What R20 million can get you in Cape Town vs Monaco, Hong Kong and other premium luxury markets in the world
The 2023 Wealth Report by Knight Frank says Cape Town is a popular location for the uber-wealthy, and it is considerably cheaper than other luxury markets.
The report said that Cape Town’s Prime International Residential Index (PIRI) massively increased – rising to 31st from 94th the year prior.
The Western Cape City’s prime residential prices increased by 7.3%.
“Having slipped due to feeling the effects of the pandemic on a third-world country, (Cape Town) has again proved incredibly resilient and is once again attracting both South Africans from other territories as well as foreign buyers looking for second homes and to enjoy the beauty, lifestyle and value that the city has to offer,” Nick Gaertner from Knight Frank South Africa said.
Gaertner added that Cape Town’s strong management has managed to separate it from other areas across South Africa that have struggled with poor governance.
The report also noted that Cape Town also provides one of the most affordable luxury property markets in the world, with US$1 million getting 218 sqm.
Whereas US$1 million will only get roughly 17 sqm in Monaco, Monte Carlo.
According to Knight Frank, the only city that could better Cape Town is Sao Paulo, Brazil – US$1 million gets 231 sqm.
This means that the uber-wealthy can buy far more in Cape Town compared to other cities across the world.
For instance, R20 million can only buy a studio apartment in Monaco.
However, in Cape Town, R20 million can buy a 5-bedroom house with a pool.
BusinessTech looked at what approximately R20 million buys in the three most expensive cities – Monaco, Hong Kong and New York – and the three least expensive cities – Mumbai, Cape Town and Sao Paulo.
- Studio apartment in Monaco, Monte Carlo
- Size: 30 sqm
- Price: €990,000 (R19,300,000)
- 1 bedroom apartment in Hong Kong
- Size: 36 sqm
- Price: HK$8,000,000 (R20,600,000)
- 1 Bedroom Apartment in Manhattan, New York
- Size: 63 sqm
- Price: $1,085,000 (R19,900,000 million)
- 1 Bedroom Apartment in Mumbai, India
- Size: 65 sqm
- Price: INR 7,50,00,000 (R16,700,000)
- 5 Bedroom House in Steenberg Golf Estate, Cape Town
- Size: 742 sqm
- Price: R19,995,000
- 4 Bedroom house in Sao Paulo, Brazil
- Size: 616 sqm
- Price: BRL 5.590.000 (R19,600,000)
Read: There is huge demand for these coastal towns in South Africa