Demand for Shared Leisure Real Estate on the Rise

The purchase of shared leisure real estate is expected to double in the next five years, with the main markets being Europe, the Middle East and Asia-Pacific was the key message of the third annual European conference on leisure real estate held in Athens last month.

The opportunities in this segment of the tourism market for Greece are tremendous. Conference speakers pointed out that Greece has the competitive advantage for developing leisure real estate due to its geographic location and weather, as well as safety.

Conference organizer, Northcourse Leisure Real Estate Solutions, defines shared leisure real estate as the sale of resort real estate for a period of more than one week (also called resort timesharing) but less than a whole year.

“Shared ownership,” says Northcourse, “gives consumers all the benefits of owning a second home without the hassles and costs of full ownership. Most people enjoy a variety of activities and experiences, and the idea of being able to have a home or condominium located where each of those activities can be enjoyed is like a dream come true.

“Owners can have a home at a prime ski location in the winter, enjoy a beach destination in the summer, or get away for a short break at an urban destination.”

Study findings released at the conference show that one in three Europeans is interested the timeshare model for their holidays, with a growing emphasis on more luxurious and expensive leisure real estate such as destination clubs and condo hotels.

One in five British residents already participates in a timeshare. Interest in destination clubs and condo hotels is highest in Spain, where one in ten high-income Spanish consumers is a potential client. French consumers closely follow the Spanish. German consumers showed the least interest.

Developers and financial organizations are also becoming more interested in this model as they consider the profits to be made. It is expected that within ten years all large hotels chains and resorts around the world will be mixed use properties that offer traditional hotel rooms and suites, as well as vacation, timeshare and a various types of fractional ownership schemes.