Luxury Branded Residences Reach a Market Value of €2.5 Billion on the Costa del Sol

Branded residences have become one of the fastest-growing segments of the Costa del Sol’s luxury property market.

There are currently 23 active developments along the Málaga coastline, comprising a total of 1,559 homes and representing an estimated market value of almost €2.5 billion, according to figures presented by Branded Residences Monitor at Vitur Summit 2026.

Luxury Homes with Hotel-Style Services

This model combines private home ownership with the services and standards normally associated with high-end hotels.

Owners can benefit from services such as 24-hour concierge, security, cleaning, maintenance, restaurants, spas, gyms and professional property management.

The connection with an internationally recognised brand also provides a distinctive design, established quality standards and a consistent residential experience. These features are particularly attractive to international buyers seeking a second home that can be fully managed while they are away.

The average branded residence currently under development in Andalusia is an apartment measuring approximately 247 square metres, with an estimated value of around €2.9 million per unit.

Málaga Becomes Spain’s Main Hub

Málaga province accounts for around half of Spain’s branded residence developments and approximately 62% of all units planned nationwide.

Marbella, Benahavís, Estepona and Casares are among the principal areas attracting these projects, supported by international demand, golf courses, luxury hotels and a growing range of premium services.

The Costa del Sol’s climate, connectivity and established high-end tourism market have helped position the region as one of the country’s most important locations for this type of investment.

More Than 1,000 New Homes Planned

The sector is expected to continue expanding over the next few years.

Projects currently under development are expected to add more than 1,000 new residences from 2026 onwards, while over 600 additional homes are scheduled for completion in 2028 alone.

Industry reports suggest that the market is still at an early stage of development and has not yet reached maturity. This leaves room for further hotel groups, fashion brands, developers and international investors to enter the Costa del Sol market.

International Luxury Brands Choose the Costa del Sol

Among the developments driving this growth are Spain’s first St. Regis Residences, linked to Marriott and located at Finca Cortesin in Casares.

Another major project is Armani Residences Marbella, developed through a partnership between Sierra Blanca Estates, Palya Invest and the Italian fashion house.

The complex is expected to include 33 residences, a private club, spa, gym, 24-hour concierge service and landscaped gardens.

These projects are joined by other developments associated with hotel, automotive, fashion and design brands, reinforcing the Costa del Sol’s position within the international luxury property market.

Buyers Seek Services, Privacy and Quality of Life

The rise of branded residences also reflects changing priorities among luxury buyers.

Location and property size remain important, but security, privacy, full-service maintenance and access to personalised services are playing an increasingly significant role.

These properties usually command higher prices than comparable luxury homes because of the brand name, professional management and exclusive services included.

For many buyers, the appeal lies not only in owning a prestigious property but also in enjoying a complete residential experience without having to manage the practical details themselves.

A Market Transforming Luxury Living

The growth of branded residences is strengthening the Costa del Sol’s position as one of Europe’s leading destinations for luxury residential investment.

Its combination of climate, international transport connections, gastronomy, golf courses, premium hotels and lifestyle services continues to attract buyers looking for more than a conventional second home.

With new projects already underway and more than 1,000 units planned in the short term, branded residences are expected to play an increasingly important role in the development of Málaga’s luxury property market.

Key Market Figures

Active projects on the Costa del Sol: 23
Total number of residences: 1,559
Estimated market value: Nearly €2.5 billion
Average property size: 247 square metres
Average value per unit: Approximately €2.9 million
New units planned from 2026: More than 1,000
Homes scheduled for 2028: More than 600

Information source: Diario Sur