Aleksandra Drašković, CEO of Montenegro Properties: Branded residences raise the value of real estate, Montenegro needs a new investment boost

In the world of luxury real estate, it is no longer enough to have a sea view and a prestigious address, customers are increasingly looking for a complete life experience, from international hotel standards and personalized service to investment security and destination authenticity. Montenegro recognized this trend early on, and Porto Montenegro, Luštica Bay and Portonovi laid the foundation for the development of branded residences on the domestic market. In order to make a new breakthrough, however, it will have to combine quality investments with better infrastructure, year-round offer and preservation of what makes it unique.

- Montenegro is among the pioneers in the development of internationally branded residences in the region and recognized relatively early the potential of connecting luxury real estate, international hotel industry and carefully designed settlements. Porto Montenegro, Luštica Bay and Portonovi played an important role in positioning it on the international map of desirable addresses for living and investing.

It is important to distinguish the wider luxury complexes from the specific branded residences within them. Notable examples include Regent Residences and SIRO-managed residences in Porto Montenegro, One&Only Private Homes in Portonovo and The Chedi Residences in Luštica Bay. They represent different models of linking private ownership with an international hotel brand and services.

The offer extends beyond these three complexes as well. An important example is Mövenpick Hotel & Residences Teuta Kotor Bay in Risno, while Swissôtel Resort Kolašin confirms the presence of international hotel brands in the mountain segment as well. Among the projects under development, the Radisson Blu Hotel & Residences Tivat and the announced Nammos Resort Montenegro in Smokva Bay, which connects a hotel, branded residences and villas, stand out.

I believe, however, that we need a new development momentum: faster realization of quality projects, development of supporting infrastructure and stronger offer throughout the year. Montenegro`s early positioning is indeed an advantage, but its preservation requires continuous investment and consistent quality.

Different segments of the luxury market show different dynamics. Knight Frank`s The Wealth Report 2025 notes a decline in the value of art, investment wines and collectible furniture during 2024, while their separate survey of branded residences from 2025 points to strong growth in the sector, underpinned by rising demand. For Montenegro, it represents an opportunity to further develop a quality offer in a segment that attracts increasing international interest.

However, the content of the offer varies from project to project. It must be clear to the buyer which services are included, which are additionally paid for, what the annual costs are and under what conditions he can use or rent out his property. Even customers for whom the price is not the main obstacle expect the costs to be transparent and justified by the actual quality of the service. The value of the brand is confirmed through the owner`s everyday experience.

I think that what the real estate enables the owner is more important. The buyer considers how he will spend his time, how much privacy he has, what services are available and how easy it is to manage the property from abroad. For part of the clientele, peace, authentic experiences and time with family and friends are of special value. Luxury is increasingly experienced through personal enjoyment and discreet service, with less need to emphasize status.

An example of combining a luxury stay with a nautical experience is the partnership between Assets Group and Azimut, which envisages 18 yachts for the Waldorf Astoria Maldives Ithaafushi and Rosewood Ranfaru Maldives resorts. Such an approach extends the guests` experience beyond accommodation, through personalized experiences at sea. For Montenegro, I see a space for carefully designed nautical experiences that would additionally connect residences, marinas and our coast.

In a conversation with the leadership of the Arab-British Chamber of Commerce in London at the time, I mentioned that Montenegro had not yet reached the level of development of Western European destinations. Their reaction was that this probably implies better prices and a good time to invest. However, room for further development does not automatically mean low prices: I believe that the prices of part of our premium offer have already set the expectations that the infrastructure and services of the destination should consistently follow.

- Customers from the Russian market played an important role in the development of the Montenegrin real estate market. I would rather describe today`s change as a gradual diversification of the international clientele than as a simple substitution of one market for another. It is good for Montenegro that interest comes from several countries, with different motives and ways of using real estate.

Therefore, I see the next step in the standardization of standards, from transparent information and professional sales to reliable management and support after purchase. This is where I see the important role of agencies: to provide the buyer with verified information, realistic expectations and continuous support throughout the entire ownership period. Long-term competitiveness will depend on the ability to consistently deliver the promised standard - during the purchase, residence and management of the property.