The Luxury Real Estate Market on the Côte d’Azur

The strength of the luxury real estate market on the Côte d’Azur is mainly down to foreign buyers. The region is historically linked to the foreign community in particular the British aristocracy who came to the area at the end of the 18^th century before it grew in popularity with the European nobility.

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This period saw splendid villas and buildings being constructed in the Belle Epoque style, a type of architecture still appreciated today; if you are planning to buy a luxury property in the area, nowadays you can also choose among contemporary villas and apartments, as well as traditional farmhouses, provençal-style homes and other more specific kinds of properties like mansions and hôtel particulier.

If the British along with Americans, Italians and other continental European (from Switzerland and the Nordic countries) have long been the traditional players in the luxury market, the French Riviera has been attracting a more and more diverse international clientele, particularly from Russia, Eastern Europe and the Middle East, who is predominantly interested in properties with a higher price bracket and has recently been purchasing a number of iconic assets, such as castles, vineyards and grand hotels.

While the full effect of Hollande’s policies is still to be seen, from a survey that we have conducted among local luxury property agents in November 2012, we estimate that on average property prices have lost 10% in 2012, with peaks of -20% in the Western and Eastern areas of the French Riviera; properties priced between EUR 1M and 5M are the ones which attracted most interest. In many cases asking prices have not dropped but sellers have been more willing to negotiate significant reductions.

Before starting your search on the Côte d’Azur it is important to clearly define the type of property and location you are looking for as there is a vast amount of choice. Beyond the most renowned (and expensive) locations such as St Tropez, Cannes, Mougins, Cap Ferrat, Cap d’Antibes, Montecarlo and Saint Paul de Vence, it is worth mentioning that the French Riviera offers a number of other locations (read here our post on the hidden gems in the Côte d’Azur), maybe less celebrated but not necessarily less interesting, especially if you are interested in considering a property that is more distant from the coastline.

Following we have analyzed pros and cons of three different choices which are the most popular among luxury property buyers while at the same time being very different from each other: waterfront villas, panoramic properties and town centre apartments.

Waterfront villas: homes of luxury

Some of the most prestigious properties which offer direct access to the sea are located on one of the capes: Cap Martin, Cap d’Ail, Cap Ferrat and Cap d’Antibes. However there are also amazing properties available between Golfe Juan and Cannes as well as in the department of Var. These villas, which are usually in the Belle Epoque or ultra-modern style often have private access to the seaside and private mooring.

One of the top locations for this category is Saint-Jean-Cap-Ferrat. This small peninsula of 282 hectares and 2100 inhabitants, just 10 minutes from Nice, is home to 500 luxurious villas and is a haven for the elite. Aside from the outstanding natural beauty and tranquility, the prestige of the address and the proximity to Monaco, a centre for business and entertainment, are especially appealing to foreign buyers who are looking for a safe mid to long term investment. The real estate market of Saint-Jean-Cap-Ferrat is governed by its own set of rules: many transactions are highly confidential and tend to take place between individuals or companies without any mass marketing or publicity.

There are also other areas which offer exclusive seafront properties such as the restricted, gated community of Parcs de Saint-Tropez which has about one hundred. Cap d’Antibes has the famous Billionaires Bay with some of the most spectacular properties on the Cote d’Azur, however demand is very high and the number of properties available remains extremely low. Nevertheless there are villas with direct access to the sea available along Cap d’Antibes.

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Panoramic properties

For lovers of stunning views over the Mediterranean, Cannes is often the first port of call thanks to its three hills. The district of Cannes Californie is particularly desirable for its high profile and its prestigious homes with panoramic views of the Bay of Cannes and the îles de Lérins, all found among lush verdant scenery.

Cannes Croix-des-Gardes is another area which is known for its beautiful luxury properties and its wonderful views, with the natural park of the same name close by.

Other towns which offer properties overlooking the sea include the ‘villages perchés’ of Ramatuelle and Gassin on the outskirts of Saint-Tropez, appealing for their pretty charm, stunning countryside and typical French lifestyle complete with small local shops and traditional markets.

Mougins also has panoramic high areas with exceptional scenery and wonderful positions with views of the village and the sea. It is a quiet, secluded area, far from being ostentatious where the village atmosphere has remained intact.

The area of Saint-Paul-de-Vence and La Colle-sur-Loup offers some great luxury options, most notably in the private community of Les Hauts de Saint Paul which has about one hundred prestigious properties.

Luxury city centre apartments

Apartment types vary greatly from one town to another: it is difficult to compare a penthouse with terrace in Monte-Carlo with an apartment in the winding streets of Saint-Tropez’s old town. Therefore it is a good idea to select and visit the town or village which best reflects your personal lifestyle or that which you are looking for on the Côte d’Azur. For example, those looking for a fashionable social life should choose a town such as Cannes or Monaco, while a lover of nature and tranquility would prefer an area like Mougins or Ramatuelle. The different characteristics of the French Riviera allow you to easily find a place that suits you best.

Before buying a town apartment, it is important to consider its pros and cons (we have listed the main ones below):

The advantages:

• Limited use of the car. Remember that the French Riviera is particularly crowded during the summer months, not needing to use a car could save you many inconveniences.
• The chance to easily follow and attend prestigious events such as the Cannes Film festival or the Monaco Grand Prix.
• Proximity of the marinas of towns such as Antibes or Saint-Tropez which offer the possibility of moorings for your boat.
• The possibility to completely enjoy the town. Whether it is a lively, vibrant city such as Nice or Cannes or a quiet, traditional village you will have all of the amenities and entertainments of the town at your fingertips.

…and the disadvantages:

• During high season watch out for the noise and the congestion especially in the larger and more touristic locations.
• It is difficult to find larger properties in the centre of town and don’t forget that outside areas (including parking) may be restricted.
• Privacy is harder to find compared to a waterfront or countryside property.
• It can be a difficult and potentially lengthy process to make structural alterations due to administrative constraints.

Do you have any other suggestions about buying a luxury property in Côte d’Azur? Can you share additional information about the trends in the local property market? We would be delighted to hear from you.