The Balearic Island of Menorca is renowned for its stunning nature and highly protected environment that has earned its reputation as a Mediterranean paradise for buyers of holiday properties from all over Europe. Their appreciation for the serenity, authenticity and natural beauty of this island, so steeped in history, has grown even stronger since the outbreak of the pandemic. Demand for real estate in secluded locations was especially high in 2021, according to the latest Engel & Völkers Market Report for Menorca 2021/22. “Last year saw a rise in demand for properties of all types, from apartments through to sprawling estates. There was considerably more activity in the premium segment though, with increased interest in villas directly by the sea and estates with substantial plots of land,” says Gary Hobson, Managing Director of Engel & Völkers Menorca.
The picturesque island capital of Mahón is one of the most sought-after locations to own a property on the whole of Menorca. Homes by the harbour in Mahón – one of the longest natural harbours in the world at almost five kilometres in length – are particularly desirable. Apartments in the palm tree-lined streets around the harbour commanded average prices of approximately 400,000 euros last year, while exclusive townhouses changed hands for 600,000 euros on average. Beachfront villas in the surrounding villages of Binidali, Es Canutells, Es Grau, Sa Mesquida and Cala Rata are also in high demand, with average sales prices of 1.5 million euros.
The traditional municipalities of Ferreries, Es Mercadal, Migjorn Gran and Alaior, located inland, are known for their authentic Mediterranean flair and their many historic country estates. In 2021, sales prices for such properties in the most sought-after locations in Es Mercadal averaged 3 million euros. Strong interest here also centres on exclusive apartments and villas sold for average prices of 250.000 euros and 1 million euros respectively.
To the east of the island lies the municipality of Es Castell with its picturesque harbour, quintessential white cottages and idyllic sandy beaches. The capital of the same name and the town of Sant Lluís also rank among the most desirable locations in Menorca. The Biniancolla area is particularly sought-after, where apartments commanded average prices of 400,000 euros in 2021. Estates in very good locations outside of urban areas sold for 1.8 million euros on average.
The town of Ciutadella in the west of Menorca is known for its historic Old Town with its narrow cobbled streets, brightly colored bougainvillaea and the island’s famous cathedral. At prime addresses in the Old Town, apartment prices averaged approximately 300,000 euros last year. Meanwhile, townhouses sold for an average of 700,000 euros. In the nearby coastal hotspots Son Xoriguer and Cala Morell, villas with sea views commanded average sales prices of 2.5 million euros.
Tourists and property buyers alike are drawn to the island for its unspoilt natural beauty, with miles of beaches, idyllic scenery, and a remarkable diversity of wildlife, flora and fauna. “Menorca is one of the finest examples of sustainable tourism in the Mediterranean. Great efforts have been made here to ensure a long-term balance between human development and the environment. There is a strong overall emphasis on tradition, regionality and preservation of the island’s natural beauty, while maintaining high quality,” says Gary Hobson, adding: “Among other things, the gastro scene is thriving and uniquely diverse, with no less than nine restaurants listed in the Michelin guide.”
Engel & Völkers anticipates that demand for real estate on the Balearic Island will increase further. The sheer beauty of Menorca will continue to attract property buyers, along with the island’s reputation as a peaceful retreat with sustainable credentials, and will maintain strong demand for holiday properties. Consequently, sustained price development in the premium market is anticipated throughout the year.
The Engel & Völkers Market Report for Menorca 2021/22 can be found in full here.