As Asia becomes more affluent and billions of dollars flow into Asian real estate markets from all over the world, there is also more investing in luxury property, and more so in branded properties — the epitome of luxury. Branded property is increasing in popularity and becoming more important and relevant for well to do investors in luxury property, especially in resorts.
Usually, the use of very high‑end interior and superior service go hand in hand with luxury brands. Of course, many developers hail their properties as ’luxury’, but this is often based mainly on their prime locations. They do not necessarily invest in the kind of exclusive luxury required to back up their high‑end claims.
Luxury brands don’t just add fame and enhance and attract buyers to projects, they also bring expertise, tradition, service and well‑deserved reputations. The value of such branding is well worth the added cost. The additional cost might be too expensive for cheaper markets, smaller properties and poor locations, but in high‑cost, popular locations it’s well worth consideration. And that suits Phuket’s west coast well.
Despite countless ‘luxury’ projects around the island, international investors prefer to buy more expensive, well‑known branded properties from reputable hotel management brands, such as Dusit Thani and Banyan Tree. The same applies to the legendary Aman villas. The Angsana Beachfront Residences, a part of the Singapore‑based Banyan Tree Group’s Laguna Phuket complex were snatched up in a matter of weeks after their launch. The current resale price of this handsome beach property is some 40‑50% above the launch price.
The pricing is naturally higher, but it is relatively easy for developers to pass the cost on to buyers, because buyers of such luxury properties appreciate the added value of the top hospitality brands.