In the recent months, Italy has been witnessing a decidedly new phenomenon. Several real estate funds, both Italian and foreign, are increasingly targeting prestigious properties in the beautiful country.
"This is a trend that is very relevant for us as well," declares Claudio Citzia, CEO of Luxforsale. "In the past few months, we have received several requests from international funds interested in evaluating luxury real estate operations in Italy. Certainly, the fact that Luxforsale offers a wide range of products, has partner agencies that can present and sell them, and also a company that can handle short-term rentals, makes us a privileged partner, but we are also amazed."
Why do real estate funds choose luxury properties?
This trend is evident in both retail real estate funds, open to all investors, and reserved funds, intended for qualified partners. Investors are increasingly directing their attention towards luxury properties, motivated by the prospect of price maintenance guarantees and the appreciation of properties over time. Prestigious properties not only provide a solid foundation for investments but also opportunities for business development.
Luxforsale Short Rent: A New Frontier of Opportunities
Another emerging trend is the growing interest in short rent, a highly profitable lifeline in case property sale times were to lengthen. In some cases, this approach is considered regardless and is particularly attractive to real estate funds, especially private ones, who see the tourist market as a highly lucrative source.
In which locations are real estate funds looking?
While in the past, luxury real estate investments were often concentrated in major cities like Milan and Rome, today the interest extends to more peripheral locations such as the Amalfi Coast, Versilia, the Cinque Terre, and emerging regions like Puglia and Sicily. This diversification is motivated by development opportunities and favorable investment conditions.
Factors Driving the Boom
Three main factors explain the boom in luxury real estate investments in Italy in recent months. Firstly, the unstable international economic situation has led investors to seek security in Italian luxury real estate, considered a safe and reliable investment. Additionally, Brexit has redirected many investors who were initially interested in the English market towards the Italian market, seeking new opportunities. Finally, post-Covid has influenced the search; even funds are looking for large, green, and livable spaces.
In conclusion, the landscape of luxury real estate investments in Italy is experiencing a period of significant growth and change, with a diversification of locations and an increasing focus on new opportunities, such as short rent.