The brand of conspicuous consumption that the Candy Brothers marketed to wealthy clients is being put to a severe test by the economic crisis.
From London to New York to Dubai, the luxury residential market is hurting as the economic crisis deepens. Plunging property prices are making even the wealthy who still have money to spend nervous about buying. Property specialists say it may be at least a couple of years before demand recovers significantly.
In the U.S., luxury condo sales have taken a nosedive in recent months as prices have fallen and job losses have begun to take their toll in the upper ranks of a wide range of businesses. Some projects in Miami have been forced to sell in bulk at fire-sale prices. Sales have fallen well short of targets at the Trump International Hotel and Condominium in Chicago. In New York, where there have been tens of thousands of job cuts on Wall Street, prices of luxury units have fallen 15% to 25% since last summer, brokers say.
Wall Street Journal