America leads the global market for branded residences… But What about the future?

According to a recent report published by Savills, an internationally renowned real estate consultancy, North America and Latin America are consolidating their position as epicenters for the development of branded residences, a booming segment within luxury real estate. With more than 370 active and completed projects, the Americas easily surpass other regions in the world in this high-end real estate niche.

Americas, global leader in branded residence developments

With 260 branded residences already completed and another 116 under development, North America leads the global ranking for this type of residential assets. Overall, the Americas (including Central and South America) register 90% more developments than Asia-Pacific, the second most active region in the world in this area.

This dominance over other regions dates back to the late 1930s, when the first branded residence was launched in the United States, specifically in 1927 in New York with the Sherry-Netherland Hotel. The mid-1980s saw significant growth in the number of projects, also in the United States, and it could be said that this is when true dominance began to be actively exerted. Until 2015, North America held more than 50% of the global market share. However, in recent years, there has been a clear geographic diversification, with growing interest in regions such as Latin America and the Caribbean.

Sustained growth and projections for 2025-2031

According to the Savills report, between 2020 and 2024, year-on-year growth in the Americas was moderate, below 10%. However, a double-digit rebound is expected between 2025 and 2027, driven primarily by the expansion of developments in emerging markets.

In particular, Central and Latin America show great potential, with annual growth of up to 30% in some countries. This dynamism will undoubtedly consolidate the region as a strategic pillar for the future of luxury residential globally.

Luxury real estate hotspots in the Americas

Among the most active cities in the construction of branded residences are:

• South Florida and New York are established global destinations for branded residences.
• São Paulo, which is positioned as the third most dynamic metropolitan market, reflects the rise of South America.
• Tourist destinations in Mexico, which are attracting the attention of international buyers, are primarily interested in high-end vacation properties.

Urban vs. vacation: The new balance in residential environments

Since the late 1990s, the balance between urban and vacation developments has been key. Although between 2011 and 2015, projects in cities predominated, in 2020 and 2021, vacation residences doubled the number of urban ones.

Furthermore, independent branded residences (those not affiliated with a hotel chain) are gaining prominence, representing between 10% and 15% of the global total. In the Americas, this model has traditionally been dominant, with three out of every four independent projects globally located on the continent.

Main residential luxury brands in the Americas

The Ritz-Carlton leads the branded residences market in the Americas, followed by Four Seasons, both with a significant presence in both urban and resort destinations. A key differentiator for The Ritz-Carlton is its commitment to independent developments, which represent 30% of its portfolio.

Other notable brands within this space include:

• Rosewood: 25% of its projects are independent residences.
• Mandarin Oriental: 20% of its portfolio is comprised of this type of residence.
• One&Only and Six Senses are rapidly expanding their presence, with more projects under development than delivered in the region.

As for non-hotel brands, YOO leads the segment with 44 projects, while Pininfarina stands out as the most active design firm, with a strong concentration.

The branded premium model, an option on the rise

The premium factor of branded residences—that is, the added value compared to similar unbranded properties—increased by one percentage point between 2023 and 2024 in the Americas, rising from 31% to 32%.

This is especially relevant in South America, where the market is still developing, presenting a significant opportunity for developers. In the region’s emerging markets, the brand premium could reach some of the highest levels in the world.

Outlook for 2031: The Americas will strengthen their leadership

The number of branded residences in the Americas is estimated to grow by more than 160% by 2031. In the United States, projected growth is 150%, while Mexico and Brazil, with a combined 135 projects, could see an increase of 270%.

The Caribbean also plays a key role in the region: Its 14 countries project growth of 240%, making the subregion one of the most promising for premium real estate.

The Americas are the epicenter of the future of residential luxury

The combination of established global brands, new design players, world-class tourist destinations, and high-potential emerging markets positions the Americas as the undisputed leading region for luxury branded residences.

With a booming market, growing demand, and a favorable investment environment, the future of luxury real estate in the Americas is brighter than ever.