Golf projects in Spain in the upswing
Golf properties in Spain are faring better than comparable properties on the coast as the country’s real estate market proves it is still attractive to foreign buyers.
Mediterranean countries such as Spain have been at the forefront of developing golf properties catering for a largely northern European market, one that wishes to combine golf with a pleasant and reliable climate.
Indeed, for many savvy buyers, purchasing a golf property is usually a decision made more on the quality of life enhancements which add to the location’s value and desirability than about putting balls.
In Spain, while KPMG’s Golf Benchmark Survey reveals that under half, 49%, of golf courses in Europe, the Middle East and Africa were profitable in 2010, properties on golf courses have still fared better than other comparable properties on the coast in the face of economic hardship seeing properties without a golf environment decrease 30% to 35% in value in comparison to a 20% maximum decrease in price for a golf property.
KPMG’s Golf Benchmark study reveals that the number of golf players in Europe, Middle East and Africa has been growing at around 5% every year for the last two decades, highlighting the popularity of the game.
Meanwhile, in response to huge demand for golfing holidays, Spain has one of the widest selections of golf properties to choose from, many of which have developed into golfing communities, offering sophisticated outdoor living without the isolation.
From a financial perspective, a property on a golf course can be a very sound investment, according to Ignacio Osle, Sales and Marketing Director of leading house builder Taylor Wimpey de España.
He pointed out that golf is a game that can be played throughout most of the year, giving opportunities to generate a year round rental income from the masses that demand a golfing holiday including not only the British but local Spaniards, Scandinavians and Germans.
In particular, in the last two years, people from northern European countries with other currencies stronger than the Euro have started to demand and buy golf properties along the Costa del Sol helping prices remain stable during 2010 and 2011.
‘Los Arqueros Golf and Country Club, an 18 hole course designed by the Spaniard Severiano Ballesteros is one example of a quality golf course that has performed remarkably well. We developed and sold during the last 11 years more than 1,200 apartments, villas and detached villas in Los Arqueros Golf Course. This year Los Arqueros celebrates its 20th anniversary and we are very proud to be in the official ranking of the Costa del Sol as the third most popular golf course of 2011,’ said Osle.
The company also has Los Altos del Golf in Andratx, Mallorca, nestled in the heart of the golf course. It consists of 16 large detached houses split into two, three and four bedroom properties. All the properties have generous proportions and offer either golf or sea views.