Super prime real estate refers to the most elite and luxurious properties in the world’s most desirable locations. The best of the best. These properties are characterised by their exceptional quality, unique features, rarity, price point and prime positioning. Super Prime residential is normally found in major global cities or sought-after resort destinations.
Super prime homes command extremely high prices and cater to ultra-high-net-worth individuals (UHNW).
Understanding Super Prime Real Estate
It’s important to understand that this classification is a moving target, historically “Prime” was the term most commonly used by real estate agents, and this was normally based around price, for example in London homes above £1 Million
However due to prices pretty much doubling every 10 years, most agents now class the top 5% of property as Prime and top 1% as Super Prime. Such is the increase in pricing around the globe we are now even seeing the term Ultra Prime. (That’s for another article)
In this article, we look at the characteristics of super prime real estate, and review how branded residences are now moving into this category of luxury real estate.
What is Super Prime Real Estate: The Key Characteristics
Super prime real estate is characterised by several key factors that set it apart from traditional luxury property.
Location: Super prime properties are situated in the most coveted areas of global cities or exclusive resort destinations. These locations offer a perfect blend of prestige, convenience, and often breathtaking views.
Price Point:The valuation of super prime real estate typically starts in the multi-million dollar range and can extend into the hundreds of millions for the most exceptional properties.
Rarity: By definition, super prime properties are rare. Their limited supply contributes significantly to their value and desirability. This could be a 30,000 SqFt Penthouse in a high rise in Miami, or a 10 bedroom mansion in London. Scarcity of super prime will only increase in areas such as London, due to new rules around size restrictions of new build apartments, and available land to develop homes in most major cities.
Quality and Design: These properties feature, history, impeccable design, often by world-renowned architects, and are finished with the finest materials and craftsmanship.
Amenities: Super prime homes and residences offer an array of luxurious amenities that go far beyond standard high-end properties, often including private elevators, state-of-the-art security systems, and bespoke concierge services.
The Rarity of Super Prime Real Estate
One of the defining features of super prime real estate is its extreme rarity. To understand what is super prime real estate in terms of market share:
– Super prime properties typically represent less than 0.1% to 3% of the total housing stock in a given market.
– In prime global cities like London, super prime properties (valued at over £10 million) account for approximately 0.1% to 1% of all residential properties.
– In New York City, residences valued at over $50 million—a common threshold for super prime in this market—likely constitute less than 0.5% of all residential properties. In general in the US $10-15 is a benchmark pricing for Super Prime.
All of these factors combined underscore the exclusivity of the super prime real estate segment.
Branded Residences: The New Kid on The Super Prime Real Estate Block
What is Super Prime Real Estate in the Context of Branded Residences?
Branded residences have started to become a significant force within the super prime real estate market. These branded homes are associated with luxury hotel brands, high-end fashion houses, luxury car makers and design firms, offer a unique brand value that resonates with UHNW home seekers, and property investors.
Branded residences frequently fall into the super prime category due to several factors, and not just limited to price point
Brand Cachet: The association with luxury brands like Four Seasons, Ritz-Carlton, or Armani adds an extra layer of prestige and perceived value. There is also a sense of brand loyalty which is adding to the appeal of branded homes.
Location: Like other super prime properties, branded residences are typically situated in prime locations within the world’s most desirable cities and resorts.
Service and Amenities: These luxury residences often offer hotel-like services and amenities that exceed even typical super prime standards. Due to the boom in development, developers are having to up their game when it comes to facilities and amenities provided to homeowners, which is resulting in some projects providing levels that even exceed some of the best hotels in the world.
Design and Quality: Branded residences leverage the design expertise and quality standards of their associated luxury brands, ensuring an exceptional living experience. Brands do not simply and easily allow their mark to be casually used. They are normally involved from the outset, from initial planning stages through to completion. And in the case of Hotel branded Residences the associated brand will take on full management of the project once the development is open.
Exclusivity: Many branded residence projects limit the number of homes available, adding to their rarity and desirability. In general you will not see 1000’s of units in a branded residence project.
Historical Appeal: Some may argue that branded residence are all new build projects and therefore have no historical significance, however due to lack of available land in major cities, developers are converting existing structures and completely rebuilding them from the inside out, whilst retaining their historical charm. A great example of this is The OWO Residences in London.
