Could you provide more details about your agency and any key figures? Could you give us an overview of the real estate sector in St. Barts and what are the main challenges and opportunities?
Sibarth Real Estate was founded in 1997 when it acquired the property sales business from the first real estate agency that got established on the island 50 years ago. I had joined that firm in 1985 , and over time, its owners and I set up jointly a new entity dedicated to property marketing and sales, which I ultimately took over. After working with us as sales agent for many years, Zarek Honneysett joined me as partner in 2013 and as CEO in 2019. We do not deal directly with rentals, an activity which we leave to a partner specialized in seasonal rentals. We have a unique market presence, with around 8-10 staff members specializing in sales. Unlike others, we provide in-house marketing, legal assistance, and documentation translation for clients, predominantly international buyers. This model and our historical presence have cemented our reputation and market leadership. While we occasionally appear in media discussions about the market, we value client privacy and avoid discussing their specific transactions.Over the years, the real estate market here has seen substantial growth. For context, when I began in 1985, I was selling lots in Mont-Jean, a 20-lot development realized by Edmond de Rothschild, at prices ranging from $100,000 to $150,000. Today, these properties, if they were not built, could sell for $6 million to $10 million or more, reflecting a major price evolution.Initially, the market was limited, and land was largely owned by local families. However, after an initial period of land sales by local owners, such transactions became rarer and foreign buyers became dominant in the market. They often had to rebuild or renovate existing houses, with historically 50% of them from the U.S. and 50% from Western Europe. Recently, the number of buyers from France has surged, representing currently around 50% of transactions. The market faced some shifts, notably after the financial crisis, when American buyers took a few years to return. These days, about 30% of our transactions are with U.S. buyers.Other regions, such as Eastern Europe and South America, have had minimal influence on our market overall. In 2007, the island became a French Overseas Collectivity, gaining control namely over zoning and urbanism, significantly impacting regulations. This change attempted to balance development pressures with the need for the resident population housing and for environmental preservation.
What is your growth strategy for 2025 and beyond?
For growth, it’s about adapting to market conditions. While we’re seeing positive momentum in sales as we enter this winter season, expansion isn’t our primary focus.We are and have been the market leader on the island, year after year. Instead, our priority is nurturing client trust, maintaining our leading position, and developing our team’s expertise.
What are some of the main challenges facing Sibarth Real Estate?
Housing availability and affordability for staff is a pressing issue, shared by many local businesses. We’re fortunate that some of our associates are locals, allowing for a stable team, but housing remains a challenge. Another concern is the proliferation of inexperienced real estate agents on the island—approximately 120 licensed agents on such a small land area. This impacts market accuracy and valuations due to misinformation by inexperienced participants. Unlike the U.S., we don’t have a centralized listing system, so our market relies heavily on experience-based advice, hence the need for a buyer to select carefully a well-established brokerage.
What is your final message to Newsweek readers considering Saint Barthélemy as a potential tourism and/or investment destination?
St. Barth offers safety, security, and the opportunity to own an enjoyable, stable and attractive asset. The market is small, with limited transactions each year, which helps maintain stability. While owning a property on the island, rental income can provide consistent returns, covering maintenance costs and more. The property values here have always been protected from large drops, without sudden crises forcing sales, since the financial profile of many of our owners is secure. A property in St. Barth is more of a lifestyle investment—something for you and your family to enjoy, sometimes for generations. Many clients see it as such, holding on to properties for the long term, though there can be a higher turnover since these are often secondary or holiday homes.
