Costa del Sol Leads Europe in Branded Luxury Residences
By Mas Property
on Tue Sep 02 2025
Spain is emerging as a global leader in branded residences—exclusive homes managed by luxury hotel chains that combine the privacy of ownership with five-star services. At the heart of this trend lies the Costa del Sol, which now accounts for 62% of Spain’s total supply of these properties, according to data from the forthcoming Branded Residences Monitor Report.
Across Spain, there are already 2,041 branded residential and tourist units, developed in partnership with renowned names such as Mandarin Oriental, W Hotels, Fendi, Dolce & Gabbana, and Karl Lagerfeld. The preview of the study, set for full release in September, highlights Marbella and Madrid as the country’s main hubs, with Malaga province dominating the coastal segment thanks to its climate, international demand, and mature luxury tourism infrastructure.
Although branded residences originated in the United States in the early 20th century, the model has expanded rapidly in Europe over the past decade. In 2025, Spain and Portugal together host more than 4,000 units across 50 developments, with a combined value exceeding €5.2 billion.
“Clients are no longer just looking for square metres and location; they want experiences, services, and the prestige of a brand to back up their investment,” said Felipe Reuse, Managing Director of Property Partners España. “Projects such as Fendi’s residences in Marbella or Mandarin Oriental in Madrid are just the beginning. This segment has vast potential in markets like Barcelona, Madrid, and the Balearic Islands.”
While Malaga leads on the coast, Madrid has become the second national hub for branded residences. Landmark projects such as Mandarin Oriental Residences in Salamanca and Banyan Tree Residences in Chamberí reflect a new vision for urban luxury living, blending premium design with high-end services.
The Monitor also reveals that branded residences currently under development in Spain are priced almost 59% higher than completed projects—evidence of strong demand and growing investor confidence. By 2027, analysts predict an additional 2,000 units, with the Balearic Islands expected to see the fastest expansion.
Property Partners, an international brokerage with more than a decade of experience across seven countries, has identified branded residences as one of the most transformative trends in the premium real estate sector.
“Beyond the services they provide, these homes embody an exclusive lifestyle where every detail is designed to elevate daily living,” the firm stated. “Though still a niche segment, their cultural, architectural, and economic impact will only grow stronger in the years ahead.”
Source: Sur In English, August 2025