Due to their high added value, areas such as Puerta de Hierro, Valle Real, the so-called Zona Financiera and Colinas de San Javier have monopolized the luxury real estate market for many years. However, there is an area that is currently growing by leaps and bounds and is attracting the attention of those seeking high-end housing.
The current real estate growth in the south side of the city, which is estimated to have reached an increase of between 8 and 9 percent in the last two years, opens up new possibilities for the development of high-end real estate, said Óscar Daniel González Ruvalcaba, general director of R&M Luxury Real Estate.
“Definitely, the southern area of the city began to stand out a lot with the two new commercial developments Punto Sur and Galerías Santa Anita. Now it is no longer that distant area of the city, rather developers are looking more to the side of luxury, not like before, which was only to develop housing by volume.”
He indicated that this high level of development has triggered the residences in this area to gain a high added value in the short term, even though their cost is not as high as similar luxury properties in other parts of the city.
“Unlike other houses with the same characteristics, but in places like Providencia, Country and Puerta de Hierro, these are residences that continue to be in a lower range.”
Located in the municipality of Tlajomulco (one of the 10 most sought-after cities for Mexicans to live in, according to a study developed by the firm eBay), areas such as El Palomar, Club de Golf Santa Anita, La Rioja and Cielo Country Club contain the largest number of high-end properties, with prices ranging from 9,000,000 to 30,000,000 pesos.
For González, the commercial real estate development in the south of the city has gradually mitigated one of the main factors holding back the potential buyer: the high vehicular flow on López Mateos. However, he indicated that the development of hospitals, supermarket chains, department stores, schools and others have somewhat diminished this perception.
“Most of the people who end up living in the south of the city go downtown only for work, because now they already have everything nearby and can live their life without having to travel long distances.”
Among the features of the residences with the greatest demand in the high-end market are green areas and amenities such as swimming pool and game center, movie or television room, luxury finishes and technological equipment with automation systems, among others.
For González, the profile of the luxury property investor has been changing in recent years. He pointed out that it is increasingly noticeable to see younger profiles with an interest in acquiring a high-end property.
He shared that DINK couples (double income, no kids) are driving a growing market for luxury goods in Mexico. This sector seeks to acquire residential properties that, thanks to their luxury finishes and growing added value, represent a great investment opportunity.
“They are people over 35 years old with incomes over 60,000 pesos, who are already high-level professionals in their companies and/or have their own business and seek this investment to maximize their income.”
He stressed that the type of luxury property that is currently in most demand is the vertical development with comprehensive services, such as LandMark, which offers workspaces and commercial and housing options.
“They seek the convenience of being close to services,” said González, who noted that location has also become a decisive purchasing factor for this market niche, even above the size of the space.
Guadalajara still has a lot of potential for high-end real estate development, with advantages in its favor such as geographical location, nearby tourist cities, added value, the commercial development of the city and the new expansion of the Guadalajara airport.
In this sense, he commented that currently the Guadalajara Metropolitan Zone is experiencing a good time for investment, because prices in the luxury property segment are still affordable compared to other metropolitan areas in the country.
Currently, R&M Luxury Real Estate has a portfolio of 200 luxury properties in the vertical and horizontal areas of the city, which are distributed in areas such as Palomar, Puerta de Hierro and Puerta Las Lomas, among others.