A group of high-level hospitality industry leaders gather at The Dining Room at RH Guesthouse in New York to explore the phenomenal growth in branded residences. 

Billed as ‘a series of curated conversations on hospitality, real estate and development,’ AWAKEN events are a collaboration between RH Contract, Sleeper and AHEAD. Developed in contrast to the traditional speaker-and-audience panel format, AWAKEN instead comprises a guided discussion, encouraging open, free-flowing conversation between guests. For this inaugural edition, attendees included developers, operators, architects and designers from across North America and beyond. 

 

 

With the audience casually seated in the cocooning surrounds of The Dining Room at RH Guesthouse, attendees dined on signature dishes from the brunch menu, before delving into the ‘Branded Residences Landscape’. 

Matt Turner, Editor-in-Chief at Sleeper Media, explained the choice of topic, highlighting some key statistics: “In the decade 2012-2022, the branded residences sector grew by over 150%, and is forecast to almost double by 2027. There are an estimated 100,000+ branded units across 640 projects worldwide with a further 1,100 schemes worldwide expected by 2027… and these are conservative estimates if anything.” One of the biggest factors driving this growth, he explained, “is the simple fact that branded residences typically command a price premium over unbranded, somewhere in the region of 30%.” 

 

 

Markus Schreyer, co-founder of META Foundation, then opened the debate to the floor, outlining three further forces that he sees driving a revolution in luxury living: “Consumer sentiment has changed. Buyers today aren’t just looking for a space; they’re looking for an experience. They want a home that is a reflection or extension of their lifestyle.” From a developer perspective, he added: “Many buyers are seeking branded residences as a second or third home, are less sensitive to interest rate fluctuations and more focused on long-term value. Branded residences offer a massive opportunity to drive capital through pre-sales of residential components in the development phase, supporting financial feasibility early in a project lifecycle.” 

Finally, he argued that brands are having a significant impact: “Luxury brands offer a sense of security and pride in ownership. In hospitality, we have what it takes to deliver on this, providing high-end service and a curated luxury living experience for affluent buyers.” 

 

 

The ensuing conversation explored the branded residences phenomenon from a variety of angles, with guests contributing their thoughts on what is driving this explosive growth. Key points of discussion included the question of whether non-hospitality luxury brands from sectors such as fashion, retail and the automotive industry could create as coherent a lifestyle experience in residential projects as hotel brands can. The debate ended with a look at the complexities involved in delivering branded residences, and the differences with traditional hotel schemes in terms of execution and FF&E specification.  

Wrapping up the event, Turner concluded: “I hope we all learned many valuable insights from our peers in the room. We will be hosting more of these events in future to awaken more curiosity, more collaboration and more conversations within our industry.”