The average cost of one square meter in the deluxe segment reached 2.7 million rubles
The luxury housing market has traditionally been resistant to external circumstances. However, socio-economic fluctuations in recent years have changed this too. Experts spoke about significant transformations in the most expensive new buildings in Russia — and a twofold increase in prices over five years is not the limit.
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The Moscow luxury housing market offers top-class apartments with stunning design and amenities, where attention is paid to every detail. But, as you know. Only buyers with a lot of money and high social status can afford luxury.
According to Metrium, since 2019, the average price per square meter in the primary market of luxury apartments has increased by 102%, reaching 1.97 million rubles in May 2024. A serious price gap occurred between expensive and very expensive housing, namely the “elite” (1.39 million rubles per square meter) and “deluxe” (2.66 million rubles) segments.
For comparison : at the end of May 2019, the average cost of the most expensive new buildings was 974 thousand rubles per square meter. At the same time, a “square” in elite class projects cost 959 thousand rubles, and in deluxe class – 1.09 million rubles, that is, only 14% more expensive.
— The sharp rise in prices on the elite market is due to the fact that many truly trophy projects have appeared, — says Ekaterina Borisova, Director of Development at Rariteco. — As a result, «deluxe» has finally emerged as an independent class. It differs from elite not only in prices, but also in its chamber scale, spacious premises, expanded home and club infrastructure, and the use of modern technologies.
Most of the primary luxury housing is sold in the Central Administrative District — 88% of projects. However, this figure is declining. Five years ago, almost all primary luxury real estate (96%) was concentrated within the Garden Ring. Only one project was located in the Western and Northwestern administrative districts. By 2024, the representation of elite housing in the areas of Dorogomilovo, Ramenki (west of Moscow) and Serebryany Bor (northwest) has expanded to seven complexes. However, the districts where you can buy the most prestigious housing in the Russian capital have not changed.
Anna Radjabova, director of luxury real estate at Metrium Premium, suggests that expensive new buildings may eventually appear in other areas of Moscow: “The share of premium projects in the Central District from 2019 to 2024 decreased from 64% to 33%. There is active decentralization in the premium class. It is quite possible that due to the shortage of land plots, supply will appear outside the center, west and north-west of the capital in the next three to four years.” Over the past five years, the situation with developers' approach to the architectural appearance of elite complexes has changed significantly. “Architecture, of course, has always been important for the elite segment, but never as much as it is now,” continues Anna Radjabova. — Until the second half of the 2010s, a lurid, pretentious style prevailed. To be honest, it was often “expensive and rich”, but tasteless. For the last seven or eight years, architects have been developing concepts in popular styles (neoclassical, high-tech, art deco) and finding effective solutions. This was largely due to active cooperation with foreign architectural bureaus until 2022.”