Last year saw a notable shift in the luxury real estate market of Sochi, a resort town that attracts high-end buyers from Russia and beyond. Reports indicate that the average price for luxury homes rose by about one third, reaching 2.4 million rubles for each square meter by December. This figure comes from Lenta.ru, which cites NF Group analysts as the source of its statistical data. In context, this marks a continued premium for upscale properties in a market known for its scenic appeal and high-end amenities. (Source: Lenta.ru)
In 2022, the surge in prices in Sochi’s luxury segment was driven by limited supply and sustained demand among affluent buyers. The growth of roughly 33% to the 2.4 million ruble per square meter level reflects a market segment that remains resilient despite broader economic fluctuations. The article notes that the total number of luxury projects commissioned during the year fell sharply, down 42% to 70 plots, underscoring a tighter development pipeline. Consequently, the inventory of luxury apartments available for sale in Sochi also declined, contributing to price momentum. (Source: Lenta.ru)
As the year closed, developers delivered just over 100 plots across four new buildings, a figure that stood about 19% below the level seen at the same point in 2021. This contraction in new luxury supply coincided with steady or rising demand in a market where buyers often seek stability and prestige in elite properties. The dynamic suggests a market prioritizing quality over quantity, where location, views, and exclusivity can command a premium even in a year of evolving macro conditions. (Source: Lenta.ru)
At the same time, the secondary real estate market in Sochi displayed an opposite trend. In contrast to the primary market, data summarized by RBC on January 7, citing SRG analysts, shows that Sochi became the only city in the country where the average price of secondary market objects declined over the year. By the end of the 12-month period, the secondary market average had fallen by 0.89%, reflecting a shift in where buyers chose to invest and the kinds of assets that appealed most to them. This divergence between primary and secondary markets highlights how buyers weigh new development versus existing inventory in a resort town known for seasonal demand and a robust tourism backdrop. (Source: RBC SRG)