Sotheby’s affirms faith in Lanka’s luxury real estate market | Sunday Observer

Sotheby’s affirms faith in Lanka’s luxury real estate market

Sri Lanka Sotheby’s International Realty has proved its resilience since it opened its doors for business in Sri Lanka in 2018, to coincide with the launch of Sapphire Residences, for which it holds an exclusive Marketing and Sales mandate. Despite facing strong headwinds due to the general downturn in the luxury property market, the company remains optimistic about industry prospects for the year 2020 as business sentiment improves and the real estate market reflects an improved outlook.

Some of the salient challenges faced by the industry in 2019 were the introduction of VAT on luxury condominiums, severe economic downturn, political instability and country’s security issues in the wake of the terrorist attacks. All these factors now seem to be easing to allow for greater hope and optimism among all stakeholders.

Sri Lanka Sotheby’s International Realty is pleased to announce that it is receiving positive signals from the market, with increasing interest in Sri Lanka and particular properties in the island from various quarters around the world. In addition to the referral opportunities and widened exposure generated from its office, the company’s brokers and clients benefit from an association with the Sotheby’s auction house and Sotheby’s International Realty worldwide marketing programs, which accords the company first-mover status in the luxury property market in Sri Lanka.

The current tourist season has picked up substantially more than previously expected and positive international coverage and longstanding international tour operators are marketing the island once again. There is a greater influx of tourists who are steadily turning around the sector, supported by various proactive measures by the government to attract tourists, with visa-free arrivals, reduction in airline ground charges and aviation fuel prices, and amazing bargains by hotel operators. It won’t be long before the paradise isle fulfills its title as the ‘Best Destination to Visit’ as declared by Lonely Planet.

Sotheby’s expects 2020 to be significantly better than 2019. Although it will still be a buyers’ market, the gradual political stability and improvement in the overall security situation has boosted confidence in the local and international market.

In fact, it is evident that property prices will be adjusted to the current market conditions, where realistic expectations from sellers will improve chances of sales. It is but natural that international buyers will be scouting attractive investment opportunities in the island after such a marked market downturn.

In keeping with the improved outlook, Sri Lanka Sotheby’s International Realty is expanding its operations outside Colombo and is in process of creating a portfolio of exceptional, best-in-class, residences, beach villas and estates across the island, which will be marketed to its global clientele.

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