It could be that 2012 will be seen as the year that Ibiza was finally recognized amongst international buyers as a key location in which to own luxury residential property

1. IBIZA
REAL ESTATE
MARKET
Q3 & Q4 2012
holiday destinations. There has been “2013 will continue to see international
In 2012, the growing awareness of the island’s interest in Ibiza properties,” said
island consolidated well preserved natural beauty which
has led to international recognition of
Maxim Rettich. “We expect foreign
investment buyers to react quickly to
its reputation as one Ibiza as a luxury paradise with pristine any upward price signals or demand
green spaces, crystal clear waters, increases, as few will want to lose
of the top luxury and white sandy beaches. Growing a chance to take advantage of the
interest from non-EU buyers, and the current opportunities available in the
Mediterranean holiday continuing high level of performance Ibiza property market.”
destinations for properties that are rented short
term, have been key factors in the
Property Transactions
Maxim Rettich strengthened demand and sales
Director Ibiza trading throughout the year.”
Lucas Fox Ibiza property sales transactions have
shown a unique trend throughout
Bucking national downward trends in
2012, reflecting the local dynamics of
Ibiza Real Estate Market: average sales prices, Ibiza properties
the market, which operate differently
Summary held and slightly increased their value,
to the national influences on property
ending the year at an average sales
demand and pricing.
It could be that 2012 will be seen as the price of €2,955 per square metre, a full
year that Ibiza was finally recognized €1,000 more than the national average.
amongst international buyers as a
key location in which to own luxury
residential property. While interest in
SPAIN (‘00s) BALEARES (INC MALLORCA)
this idyllic Spanish island has been
building over the past several years,
2012 showed clear signs that it has a
strong property market with higher
volumes of property sales trading
across the summer months, and the
Ibiza tourism sector standing firm
against national downward trends in
air travel numbers.
Lucas Fox Ibiza Director, Maxim Rettich
explains: “Ibiza has always had an
image as a party island, but in 2012, the
island consolidated its reputation as
one of the top luxury Mediterranean Property Sales Transactions: Ibiza and Spain: 2011 – 2012 / Source: ine.es
IBIZA REAL ESTATE MARKET Q3 & Q4 2012 www.lucasfox.com

2. 2011 2012
While national monthly sales metre according to Idealista and €2,929 1200
transactions remained fairly steady and according to Fotocasa. By the end of
muted across Spain, Ibiza experienced 2012, after some brisk trading that 900
stronger surges in sales transactions, saw a 30% increase in property sales
especially in February, May and August, transactions on the island, properties 600
and ended the year with further strong in the capital of Eivissa averaged €2,955
sales activity. per square meter across both property 300
websites.
Sales activity reflects the global Jan
Feb
Mar
Apr
May
Jun
Jul
Aug
Sept
Oct
Nov
Dec
interest in Ibiza villas evident from The average sales prices and steady
international trends in Google search market behaviour was in strong
data. Statistics for 2012 show peak contrast to the Spanish averages, Ibiza Airport Arrivals (‘000s): 2011 & 2012
interest at the start and end of the which continued to see a decline each Source: Aena.es
year, with the continued seasonal quarter since Q3 2010, ending 2012 at a
trend in the midyear summer months. full €1,000 per square metre less than
The majority of internet searches for the Ibiza average. This is the strongest dropped 5%, mostly due to reductions
“Ibiza villas” in 2012 came from the sign yet that the market has bottomed in Spanish resident tourism. As an
Netherlands, Switzerland and the UK. out in Ibiza as sales prices held steady international luxury destination, Ibiza
and edged upward. is able to resist fluctuations from
Ibiza Property Sales Prices negative inbound tourism influences.
Ibiza Rental Market Across Ibiza and Mallorca, foreign
In contrast to Spanish averages, tourist arrivals grew 10.1% in 2012,
property prices in Ibiza rose slightly in In 2012, airport arrivals followed accounting for 18.1% of all international
2012, according to both Idealista and similar patterns and arrival numbers traveller arrivals in Spain in 2012.
Fotocasa property webportals. as in 2011. By the end of 2012, over 5.5
million passenger arrivals had been Foreign Investment Interest
At the end of 2011, average property recorded at Ibiza airport, a slight drop
prices recorded in Eivissa, the island’s of 1.6% on 2011 figures, resisting the In 2012 we saw continuing strong
capital averaged €3,026 per square trend in national airport arrivals, which interest from key northern European
Global internet search interest for “Ibiza villas” 2012 Source: Google Trends
International Visitors to Lucas Fox webpages
Ibiza Average Property Sales Prices Q3 2010 – Q2 2012 for Ibiza property Q3 – Q4 2012
Source: Google Analytics for Lucas Fox website
Source: Fotocasa.es, Idealista.com
IBIZA REAL ESTATE MARKET Q3 & Q4 2012 www.lucasfox.com

3. markets, in particular the UK, France, Ibiza. “Ibiza properties tick all the boxes ABOUT THE LUCAS FOX
Netherlands and Switzerland. There is that international investors in luxury MARKET REPORTS
also growing interest in Ibiza property property are looking to fill:
ownership from several non-EU You can keep receiving up-to-date
territories including Switzerland, the • They offer great long-term market reports from the Lucas
Middle East, and South East Asia. investment value with close proximity Fox International Properties team.
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The Ibiza property pages on the Lucas opportunities website or bookmark our blog for
Fox website remained of key interest the latest news on the Barcelona
to our online readers, with around 16% • Ibiza has strong planning and land real estate market.
of our Q3 & Q4 2012 website visitors preservation laws protecting the
looking at Ibiza properties. In the island’s natural beauty, and
second half of 2012, outside of Spain,
website traffic for our Ibiza properties • There is ongoing interest from
came from the UK, France, The the international jet set, who help
Netherlands and the United States. maintain the Island’s economy.
Lucas Fox Analysis “The excellent year-round climate
and Predictions and growing reputation as an island Alex Vaughan Maxim Rettich
paradise beyond the unique party Director Lucas Fox Director Lucas Fox
atmosphere that the island offers in the Ibiza
“We expect the strong end to 2012 to
continue through 2013 with a number summer months are drawing a growing
of high value transactions already in number of international buyers who are
the pipeline for Q1 2013,” said Maxim looking for investment properties that
Rettich, Lucas Fox Director of Sales for also match lifestyle demands.”
www.lucasfox.com
HOUSE / VILLA HOUSE / VILLA HOUSE / VILLA
LOCATION: LOCATION: LOCATION:
SPAIN » IBIZA » IBIZA SPAIN » IBIZA » IBIZA SPAIN » IBIZA » SAN JOSÉ
LFB501 1.950.000€ LFB496 2,800,000€ LFB493 2.450.000€
HOUSE / VILLA HOUSE / VILLA COUNTRY HOUSE
LOCATION: LOCATION: LOCATION:
SPAIN » IBIZA » SAN ANTONIO SPAIN » IBIZA » SAN JUAN SPAIN » IBIZA » IBIZA
LFB452 1,150,000€ LFB406 2,800,000 LFB508 1,900,000€
IBIZA REAL ESTATE MARKET Q3 & Q4 2012 www.lucasfox.com