Boutique homes are the latest buzz in real estate, and rightly so as they let the homeowner feel privileged both in terms of the services provided by the developer as well as the living spaces that are uniquely designed to offer personalised luxury and ambience.
As more and more people are becoming aware of the importance of interior design and architecture, real estate developers are increasingly focusing on those buyers who wish to own properties with unique flair, character and original touches.
So, what exactly is a boutique home, who are the buyers, and why are developers so eager to cater to this segment?
What is a boutique home: Popular American publisher Merriam-Webster defines “boutique” as a small company or shop that offers highly specialised services or products. Boutique homes are known for their innovative design, which may combine old architectural styles with contemporary ones to create a distinct twist to property development.
The objective of creating such a living space is to make smaller and charming homes that look stylish and chic, and are several notches above the large-scale luxury projects when it comes to class.
A boutique development can also be identified with its atmosphere and location. But again, thefocus is to provide the buyer custom-made luxury, including decor and ambience,which iscompleted with elaborate attention to detail and is esteemed as a work of art.
For a developer operating in this housing segment, it requires a commitment to quality and craftsmanship.
The buyer profile: Demand for boutique homes comes primarily from the high-net-worth individuals (HNIs) and ultra-high-networth households (UHNHs) that are extremely focused on quality. Recently, simple yet tasteful properties have gainedimmense interest as they addmore prestigedue to their appealing panache and offer better resale values.
According to Kotak Wealth Management’s Top of the Pyramid2016 report, improved government policies and reforms have influenced the investing and spending patterns of these high-income groups in India. The report expects the number of Indian UHNHsto double from 1,46,600 in FY2016 to 294,000 by FY2021, driven mainly by new ultra-HNHs from emerging sectors and new avenues for investments that give higher returns.
A unique business model: Developers who cater to this tailor-made luxury housing segment find it aunique business propositionas it takes comparatively less time to build and sell boutique homes than volume luxury projects and, at the same time, it also offershigh-profit margins.
Anuj Puri, chairman of Anarock Property Consultants, says that boutique homes sell much better than other volume luxury projects as there is a distinct scarcity quotient attached to this segment wherein extremely high-profile locations continue to be in demand among the super-rich.
All said, boutique homes are still a new concept in India, but they are slowly taking shape. If you are the one who always covets for the next level of luxury living, go ahead and get your limited-edition boutique home now!