On "Silver Cities" and Luxury Living

Excerpt from "The World’s Most Iconic Experiential Luxury: How Leading Brands are Shaping the Future of Hospitality ", a CXG report.

Beyond the mere concept of hotels and restaurants, the trend has evolved into the phenomenon of branded residences. Simply put, branded residences are luxury residential properties developed by brands in partnership with a developer/architect lending their name and unique branding experience to the properties. This allows buyers to purchase a meticulously designed permanent quarter (sometimes within a hotel, often standalone) in desirable locations. This was the purview of hoteliers (St. Regis, Four Seasons, Montage, Dorchester Collection, Waldorf Astoria, Nomad, Rosewood, Banyan Tree, Auberge, Six Senses, and others). Today, luxury brands are putting their stamp on anything from branded residences to private clubs, co-working spaces (Soho House), and unique transportation like yachts (Restoration Hardware) and jets (Four Seasons). This opens new markets and customer segments while maintaining the exclusivity and luxury experience.

What is Happening in the Branded Real Estate Segment?

Living the Brand: Of particular interest in this space is the unexpected engagement of luxury brands from the automotive, jewelry, and home goods segments. To wit, Aston Martin, Bugatti, Porsche, Mercedes Benz, and Bentley are examples in the automotive industry, while Baccarat and Bulgari represent jewelry and home goods brands. The connection between an automotive or jewelry brand and a residence may not be intuitive at first glance. On second thought, it can be seen as a liaison based on luxury lifestyle rather than the adjacency of the product. It becomes a brand extension that taps into the lifestyle desires of existing customers or potential target customers. This is why these concepts have been so wildly popular: they simply align with luxury consumers’ desire to live and embody the image of a particular brand.

In addition, we have the usual suspects of fashion brands lending their name and essence to branded residences, including Armani, Diesel, Cavalli, and Fendi. However, aside from what a hotel brand can offer in branded residences, luxury brands tend to kick it up a notch. An example is Aston Martin in Miami, where owners of Signature Residences can choose between an Aston Martin DB11 Riverwalk Edition or DBX Riverwalk Edition (the SUV) to go with their new residence.

From a sales and marketing perspective, luxury branded residences are genius: they truly immerse the consumer in the brand via products, furnishings, and the aura and essence of the brand reflected in the surroundings and lived daily, thus fostering deeper ties between the brand and the customer. It is also essential that brands retain reasonable authority and control both during the construction and operational process to make sure developers and operators are fully invested in the brand’s DNA from an aesthetic, craftsmanship, service and quality point of view to prevent a potential dilution of brand equity.

Download "The World’s Most Iconic Experiential Luxury: How Leading Brands Are Shaping the Future of Hospitality " report.

A Hypothetical Reality: Boomers Will Have Their Own “Silver Cities”

Excerpt from "What If…Boomers Become Luxury’s New Obsession? Luxury’s Silver Lining "

Let’s imagine a reality where brands segue from branded residences to branded high-end retirement communities replete with their products and services. Bingo nights and sterile hallways will become a thing of the past, and boomers will reside in meticulously designed urban enclaves catering to the active and affluent older population with outstanding amenities and a focus on well-being. Examples of luxury retirement communities and residences abound, including Binswood Hall in the UK, Hope Island on Australia’s Gold Coast and Sarasota Bay Club, Florida. Imagining Bugatti or Armani putting its branding stamp on a high-end retirement residence somewhere in Palm Beach or Turks and Caicos soon is hardly far-fetched. The hallmarks of such communities will be as follows:

• A Redefinition of Luxury: The days of one-size-fits-all senior housing will soon be gone.?Luxury here will translate to?personalized service.?Older cohorts will enjoy high-rise apartments with stunning views outfitted with the latest smart-home technology for ease and safety.?On-site concierge teams will handle everything from scheduling doctor appointments to planning social events.
• Focus on Wellness: These communities will prioritize holistic well-being.?State-of-the-art fitness centers with trainers specializing in senior fitness,?rooftop gardens for urban agriculture and social interaction,?and even on-site medical facilities with preventative care will be included.
• Social Connection Will Be Critical: Human connection is crucial at every stage of life.?“Silver communities” will combat isolation by fostering a sense of community. Residents can enjoy art studios,?gourmet restaurants with nutritionally tailored menus,?and even theaters or performance spaces.?These features not only provide entertainment but also create opportunities to connect with like-minded individuals.
• Connecting with Urban Centers: These enclaves won’t be isolated but will be seamlessly integrated into existing urban landscapes,?allowing residents easy access to cultural attractions,?museums,?and green spaces.?This will foster a sense of belonging and allow seniors to remain engaged with the city’s energy.

A truly mind-blowing iteration of this concept is the idea of purpose-built cities that will accommodate the general population and possibly cater to the older set.

Read the full "What If…Boomers Become Luxury’s New Obsession? Luxury’s “Silver Lining " from Silvia Coleman

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