Ibiza Real Estate Market Insights June 2021

IBIZA NEWS - The Real Deal

– Hope you are all keeping well!

After a bumpy April and May with quite a few  uncertainties and justified caution, Ibiza is now pretty much underway and ready to embrace the season.

Hotels are starting to bloom open, a number of new hotels & venues will be joining the island rich landscape and visitors are arriving with a vengeance.

 There is a sweet scent of  expectation and a serious desire to celebrate  after such challenging times.

The new hotels opening will further consolidate Ibiza as a premium destination, and institutional and investor interest remains high.

Demand for quality hard assets is robust and prices are remaining very firm.

A certain amount of rotation is taking place, venues are changing hands, new investors are eying opportunities.

The premium homes demand is strong as high net worth individuals continue to look for place in Ibiza with its high quality, cosmopolitan lifestyle and easy, tolerant attitudes and diversity.

The ability to work remotely and the open spaces the island offers together with year round ample doses of vitamin D, means houses and villas in Ibiza have all seen a gradual rerating in the past year.

Residential homes sales are expected to pick during the year, prices will continue to grow, and quality offer is limited.

New venues will add to the islands rich offering and vibrancy, while robust investor interest combined with a strongly improved summer season will all be a catalyst for next new version of our beloved Ibiza!

This train is getting ready to leave the station, get on before it is too late.

Stay safe, Stay Cautious. 

Whats happening?

NEW OPENING siau 5 star adults only in sant miquel

Alua Hotels & Resorts – Siau

The Alua Hotels is part of the Apple Leisure group.

This new, 95 bedroom, 5 star hotel is adults only and located right on the sea on the port de Sant Miquel in the north of Ibiza.

Easy going luxury, delicacies from the kitchen and all in a relaxed and peaceful setting.

Yet another nice addition to our island!

Can Aubarca new development

New Development minutes from Ibiza town

A well designed, high quality high end 20 villa development, set on the gentle hills just outside Ibiza town and minutes from the golf club.

House sizes ranging between 400m2 and 500m2 on plot sizes starting at 1,200m2 offering privacy and unspoiled views.

Available off plan for delivery in last quarter 2022.

Prices start at €2,500,000

WHAT ABOUT THE CLUBS?

Summer Dancing In Ibiza

The nightlife association is studying various alternatives with the authorities and advisors as to the options we have have this summer.

A test trail event has been organized at June end at the Hard Rock Hotel hosting 1500 people, mostly essential workers on the island. 

Indications seem to suggest that for sure outside venues will be able to celebrate events within certain limits and with controls 

All good news for the likes of Destino, Ibiza Rocks, Cova Santa and Ushuaia and other venues that can offer outside spaces. Maybe DC10? Fingers crossed.

What remains more uncertain is the possibility of the iconic and not so iconic venues with only indoor spaces.

Let us see how thing pan out!

record Private jets landing in Ibiza in may

Over 600 private flights registered over May

The top end of the market remains pretty firm as over 600 private jets landed in Ibiza during the month of May, with over 1200 operation carrying some 3000 people. This is 40% higher than in May 2019. The secret is out!

What else?

a new bill passed allowing fincas to enter the rental market

The old Ibiza fincas can rent out rooms!

A bill has been passed enabling finca built before 1956 and that comply with certain conditions will be granted to possibility to rent up to 3 bedrooms for 6 people during 60 days a year. 

A license can be apply for,  and a maximum of 6 units then can be purchased at 1/6 of the usual price, given the 60 day limitation. The prices for each unit are established at €700. 

A welcome addition to the islands accommodation pool giving our visits the chance for an authentic rural experience!

This also adds to real estate valuations.

Finally the right venue for cala moli?

Exciting new addition to the island!

From the legendary El Silencio club in Paris comes this wonderful addition to the Ibiza kaleidoscopic offering.

Arnaud Frisch brings us El Silencio Ibiza on Cala Moli.

A beach house with a cocktail bar piloted by SalmonGuru wunderkind Diego Cabrera.  The oven masterminded by the  star French Chef Jean Imbert who with Pharrell Williams created the collaborative ToShare concept.Music is curated by the  genial Arman Naafei and the artistic creations of our Miranda Makaroff blend into a truly immersive island experience.

So so welcome!

room mate fall out for its hotel launch

It appears that the Room Mate Hotel Groups launch in Ibiza will have to wait.Last minute disagreements  have just been irreconcilable.  The  property owners will open the renovated hotel under their historic name. El Puerto de Ibiza.

french experimental group takes over Hotel montesol

The Paris based group, already in Cap Des Falco with the beach club,  will take over management of this iconic 33 room hotel. It will also open the new Sabbaba restaurant specialised in Israeli cuisine.

 

The HISTORIC Fiesta Hotel TANIT undergoes major makeover

The JV between Azora and Matutes Group are spending an estimated €40 million on revamping this classic San Antonio family hotel of the 70’s into an adults only under the deluxe TRS brand and is expected to open in May 2022.

Lets check some numbers

housing starts are picking up

Inbound Flight Passenger Traffic

Not surprisingly we are seeing a strong pick up in air traffic and will see that expand over the peak months. Still largely below 2019 levels

sharp increase in mortgages issued

Offered Prices inch up

Listed offered price per m2 have been gradually climbing since autumn 2020.More notably in the higher price point ranges

listed homes for sale seem to be reducing

Residential Housing Sales still week

Indicated figure for 1q is soft but we expect to see a pick up in sales throughout the year and exceed 2020

keep your eye on ...

the yacht clubs expect a brisk summer

The Ports de Ibiza

Overall there is a sense of optimism in the air, with mooring  seeing occupancy running between 70% & 90%.  and boats 25 to 30 mts seeing full occupancy. The uncertainly lies in the superyachts  category demand is a little soft.

another big property buy in the making?

Rumours

Lots of buzz and gossip in the high end market.  Street talk about a big noisy acquisition to take place after the summer! 

Keep tuned

next issue september 2021

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