A 12-Acre Property within the Heart of Ibiza
$4.65 MILLION (4.6 MILLION EUROS)
This six-bedroom country home sits on greater than 12 forested acres on a dust road in the middle of Ibiza, considered one of the Balearic Islands of Spain within the Mediterranean Sea.
The unique home, inbuilt traditional Spanish finca style, likely dates back several hundred years, said Florian Fischer, the managing partner of Engel & Völkers Ibiza, which has the listing. The thick stone partitions help keep the home warm within the winter and funky in the summertime.
The present owners, a family from Ibiza, renovated the property progressively over a decade and added a swimming pool and guest accommodations. The wood ceiling beams were restored in the unique style using Sabina, a prized local hardwood that’s now under protection on the island and that have to be imported from the mainland to be used in construction, Mr. Fischer said.
The home has a gated entrance with a spacious gravel parking area and gardens. The most important entrance is on a covered patio and opens to a dining area with tiled flooring. An archway frames an adjoining lounge with a hearth and exposed stone partitions.
The kitchen has one other dining area, a wood-fired bread and pizza oven built into one wall and doors to the terrace.
Up a brief flight of stairs are three bedrooms, all with tiled flooring, traditional wood-shuttered windows and en suite baths. One has a covered terrace.
A guest suite connected to the most important house but with its own entrance has a fourth bedroom and toilet. A guesthouse across the front drive also has a covered terrace and two more bedrooms with baths. The heated pool, next to the front terrace, is surrounded by a big stone patio.
Mr. Fischer said the property comes with an official tourist rental license, which authorizes the owners to supply it for a short-term lease. This is very helpful considering that the Balearic government instituted a four-year ban this 12 months on the issuance of recent rental licenses. The property fetches as much as 1,800 euros an evening in the course of the high season, he said.
The house is about halfway between the small village of San Rafael, known for its pottery workshops and proximity to the renowned nightclub Amnesia, and Santa Gertrudis, a preferred hangout because of its large choice of restaurants, bars and shops. Ibiza Airport is a few 15-minute drive.
The Balearic Islands archipelago — which incorporates the islands of Majorca, Minorca, Ibiza and Formentera — was Spain’s most-visited province last 12 months, attracting about 6.3 million international visitors, in keeping with a market report by Engel & Völkers. On Ibiza, those visitors are increasingly very wealthy.
The island, about 90 miles east of Valencia and Spain’s eastern coastline, has long attracted artists, musicians and celebrities; the British pop singer Dua Lipa made a splash celebrating her twenty seventh birthday there last month. The coronavirus pandemic and the power to work remotely have resulted in an influx of much more wealth, keeping prices spiraling upward. In 2021, private jet traffic at Ibiza Airport was up almost 27 percent from the 12 months before, in keeping with the Engel & Völkers report.
“It’s very protected to say that prices have risen on average about 10 percent, and the sales numbers have increased about 20 percent as compared to 2021,” said Anna Böttcher, the product and marketing manager at Prestige Properties Ibiza.
The most well-liked sale range today from 3 million to five million euros, and sales from 10 million to 12 million euros will not be unusual, said Jorge Calvo, the sales and acquisition manager at Estela Exclusive Homes, an affiliate of Christie’s International Real Estate. (The euro, which has fallen to its lowest level in years, is currently exchanging at roughly an equal rate with the U.S. dollar.)
The southern coast of Ibiza, especially San José and the cliff-top village of Es Cubells, are renowned for “luxury, glitz and glamour,” said Charlie Hill, a co-owner of Charles Marlow, a boutique real estate firm that focuses on properties over 7 million euros.
“The north is traditionally more rural and wild, somewhat more understated,” Mr. Hill said, though he added that the recent opening of the Six Senses luxury resort there, near Xarraca Bay, has been expanding the map for luxury travelers.
Less wealthy buyers can still discover a small apartment for as little as 350,000 euros in the traditional fortified town of Dalt Vila, near Ibiza Town, Mr. Fischer said, while a house with a pool anywhere on the island starts at around 1.5 million euros.
“We do have higher demand for the countryside properties in the middle and north of the island because the pandemic,” he said. “Persons are searching for large homes where the family can come together to spend the vacations.”
Sustainability — one motivation for the ban on latest rental licenses — is increasingly a spotlight of the Balearic government. On Ibiza, the Ibiza Preservation Fund works on quite a few issues, including eliminating using plastic, supporting local food producers and promoting marine conservation.
Who Buys on Ibiza
Germans represented the biggest share of buyers on Ibiza last 12 months, followed closely by buyers from Spain, in keeping with Mr. Fischer. Beyond that, “there are 15 to twenty nationalities of buyers every 12 months,” he said. “They’re primarily Europeans, but there are an increasing number of Americans. I’ve never heard so many Americans on the island as this 12 months.”
Buyers with business links to London have long been common, but there may be increasingly more of a Latest York connection, Mr. Hill said: “Almost every week I’m coming into contact with someone either from Latest York or with links there.”
Foreign buyers from outside of the European Union must secure a military permit for Balearic properties in rural locations. That process will be time consuming, taking anywhere from one to a few months, Mr. Fischer said.
Buyers who will not be Spanish residents must also obtain a foreign identity number, or N.I.E. A lawyer typically handles the transaction; the fee is around 1 percent of the acquisition price.
The agent’s commission, paid by the vendor, is often 5 percent, Ms. Böttcher said. Mortgages can be found to foreign buyers, who should have a property appraised to acquire the loan.
Languages and Currency
Catalan, Spanish; euro (1 euro = $1.01)
Taxes and Fees
The transfer tax on resale properties is on a sliding scale, based on the sale price. The tax starts at 8 percent for the primary 400,000 euros and goes as much as 11 percent for any amount over 1 million euros.
If the property is latest, the purchaser as a substitute pays a ten percent value-added tax and a 1.5 percent stamp duty.
The annual property taxes on this home are 1,900 euros, Mr. Fischer said.
Nathalie Conzen, Engel & Völkers Ibiza, 011-34-971-311-336; engelvoelkers.com
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