Latin American millionaires leave Madrid's Salamanca district for La Moraleja
Security concerns and overcrowding are pushing Latin America's biggest fortunes out of Madrid's Salamanca neighbourhood towards the exclusive gated estate of La Moraleja, according to…
English · Original discussion in Spanish · Published
La Sarracena, the new haven for Latin American elites
La Sarracena has become the favourite destination for the wealthiest families from Latin America, who are leaving Madrid's Salamanca district in droves. The trend, visible for months now, has been accelerated by a combination of factors: security, privacy and the search for a more exclusive environment.
According to property sources, the great Latin American fortunes who traditionally chose penthouses on Madrid's golden mile are swapping their residences for gated villas with private security in La Sarracena. The main reason: saturation and the perceived insecurity in the city centre. The recent assault on former minister Alfonso Alonso, who was robbed of his Rolex right in the Salamanca district, has been a trigger. The massive presence of street vendors and tourist overcrowding also weigh in.
The exodus to the northern suburbs
La Sarracena offers access controls and secluded plots that guarantee the extra security the elites are looking for. The estate, already home to footballers and local businesspeople, is now adding wealthy Mexicans, Venezuelans and Argentines. Demand has pushed up the price per square metre in the area, which already has the highest average rents in Spain, while a certain slowdown is starting to show in Salamanca.
Reactions and tensions
The arrival of these new residents is not without controversy. Some residents criticise the Latin American elite for reproducing in Spain the same dynamics of segregation as in their home countries. Others, however, see it as a logical move: those who can afford to protect themselves, do. The fact is that this migration is transforming the map of wealth in Madrid.
Forecasts suggest the flow will continue as long as insecurity in central areas is not resolved and the supply of luxury housing with security remains scarce. But the La Sarracena bubble is not infinite: land prices are already nearing record highs and saturation could curb demand in the medium term.
La Sarracena has become the favourite destination for the wealthiest families from Latin America, who are leaving Madrid's Salamanca district in droves. The trend, visible for months now, has been accelerated by a combination of factors: security, privacy and the search for a more exclusive environment.
According to property sources, the great Latin American fortunes who traditionally chose penthouses on Madrid's golden mile are swapping their residences for gated villas with private security in La Sarracena. The main reason: saturation and the perceived insecurity in the city centre. The recent assault on former minister Alfonso Alonso, who was robbed of his Rolex right in the Salamanca district, has been a trigger. The massive presence of street vendors and tourist overcrowding also weigh in.
The exodus to the northern suburbs
La Sarracena offers access controls and secluded plots that guarantee the extra security the elites are looking for. The estate, already home to footballers and local businesspeople, is now adding wealthy Mexicans, Venezuelans and Argentines. Demand has pushed up the price per square metre in the area, which already has the highest average rents in Spain, while a certain slowdown is starting to show in Salamanca.
Reactions and tensions
The arrival of these new residents is not without controversy. Some residents criticise the Latin American elite for reproducing in Spain the same dynamics of segregation as in their home countries. Others, however, see it as a logical move: those who can afford to protect themselves, do. The fact is that this migration is transforming the map of wealth in Madrid.
Forecasts suggest the flow will continue as long as insecurity in central areas is not resolved and the supply of luxury housing with security remains scarce. But the La Sarracena bubble is not infinite: land prices are already nearing record highs and saturation could curb demand in the medium term.
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Summary of a discussion on Burbuja.info - Foro de economía, actualidad y política., translated from Spanish and reviewed before publication. Read the full discussion (10 replies).
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