and luxury hospitality have made significant inroads in cities like Mumbai, Pune, Bengaluru and the National Capital Region.

“Branded residences cater to the aspirations of the discerning home-buyers who look far beyond the functional quotient of the residential property. Such home-buyers look for unparalleled exclusivity and bespoke amenities and services,” said Shishir Baijal, Chairman and Managing Director, Knight Frank India, while delivering the Knight Frank’s Branded Residences Report: 2019.

He further added: “With more and more buyers being discerning about the location, neighbourhood and gentry, branded residences have definitely carved a niche for themselves in India and will continue to have their specific buyers.”

According to Knight Frank report, branded residences are attracting a significant premium in Asian cities, with price differentials varying by up to 132 per cent compared to generic luxury developments.

Last year, highest premiums were seen in Bangkok at 132 per cent for above non-branded luxury residences, followed by Kuala Lumpur at 69 per cent, Manila at 36 per cent and Phuket at 8 per cent. Price premiums are driven primarily by location and can vary within the same city, the report said.

For suppliers (supply side) of branded residences, motivators include market differentiation, brand enhancement and year-round income, while for buyers (demand side), these include service, amenities, security and investment yield potential.

Liam Bailey, Global Head of Research at Knight Frank, said: “The market for hotel-branded residences has seen a strong growth, particularly in Thailand and Indonesia, with Asia now accounting for an estimated 30 per cent of 400 developments globally. This trend is set to continue.”

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