_Luxury residential prices continue to rise in Aspen, find out why?
Luxury prices in Aspen have followed an upward trajectory for several years, why do prices continue to rise steadily?
Aspen has limited or no growth opportunity due to its restricted residential and commercial development and you have a growing number of people who are spending more time here due to the “mind, body, spirit” lifestyle. In short, supply is restricted and you have ever-increasing demand.
Despite being the oldest ski resort in the US, are there any new, up- and-coming neighbourhoods that you expect to outperform the wider resort?
Historically, Red Mountain, West End and Central Core properties have seen the greatest number of sales and the highest price thresholds.
There has been a lack of demand in areas like Starwood, where the likes of John Denver, Rupert Murdoch, Prince Bandar and Dionne Warwick once called home. This has created an opportunity for buyers to purchase properties at a significant discount while still owning in one of the most prestigious neighbourhoods historically.
What proportion of your luxury buyers in Aspen are domestic and what proportion are from overseas?
Currently, about 80% of our buyers are domestic. We have seen the number of foreign buyers increase for consecutive years mostly due to Aspen’s robust market, varying price points and quality of life. In recent years, we have seen a large number of Australian, Russian, Asian and European buyers. Aspen even has Australia Appreciation Week every year 8-12 January.
What are resorts such as Aspen doing to attract the millennial generation?
Major development is taking place on Snowmass Mountain and Snowmass Village. This development includes an alpine coaster, zip line/canopy tour, climbing wall, challenge course and more mountain-bike trials. Aspen/ Snowmass is really becoming more of a year-round resort and we are capitalising on that.
What is your outlook for Aspen’s property market? (sales, prices, future investment etc.)
A ski home in the US has historically been a great investment, especially in Aspen, primarily due to the supply/demand imbalance.
I see Aspen’s property market following a steady upward trend in prices over the next five-years or more. As far as investment goes, there are certainly properties that are trading for a premium right now but there are just as many, if not more, opportunities to invest in great, well-priced neighbourhoods that will see value growth going forwards.
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Joshua Saslove is the President of Douglas Elliman Colorado, Knight Frank’s residential associate in the USA.