Built from 1886 to 1906, The OWO originally housed the UK’s Ministry of Defence, where such towering statesmen as Winston Churchill and Lord Haldane worked, and provided inspiration for the intelligence officer-turned-James Bond creator Ian Fleming
The Residences at The OWO has the reputation of being one of the finest branded residence projects in the world, on pricing alone some of the rooms easily fall into Super Prime.
Branded Residences: Super Prime Price Point
While not all branded residences automatically qualify as super prime, there is significant overlap between these categories. Many projects full into the category purely on price point, whilst others may not hit it on price for standard entry pricing, but most will have rooms available, that put them well into super prime price point.
The additional combination of luxury brand association, prime locations, and exceptional quality often pushes branded residences into the super prime segment along with price, particularly in top global markets.
Global Hotspots: Where to Find Super Prime Real Estate
New York City
New York’s super prime market is centered around iconic locations such as:
- – Central Park South, home to ultra-luxury towers like 220 Central Park South
- – Billionaires’ Row along 57th Street
- – Historic penthouses in buildings like the Dakota or the San Remo
- – 5th Avenue home to Aman New York
London
London’s super prime properties are concentrated in neighbourhoods such as:
- – Mayfair
- – Knightsbridge
- – Belgravia
- – The Royal Borough of Kensington and Chelsea
Hong Kong
Despite recent market fluctuations, Hong Kong remains a super prime powerhouse, with key areas including:
- – The Peak
- – Repulse Bay
- – Deep Water Bay
- – Tai Tam
- – Jardine’s Lookout.
- – Lam Tsuen
Dubai
Dubai has rapidly ascended in the super prime market in the past 5 years, with notable developments in areas such as:
- – Palm Jumeirah
- – Burj Khalifa residences
- – Emirates Hills
Other Notable Locations.
- – Monaco: Virtually the entire principality qualifies as super prime
- – Paris: Areas like the 16th arrondissement and Île Saint-Louis
- – Singapore: Sentosa Cove and Orchard Road
- – Los Angeles: Beverly Hills, Miami and Bel Air
The Economics of Super Prime Real Estate
The super prime market operates somewhat independently from broader real estate trends, and whilst not immune to global downturn events, the key characteristics of this ultra luxury sector seemingly, continues to grow, and there are very little signs that UHNW individuals are going to lose their desire to own the worlds best homes.
- – Limited supply and consistent demand from ultra-high-net-worth individuals help maintain and increase the value
- – These luxury properties often serve as wealth preservation assets for global elites
- – Transactions frequently occur off-market, adding to the segment’s mystique
The Future for Branded Residences in the Super Prime Market
The branded residence sector is likely to see greater growth in the market in our opinion. New developments are having to provide (due to the competition) enhanced facilities, service standards and build quality, which is increasing the costs considerably to develop the projects.
This is having a knock on impact on the sales prices, resulting in new projects coming to market immediately hitting the super prime threshold as far as pricing.
Conclusion
In conclusion, super prime real estate represents the apex of the property market, offering luxury, exclusivity, history, and prestige to a select group of ultra-high-net-worth individuals.
Comprising of less than approximately 0.1% to 5% of the global housing stock, these extraordinary properties are defined by their prime locations, exceptional quality, and comprehensive array of amenities and services.
Branded residences are also emerging as a key component of the super prime category, blending the power and expertise of luxury brands with the allure of exceptional homes. As the concept of luxury continues to evolve, super prime real estate—including branded residences—will undoubtedly adapt, innovate, and continue to push the boundaries of what’s possible in these elite living spaces.
Understanding what is super prime real estate goes beyond recognising its high price tag; it’s about appreciating the unique combination of history, quality, size, location, design, amenities, and exclusivity that these properties offer.
.
BRESI is the world’s first platform dedicated to the selling and marketing of branded residences. BRESI is an exclusive platform for owners, developers, and hotel groups to promote luxury branded residences
Our goal is to highlight the best branded real estate for sale around the globe, and to provide insight and news from the sector
DISCLAIMER: All information in this article is for information purposes only. For more detailed information please visit the links cited in the article. BRESI claims no copyright to any of the images.
Cover Image Courtesy of Sotheby’s International Realty
