The Next Logical Step for Luxury Brands Isn’t a Tower—It’s a Village.

Branded Living (BL): Your data shows a flood of interest from individuals. But are the big players, the institutional funds and luxury hospitality brands, starting to call? And if not, what’s their primary hesitation?

Timur Negru (TN): Right now, I’m hearing from high-net-worth individuals and small investment groups – usually 3-5 partners pooling €500k to €2M. I haven’t seen direct outreach from institutional capital or established hospitality brands yet, but the pieces are moving into place.

The hesitations are what you’d expect. There’s regulatory uncertainty around foreign ownership in some markets. Dealing with local municipalities can be a nightmare. And frankly, these projects need someone on the ground who actually understands European property law and can navigate the bureaucracy. That’s not a typical skillset for a Miami-based private equity firm.

What’s changing is Airbnb just put €43 million behind rural Spain. When a publicly-traded company with their resources puts real money into this space, it gives other institutions permission to look seriously at these assets. The conversations I’m having with buyers – even though they’re individuals and small groups – are asking increasingly sophisticated questions about operational models, rental programs, and brand partnerships. That tells me institutional interest is building.

BL: You’ve famously predicted 2026 as the year villages will have their big moment. But given the long lead times for brand development, when do you realistically think we’ll see the first headline announcing a major luxury brand has purchased a Mediterranean village?

TN: The trend is already happening – last week alone, I’ve had 12 calls that prove that. But luxury brand development? That moves slowly.

I think we’ll see the first major brand announcement in late 2026 or early 2027. Brands need feasibility studies, financing, and permitting. More importantly, they’re watching the early movers. Everyone is studying Jason Lee Beckwith’s Salto de Castro project. If that succeeds – and I believe it will – it de-risks the model for brands.

The brands won’t be first though. They’ll be smart followers. Individual buyers and entrepreneurial operators are the pioneers. The brands arrive once someone proves the model works at scale.

BL: How do you even put a price on a ghost town? Is it a simple calculation of square meters and land, or is there a tangible premium for the narrative, the history, and the sheer scarcity?

TN: Valuing ghost towns is super interesting because traditional real estate metrics don’t capture the full picture. You start with square footage and land value – that’s your baseline. But the real opportunity is in three things the market isn’t pricing correctly yet.

First, infrastructure scarcity. Try building 44 buildings with roads, utilities, and a town square from scratch. You can’t do it for €310,000. The replacement value is enormous, but the market isn’t seeing it yet.

Second, narrative premium. A 300-year-old village with a chapel and original stonework? That’s irreplaceable authenticity. You can’t manufacture that with new construction. Luxury travelers pay for provenance.

Third, regulatory arbitrage. Many of these villages have existing building permits and historical designations that would be very hard (especially in Europe) to obtain today for new construction. That regulatory approval has real value.

Right now, the market is valuing these as distressed assets – whatever a motivated seller will accept. As the use case becomes clearer, I expect valuations to rise significantly. We’re in the early innings of price discovery.

BL: In your view, which brand archetype is best positioned to pull this off first? The serene wellness player (Aman), the social club (Soho House), or the culinary powerhouse (Cipriani)? Why?

TN: Food-first brands – Cipriani, Carbone, maybe Nobu – are best positioned to move first.

Wellness brands like Aman and Six Senses need pristine, Instagrammable locations. A partially-ruined village is harder to sell against their aesthetic. They’ll come later, once someone proves the restoration model works.

Social clubs like Soho House have the community DNA, but their model is urban. They’re about density and energy, not remote retreats.

But food brands? They’ve already proven they can create destination experiences. Cipriani doesn’t need a perfect location – they ARE the location. Put them in a Spanish village with 20 restored stone houses, a farm-to-table restaurant, cooking classes using local ingredients? That’s immediately compelling. The village becomes the backdrop for the food experience.

Plus, food brands have smaller operational footprints than full-service hotels. They can start with a restaurant and 10 rooms, then expand. Lower capital requirement, faster time to market.

BL: This might sound like sci-fi, but is the endgame here purely hospitality? Or do you see a future where a brand acquires a village to create a permanent residential enclave—a true ‘company town’ for its most loyal customers and investors?

TN: Absolutely. I’m already seeing corporate retreat buyers in my pipeline – companies buying villages for permanent team spaces.

The branded residential enclave model is the natural evolution. Look at Miami and Dubai – people pay 25-35% premiums to live in a Four Seasons or Ritz-Carlton tower. Now imagine that same concept, but instead of a 50-story building, it’s an entire Tuscan village where every resident shares the brand’s lifestyle and values.

The challenge is scale. Brands need enough buyers to make the economics work. But for ultra-high-net-worth individuals who already own multiple properties globally, branded village ownership makes sense. It’s a second or third home with built-in community, professional management, and brand prestige.

I think we’ll see hybrid models first – part boutique hotel, part fractional ownership, part full-time residences. That diversifies revenue and reduces risk for the brand.

BL: Any final thoughts on what the market is missing or underestimating about this opportunity?

TN: The biggest misconception is that this is rich foreigners buying up European heritage. But these villages are already empty. The alternative isn’t locals reclaiming them – the alternative is continued decay and total loss of cultural heritage.

Done right, this creates jobs, revives local economies, and preserves architecture that would otherwise crumble. The key is “done right”: hiring locally, respecting the architecture, working with regional artisans, and sourcing from local suppliers.

People also underestimate the operational complexity. These aren’t turnkey assets. You’re dealing with 300-year-old stone buildings, complex title situations, municipal politics, and restoration requirements. This isn’t for hobbyists. The brands that succeed will commit serious capital and partner with people who actually understand European property markets.

One more thing: we’re at a critical funding juncture. Extended EU rural development programmes from the previous period wrap up at the end of 2025, and the current framework runs through 2027. Significant EU funding is available for rural regeneration now, but the optimal window to secure funding and launch projects is 2025-2026. Smart brands will move while this opportunity exists.

I am now more convinced than ever that the next chapter in luxury living will be written not in steel and glass, but in restored stone. Timur’s insights reveal a market at a tipping point, with a clear timeline, a defined first-mover advantage, and a closing window for strategic action. This represents a profound opportunity for brands ready to think beyond the single asset and truly build a world of their own.

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