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Property
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l High density off plan luxury developments have to some degree (and in some areas more than others) seen a flattening of prices and in some circumstances, where the speculator wants an exit, sold for less or a similar amount to price levels at launch – this signifies a downturn and lack of demand at this segment.
l High end off-plan developments with a good mix of units across the board (i.e 1-4 beds) by default increase your margin in attracting owner occupiers (the real market) and tends to reduce exposure to speculators. Gibraltar has found these projects, also lesser in volume, have done well over a similar period since their launch and are seeing good profit margins in most cases.
l Existing stock within the £300,000 to £900,000 range is relatively stable with some
of the larger properties in the 2 / 3 / 4 bedroom range seeing good growth and demand, further highlighting the confidence from the owner occupier driven markets.
l The 4th tier (£1.5m+) remains in general relatively flat. Understandably parking upwards of £1.5m under the circumstances upon which we find ourselves will be a tough ask and although we are not seeing price
117 Main Street Project
117 Main Street, is a refurbishment of an old grandiose freehold town house located in the heart of the city centre. There is clearly demand for refurbished grade A office space in the old town area and Sovereign Group will be relocating their entire operation into what will be a spectacular 1,300sqm of high end GradeA office space within a truly charming Freehold Building. This move marks and underpins confidence in our economy and a significant investment from an established player in the financial services sector.
Driven by confidence
Regardless of some concerns within the residential / lettings sector, the fact remains that Gibraltar is enjoying growth in our economy, driven by confidence from existing and established firms as well as from new sectors such as Distributed Ledger Technology (DLT). Gibraltar will continue to be an attractive proposition and although hurdles out of its control will present challenges, the jurisdiction is well placed and very able to overcome the uncertainties surrounding its small but dynamic and resilient centre – if Gibraltar’s history has anything to teach us, it is that it emerges far better from its hurdles than most.
Plata Villas, South District
reductions, we are equally not seeing the turnover of sales that were witnessed previous to June 2016.
Strong demand A mixed bag if ever there was one; from our experience and having witnessed various ups and downs, the
positive story remains that there continues to be strong demand, more so in specific segments led by owner occupiers.
The market however is price sensitive and has on many occasions, highlighted over pitching which invariably leads to lack of sales and inevitably a reduction in price. This reduction in price must not be confused by a recession in the wider market but rather a sensible adjustment to market prices.
Touching slightly on commercial property,
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24 Gibraltar International
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