According to an international study, the ski resort of Gstaad in Switzerland strengthens its leading position in the luxury ski property market but Val d’Isere sees its prices climb while Chamonix and St Gervais attract new customers.
Even though France is not top of the luxury ski property market in the mountains, the latest study by Knight Frank network devoted to the subject reveals several reasons for satisfaction. After 2015 years which saw average prices fall by 1% in the Alps (Swiss and French), prices had picked up by 1.8% by June this year) and France does rather well.
Of course, despite a strong Swiss franc Gstaad is the ski resort that beats all others with an annual jump of 13.3% to an average price exceeding 31,000 euros per square meter. But immediately behind, follow a string of French ski resorts where prices rose again: + 5.9% in Val d’Isere, Chamonix + 5%, + 3.4% in Courchevel 1850 and 3% in Courchevel 1550 or 2.8% in Méribel.
The study by Knight Frank also highlights the best routes for property investment in French Alps.. Noting that buyers are looking for the best value for money, “the appetite for resorts such as Chamonix and St Gervais is strengthened.” Another good point for Chamonix: its constant activity and infrastructure that make her win the title of “ski resort with best equipment and services throughout the year.”
Extensive future investment
Noting that all current buyers, even in the luxury property bracket, let their property for part of the year at least to cover their costs, Chamonix offers interesting possibilities. “Chamonix is primarily a town with more than 10,000 permanent residents and a number of summer visitors eclipsing the number of winter tourists.” And to enhance this view, the study points out that the Chamonix valley will benefit from a huge windfall of investment (477 million euros) in the coming years to improve its ski lifts and other equipment.
Moreover, Val d’Isère is also distinguished for its new gondola projects and equipment for beginners while Courchevel will invest 118 million in her ski lift system.
“Ski property buyers look more and more carefully into the investment and infrastructure plans and strategy of the main ski resorts before investing,” the study says. And it makes sense, “a savvy investor knows that more tourists mean fewer empty letting periods, a higher return on investment and, ultimately, a much more attractive and better valued real estate.”