Cannes : prestige properties

The third largest town in the Alpes-Maritimes after Nice and Antibes with almost 75,000 inhabitants, Cannes is renowned the world over for its wonderful climate, tourist industry, cultural activities, and high-class residential accommodation.

A town assoc­iated with luxury (thanks especially to its numerous palatial hotels) and international festivals (the Film Festival, MIDEM, NRJ Music Awards, MIPIM etc…), Cannes is a prestigious seaside resort that has been envied worldwide since the 19th century. It boasts a fine array of top-notch real-estate, particularly on the famous Croisette, where the Agence Europa opened its doors in 1977, covering the entire area around Cannes. “The address is still highly sought-after and some properties such as penthouses are always in demand,” says manager Jean-Christophe Hym. “However, the top end of the market in Cannes is now seeing a setback, as it has been hit more severely by the crisis than traditional homes. The reason lies with taxation that is hardly advantageous for foreign clients, recent events in Ukraine and the fall of the rouble, which have led to an 80% decline in the number of Russian clients. Needless to say, interest from foreigners and especially Russians underpins the value of prestige properties.” The result is a slight drop in prices of apartments worth over 1.5 M € and villas of over 3 M €. “Apartments ranging from 500,000 to 1.5 M €, and houses from 800,000 to 3 M € are never­theless holding steady, thanks to interest from a French (mainly Parisian) and traditional European clientele (Belgian, Swiss and Scandinavian). The market has become more reasonable.” By way of example, Jean-Christophe Hym recently handled the sale of a top-floor apartment of 125 m2 with 5 main rooms, a terrace of 145 m2 and sea view, priced at 1.5 M €, and a renovated villa of 200 m2 in flat grounds of 1,500 m2 with a pool, at 1.8 M €.

“Over the past two years or so, there has been a definite decline in enquiries for apartments worth over 1 million euros,” confirms Thierry Marot, manager of the Agence Résidence Croisette. Founded in 1954 and one of the oldest agencies on the Croisette, it handles sales of apartments in residential neighbourhoods in Cannes, long-term rentals as far as Antibes, and seasonal rentals solely on the Croisette. “Our most recent transactions consist of small properties, 1- and 2-bedroomed apartments of less than 80 m2, priced from 500,000 to 800,000 €. For example : a 1-bedroomed apartment, currently on offer at 630,000 €, on the top floor of a luxury residence in the centre of the Croisette, offering living space of almost 40 m2, a terrace of almost 10 m2 facing full south, and a magnificent view of the sea.” In the case of villas, the market is more dynamic. “Though here again, transactions over and above 1 M € are becoming rarer, budgets tend to be lower, especially on the part of foreigners. This clientele from all over Europe still constitutes the majority - accounting for 60 % of sales in 2014 -, but now spends less.” Not counting the virtual disappearance of Russian clients with substantial means, also observed by Thierry Marot : “Last year, this clientele accounted for just one of our sales”.

Sandra Brikha, manageress of Azur Paradise Immobilier, specializing in sales of apartments exclusively in Cannes since 2007, is also mainly contacted for 1- or 2-bedroomed apartments : “Closeness to the centre, being within walking distance of the Croisette or shops on Rue d’Antibes, is very high on the list. A 1-bedroomed apartment in a high-class residence in Lower Californie meeting these criteria sells from 450,000 €, while a 2-bedroomed apartment will cost from 600,000 € with some natural greenery, or around 1 M € with an enchanting sea view”. Other highly-prized neighbourhoods : “The “Banane” - a central area set back just behind the Croisette. 1-bedroomed apartments here are priced from about 500,000 €, again in high-class residences, those with 2 bedrooms over 1 M €”. For example, two properties recently found takers in the lower part of La Californie : a 1-bedroom apartment on the ground floor of a select residence, priced at 470,000 €, and a 3-bedroomed apartment of over 100 m2 on the top floor with a terrace of 130 m2 and panoramic sea view, at 1.6 M €. Another illustration of luxury living in Cannes : in a very desirable seafront residence, a 3-bedroomed penthouse of over 100 m2, refurbished as new, with a roof-terrace of 230 m2, priced at 2.5 M €. Rental investors also keep a close eye on properties such as studios in the “Banane”. “Looking for a wonderful climate and an exceptional address like Cannes, our clients, mostly from Paris, remain loyal on condition that properties are not overvalued and prices reflect market realities.”