Inside the Luxury Lifestyles of Prime Central London
February 16, 2017
Advocates of the urban lifestyle and city planning specialists around the world recognise the ideal urban ecosystem is composed of the following components: density and scale, proximity to open space, public transport connectivity, a variety of land uses, a diverse community, a robust local economy, and cultural assets.
Each element of this ideal urban blueprint is encompassed in the neighbourhood of Mayfair, currently the number one address in prime central London, after reclaiming the crown from Knightsbridge. This luxurious district exhibits the finest qualities of a world-famous university town. With a balanced offering of retail, business, and residential land, the community can live, work, and enjoy the area and the capital residents give back allows for the highest level of preservation.
Amongst the world-class offerings provided to tourists and residents alike, are high-end retail labels, fine dining by award-winning chefs, and diverse culture. Bond Street is one of the most famous shopping districts in the world and tourists flock to the high street for luxury purchases when visiting London. With over 66 percent of the best designers visible in the area, competition is fierce between premium brands fighting for their place. Increased footfall from an increasing popularity over the years has led to Bond Street’s appeal spilling across into Albermarle Street and Dover Street, in turn, increasing rental prices in the areas.
The West End is another popular global destination, which attracts 200 million guests each year. The West End district has a £22 billion value visitor economy each year, with half of that coming from bars, restaurants, hotel and shops alone (before even reviewing the theatres) which is what makes the area so sought after as a visitor attraction.
How Does Luxury Spending Look?
Findings in a new report by Wetherell reveal that residents of prime central London spend double the amount that tourists spend in the West End and luxury shopping districts, such as Bond Street. Supported by data from Dataloft, EGI, and Westminster City Council, it’s discovered that residents in properties valued over £15 million spend an estimated £4.5 million a year in London and households living in a property worth £5 million to £15 million spend about £2.75 million. The average annual breakdown includes £2,700,000 spending on interior design, with around £750,000 of that dedicated to artwork and £4,500 on flowers, and £644,000 on clothing and accessories – which is twice the amount tourists devote to this category in the area.
Following on from the top spending categories, the wealthy residents of Mayfair spend an average £325,000 on personal staff and £300,000 on legal and publicity professionals every year. After expenses have been paid on property running costs and employees, food and entertainment costs are next in line, with an average £137,000 annual spend on this category. Households in the affluent neighbourhood spend £72,000 on fine wine and champagne alone and dine out an average four times a week. Finally, with the prestigious Harley Street around the corner, making the best medical and cosmetic treatments available to locals, about £100,000 goes on this expense annually.
Prime Central London is Getting Richer
Thanks to the lavish expenditure of residents, Mayfair is now undergoing a major transformation. It has been many decades since Mayfair has been able to make any significant developments due to an annual limit of 30 new properties to protect the heritage and culture. However, an expanding community and demand for luxury lifestyles, state of the art facilities and design, and advanced technology, means Mayfair is now ready to face its ultimate challenge of maintaining its heritage while making the neighbourhood more contemporary and exceptional.
There are currently eight deluxe property developments under construction and a further 21 proposals in the pipeline to be completed over the next five years, each of which could command up to 200 percent premiums over the prevailing market rate. In addition to this, Hanover Square and Grosvenor Square are also projected to be restored to their original charm. The two famous squares are set to allure the area with a green, open, and safe environment to live and visit once more.