This is Kyle Crews with Paige Hinton, Director of Residential Marketing for The Ritz-Carlton Hotel Company at last week’s conference in Los Angeles: ”Luxury Real Estate – The Global Market Outlook and a Journey into the Hearts and Minds of the Super-Affluent and Wealthy.” Oh my, how I wish I could have been a shapely fly on the wall in itty bitty Louboutins. I have a feeling the super wealthy are going to clean up super big once they figure their way out of all the new taxes.
The event brings together major developers- such as Crescent Real Estate – and sales associates of residential properties managed by The Ritz-Carlton Company, such as our very own The Tower Residences at The Ritz-Carlton, Dallas.
Get this little factoid: out of 95 homes only 25 remain at The Tower Residences! (I think they have sold like 8 since spring.) The Ritz Carlton Residences at LA Live reps were there, too, a stunning development of 224 luxury residences on floors 27-52, over the The Ritz-Carlton Hotel in downtown LA, with typical unit pricing at $1100 psf. Hey, it’s California!
Topics included updates on Ritz-Carlton Hotel expansions, as well as sales updates on residential properties from around the world and several in the U.S. such as Los Angeles, Vail, Philadelphia, Atlanta, Miami, and Chicago. All properties reported strong sales in 2012, even Chicago. I heard, though have not confirmed, that Dallas (that would be Kyle’s team) outperformed them all. Stay tuned!
Paige is, BTW, the keeper of the prestigious Ritz brand, a story I will share with you soon. Paige arranged for the keynote speaker, Dr. Jim Taylor, head of The Harrison Group.
JIM TAYLOR is Vice Chairman of the Harrison Group, a major marketing firm that has done milestone research studies on wealth in America, spending and social habits of the rich. He tracks high net worth consumers like Jane Goodall tracked gorillas. He wrote The New Elite Blog and is also co-author of The 500 Year Delta: What Happens After What Comes Next and The Visionary’s Handbook.
Jim, I see you have not posted on the blog since 2009. Call me.
When American Express, Mercedes-Benz, General Motors, Audi, Acura, Bombardier, Coca-Cola, Microsoft, Glaxo, the Walt Disney Company, Kapalua Resort, Louis Vuitton, Citibank, Times, Architecture and Southern Living want to know how to attract wealthy consumers — I mean, let’s face it, poor people cannot buy anything, right? — this is who they turn to.
His presentation: “The State of the Global Market; the Comeback of Luxury Real Estate.” No kidding, as if we did not suspect. Jim predicts “robust” real estate market for branded properties such as Ritz-Carlton, in 3rd quarter 2013, based on findings from his latest Harrison Group/Amex Publishing wealth survey. Jim is of the opinion that luxury branded real estate, especially the Ritz-Carlton brand, will be perceived of as the best investment opportunity among the super-affluent and wealthy consumers. We know there are oodles of dollars being made in Texas and the “Third Coast” and dollars to be invested. If I worked in Houston, for example, I might just get a place at the Ritz and commute. And here’s an interesting fact: Gen X / Y rate the Ritz-Carlton brand with as much confidence and value as does the fussy Baby Boomers. Evidence of that is the large number of young 30 somethings who have bought at both towers. The best is yet to come for the R-C Brand almost 90 years since Caesar Ritz founded the first Hotel.
Now perhaps, it’s time to work on the pacifier crowd: I foresee a supply of Ritz bibs, booties and bathing mats. And something The Harrison Group would approve: travel nannies.
Kyle tells me there was even talk at the conference of condo demand actually exceeding supply in two years, especially in the luxury brand developments, thanks to the slowdown of condo construction during the recession, which, dear Lord, may still be with us.