In 2023, the average value of prime residential property increased by 3.1% across the world’s leading markets, pointing to the potential for steady growth that luxury real estate holds against a backdrop of continued economic volatility.
The resilient solid positive market performance generally associated with property investment is likely one of the reasons that a noteworthy percentage of ultra-high-net-worth individuals (UHNWIs) and high-net-worth individuals (HNWIs) plan to make a purchase a home this year, as we mentioned in the most recent instalment of our “10 from Tenn” series.
When it comes to investing in multi-million pound homes, these individuals may set their sights on more than just a spectacular location or high-end luxury. Oftentimes, they desire a space that boasts unparalleled features, prestige and rarity.
For these discerning buyers, a prime historical home may be just the answer. Often built over 100 years ago and in some cases specifically listed as a heritage home, these one-of-a-kind masterpieces are full of charm and unique appeal which may bolster their value.
We have extended numerous international bridging loans to assist clients with the purchase of prime propertieshomes. And, with insight into the types of properties that tend to appeal to UHNWIs and HNWIs, we have compiled our pick of some of the finest historical residences that are currently on the market across various continents.
Image source: Sotheby’s International Realty
Steeped in charm from the Belle Époque era and located in the third district of Vienna, this palace was designed by esteemed architect, Franz Neumann. The property comprises the residential building, a gatehouse, a courtyard and a magnificently curated garden.
Built: 1902
Price: Available on request via agent
This exclusive multi-property residence is set along the Keizersgracht canal and Kerkstraat in Amsterdam, where historical heritage and vibrant city living merge. The residence is made up of five distinctive buildings, including two adjacent canal homes and three properties on Kerkstraat, joined together by a beautiful Japanese garden.
Built: 1687
Price: Available on request via agent
The striking Ca’ Vendri villa is situated in a valley among vineyards and olive groves, in the Valpantena region, minutes away from the city of Verona. Designed by renowned architect, Michele Sanmicheli, in the 16th century, the villa has been meticulously restored but maintains historic characteristics, including a fresco created by Italian painter, Paolo Farinati.
Built: 1500
Price: Available on request via agent
4 East 79th Street is a show-stopping mansion, originally designed by architect C.P.H. Gilbert and masterfully renovated by a team of architectural and design professionals, including Peter Pennoyer and Theodore Prudon. The property features a belt of land, and the residence boasts three-sided exposure, letting beautiful light in and offering views of Central Park.
Built: 1899
Price: $65,000,000
Image source: Sotheby’s International Realty
Overlooking Hyde Park in the prestigious Mayfair district of London, this townhouse mansion is one of only two on Park Lane. Originally built in the 19th century and with enduring period charm, the prime residence now boasts modern luxury and unique features such as a garden terrace and planning consent for a rooftop garden.
Built: 1857
Price: £42,500,000
Dunbeath Estate is an exquisite property, with its principal house, Dunbeath Castle, set on a cliff top above the north sea in the historic Caithness county. The earliest parts of the castle were built in the 15th century, but the residence was extensively remodelled and the grounds were transformed in the 1860s. The estate also includes 21 houses and cottages, an in-hand farm, multiple natural features that allow for a variety of sporting activities, as well as peatland restoration opportunities.
Built: 15th century
Price: Offers over £25,000,000 | Currently under offer
Located in the Tramuntana Valley in Puigpunyent, this Majorcan estate is splendidly serene with its own olive grove and several buildings housed on the land, including a stunning mansion which has been completely renovated, a guest house, perfect for entertaining, a woodshed and agricultural warehouses that could be converted for a number of uses, and a host of unique amenities and leisure facilities, as well as the potential for further development and expansion.
Built: 1600Price: €19,700,000
Situated in Dilton Marsh village in Wiltshire county, Chalcot House is a quintessential English countryside property. It maintains a stunning façade and is surrounded by open lawns, which extend to a nearby parkland. The property includes a well appointed cottage, a pool room, tennis court and stables, among other amenities.
Built: Early 18th century
Guide price: £8,000,000
- Midi-Pyrénées château, France
Ideally located 1.5 hours from the Mediterranean Sea and 2.5 hours from some of the largest ski resorts in the Pyrenees mountain range, this Palladian château was built in the 19th century but was recently extensively renovated, featuring top-quality finishes. Even with its modern appeal, the property is listed as a monument of France and is located in a preserved environment that is home to hundred-year-old trees and rare species.
Built: 1818
Price: €7,370,000
Located in Lisbellaw village, in County Fermanagh, this expansive waterside estate houses a majestic castle and 17 cottages/apartments and includes four private islands. The location holds ecological significance and is naturally picturesque, offering abundant opportunities to admire the scenery and enjoy leisure activities.
Built: 17th century
Guide price: £5,950,000
What should buyers consider when investing in a prime historical home?
Investing in any prime property requires careful due diligence, but there are a number of additional factors that buyers should consider when purchasing a historical home.
Retrofitting modern conveniences into older residences could come with some challenges, but as a number of the properties listed above show, this is not impossible and may have already been implemented.
It’s important to understand whether there are restrictions related to renovations or repairs that would need to be approved by regulatory bodies or boards that may be responsible for preserving the property’s historical integrity.
On the plus side, in some cases, there are tax breaks associated with the restoration or upkeep of historical properties, depending on the jurisdiction.
From an insurance perspective, policies associated with historical properties should be carefully investigated to ensure adequate cover for these unique homes.
It’s also important to note that when it comes to the purchase of historical homes, some lenders may have stricter financing requirements.
How can buyers finance the purchase of a high-value historical property?
Bridging loans are, in many cases, an ideal solution for the financing of unmortgageable properties, like some prime historical properties – even those located internationally. This type of financing typically makes high-value, short-term lending solutions available to HNWIs, companies, trusts or foundations without the “red tape” associated with traditional lending.
Find out more about our international bridging finance solution
At Tenn, we specialise in international bridging finance and provide short-term finance facilities for borrowers with unusual requests or circumstances. If you or your client would benefit from using bridging finance to enable the purchase of a prime historical property anywhere in the world, get in touch – our team would be thrilled to find out how we could help.