A mythical destination on the Côte d'Azur, Monaco shines far beyond the Mediterranean. Its real estate market attracts investors from all over the world. Specialized in the sale, rental and management of prestigious properties in Monte-Carlo and on the Côte d'Azur, Piras Real Estate provides an update on real estate in the Principality. A particularly dynamic non-standard market!
Monaco: the ingredients of an exceptional attractiveness
With an area of 2.02 km², the Principality of Monaco ranks second among the smallest states in the world after the Vatican. Located halfway between Nice (18 km) and the Italian border (12 km), this small constitutional monarchy had in 2021 no less than 39,520 subjects. Between sea and mountains, Monaco offers an exceptional living environment. Generous, its sun shines 300 days a year. It illuminates many sporting and cultural events. Its streets, exceptionally safe, also allow you to enjoy a peaceful life in a particularly well-kept environment.
A high place of luxury and glamour, Monaco offers a privileged international clientele a prestigious address on the Côte d'Azur. Its Belle-Époque casino, its Opéra Garnier in Monte-Carlo, its marina, its prestigious hotels and luxury boutiques attract an affluent international clientele and many visitors. Beyond its prestige, Monaco applies a particularly attractive tax policy to its residents. The Principality does not tax income from capital and work and its property tax regime is very favourable.
A necessarily high price level
The small size of the Principality de facto limits the real estate supply. Aware of the problem, the Monegasque authorities have launched an ambitious extension project on the sea. The 6 hectares of this eco-district, called Anse du Panier, will house a port, offices and high-end housing. Despite these efforts, the imbalance between supply and demand keeps property prices in Monaco at particularly high levels. At the end of 2022, the price per square meter for an apartment was up 5% over 1 year. In the Carré d'Or of Monte-Carlo, the most popular and expensive district of the Principality, apartments often go for up to 100,000 €/m²! By way of comparison, the price per square meter in the most popular districts of Paris does not exceed €17,000!
The strong growth in real estate prices in Monaco is also generating very good potential capital gains. According to the latest report from the Real Estate Observatory published by the Monegasque Institute for Statistics and Economic Studies (IMSEE), investors who made an acquisition in Monaco 10 years ago recorded a 75% increase in value of their property!
A dynamic market
The Principality of Monaco has just under 20,000 homes. This stock is mostly made up of apartments. As everywhere in the world, the Monegasque real estate transaction market was affected by the Covid-19 crisis in 2020 and 2021. However, the number of real estate transactions remained above 400 and the year 2022 promises to be much better. While the new-build market was particularly dynamic, the old-build market is not to be outdone: the year should finally record 500 resales of apartments for an overall business volume of 2 billion euros.
Real estate by area
Despite its small area, the Principality of Monaco has 7 different districts. Each of them has developed a real identity. (The prices per square meter indicated come from the statements of the Principality's Tax Department.)(1)
• La Rousse - Saint Roman: the easternmost district of the Principality, it gives direct access to the French towns of Roquebrune-Cap-Martin and Menton. Mainly residential, it has recently welcomed a new business district. Delivered in 2015 on the boulevard de l'Annonciade, the Odéon tower (49 floors – 170 meters high) houses one of the most expensive apartments in the world (a penthouse at 300 million euros).
• Le Larvotto: on the seafront and therefore with direct access to the beaches. This area is relatively lively. It hosts hotels and residential buildings and the famous Sporting Monte-Carlo, an entertainment complex renowned for the excellent level of its events.
• Monte-Carlo: located on the eastern part of the port, it houses the famous casino, luxury brands and prestigious hotels. Particularly popular, this historic district offers Belle-Époque buildings and sumptuous recent constructions.
• Le Rocher: officially called Monaco-Ville, it houses the Prince's Palace and other Monegasque institutions. Much appreciated for its village spirit, it offers a residential offer that is too small to establish a price per square meter statistics.
• La Condamine: this district encompasses Port Hercule. Very commercial and very lively, it hosts many restaurants and night establishments.
• Fontvieille: built on the sea, it hosts the Louis II stadium, an industrial zone, the shopping center and the second port of Monaco. Paradoxically, this district has remained very green and offers superb walks by the sea.
• The Jardin Exotique: this family residential area takes its name from the municipal botanical garden there. Its height offers a breathtaking view of the sea and the Rock.
Opportunities in Monaco are rare and are acquired very quickly. Created in 1976, PIRAS Real Estate has established itself as the Monegasque real estate reference. Its know-how allows you to realize your project in the best conditions. An essential support for selling, buying or renting in Monaco!
(1) https://www.monaco-tribune.com/2022/02/immobilier-pour-la-premiere-fois-le-prix-moyen-du-metre-carre-depasse-les-50-000-euros -a-monaco/#:~:text=According to%C3%A8s%20les%20given%C3%A9es%20de,rather%C3%B4t%20les%2035%20400%20euros.