It’s safe to say we’re in the midst of a global real estate bull market. According to the Knight Frank Global House Price Index, the value of homes internationally rose by 8.4 percent in 2013, representing the highest annual increase since 1995.
“People love property because it has that tangibility that other assets don’t have,” says James Price, Knight Frank’s head of Global Real Estate in London.
Although it’s a global phenomenon, US buyers — especially New Yorkers — are particularly active abroad.
“Along with lifestyle considerations, New Yorkers — much like other High Net Worth Individuals [HNWIs] — now see foreign property as a wise investment as they look to spread and diversify their wealth,” Price says.
While much of this money is pouring into established urban centers, experts describe Americans as more entrepreneurial about snapping up property — willing to invest in everything from a private island in Antigua to vast farms in Zambia if the price (and property) is right.
Which means that now is the time to consider purchasing a pied-a-terre in Paris or Monaco, or maybe a row house in Charleston or a condo in Los Angeles. Alexa Luxe Living scoured the planet for the hottest markets for New York buyers, and found 20 destinations heating up the globe.
Monaco: Tour Odeon $350M+
The lure: It’s not just the beach and marina that makes Monaco special. “A large part of its appeal is the income-tax-free-zone status,” says Knight Frank’s Price. “Equally, it’s very secure. Add to that the location — the Alps, Italy and the Côte d’Azur are your playgrounds — and it’s very appealing.” Europeans traditionally bought into Monaco, but Americans looking for a well-placed pied-a-terre are flocking to this tiny principality bordered by France to have a look.
Key development: The Tour Odéon Monaco is reputed to be the most expensive tower in the world, with average sales hitting the $8,000-per-square-foot mark. At 49 stories, it’s practically a low-rise by New York standards, “but it’s the largest tower in the South of France region, so the views are incredible,” says Price. Architecturally, it’s the first new building in the whole country to have a contemporary style, “plus, it’s the first building with all the amenities of a luxury condo,” adds Price. More than a third of the 73 apartments have been scooped up since they were released two years ago. The Tour Odéon will be ready for its affluent residents later this year.
Record pricing: There is no formal price at this stage, but the penthouse at the Tour Odéon Monaco is rumored to be priced at more than $350 million.