Choosing between a new build and a renovation in Marbella is like choosing between a tailored Armani suit and a beautifully restored vintage piece. One offers flawless modernity; the other tells a story of heritage and character. Both can deliver elegance, exclusivity, and strong investment returns when done right.

At Homerun Brokers, we see clients face this decision daily. The choice between commissioning a brand-new villa or transforming an existing property is more than practical — it defines lifestyle, design preferences, and long-term ROI. This article explores Marbella’s prime areas, costs, timelines, and what truly drives value, helping you make an informed and confident decision.

Marbella’s Prime Districts

Each of Marbella’s prime enclaves tells a different story for investors:

Golden Mile
The Golden Mile is Marbella’s most iconic address. Here, plots are scarce, making the decision often between restoring a classic Spanish-style villa or starting anew with a contemporary masterpiece.

Sierra Blanca
Set above the town with panoramic Mediterranean views, Sierra Blanca is synonymous with security and privacy. Strict planning regulations mean renovations require precision but can be exceptionally rewarding.

Nueva Andalucía
Known as Golf Valley, it offers larger plots and flexible planning. Both new builds and renovations thrive here, attracting families and investors looking for space and lifestyle.

Marbella East
From Cabopino to Las Chapas, Marbella East combines generous land for development with older villas ready for transformation. Faster permitting makes it especially appealing for time-sensitive buyers.

Costs: New Build vs. Renovation

Price is often the starting point when comparing the two paths.

• New builds in Marbella’s most exclusive areas typically range from €3,500 to €8,500+ per m², depending on location.
• Renovations combine the cost of the base property (€4,500–€8,000/m²) plus renovation works (€800–€2,750/m²), often totaling €5,300–€10,500/m².

Renovations can seem more accessible at first glance, but hidden fees — such as architectural services, permits, and structural contingencies — can quickly narrow the gap. New builds, by contrast, usually provide greater cost certainty with turnkey contracts.

Timelines: What to Expect

• New builds generally take 21–33 months, covering land acquisition, planning, and construction.
• Renovations can often be completed in 8–19 months, depending on permit type and scope.

Prime areas such as the Golden Mile or Sierra Blanca often involve longer permitting, while Marbella East typically allows faster approvals.

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What Drives ROI in Marbella

Whether you opt for new construction or restoration, the key is aligning with today’s luxury buyer demands:

• Energy Efficiency: Solar panels, aerothermal heating, and advanced insulation can increase value by up to 10%.
• Indoor–Outdoor Living: Seamless floor-to-ceiling glazing and expansive terraces boost prices by as much as 15%.
• Warranties & Confidence: New builds often come with 10-year structural guarantees, appealing to risk-averse buyers.
• Authenticity: Restored Andalusian villas with original details — beams, tiles, wrought iron — remain highly desirable for buyers seeking charm.

Challenges to Consider

Luxury investments in Marbella demand foresight:

• Legal & Title Checks to ensure compliance.
• Builder Selection suited to terrain (coastal vs. hillside).
• Financing Risks, as renovation loans may carry higher rates.
• Unforeseen Issues, requiring a solid contingency plan.

Financing & VAT Considerations

New builds: Standard mortgages cover 60–70% LTV, with 10% VAT applied to first-sale properties.

Renovations: Typically 50–60% LTV, 21% VAT on construction, and possible VAT recovery for EU investors.

Design & Lifestyle Trends

Marbella’s luxury property market continues to evolve, blending innovation with tradition. Today’s most desirable homes include:

• Smart home automation.
• Biophilic design with natural materials and green spaces.
• Wellness features such as spas, gyms, and pools.
• Adaptive reuse projects that preserve Andalusian heritage while integrating eco-conscious solutions.

How Homerun Brokers & Developments Can Help

Navigating this decision requires more than vision — it calls for expertise and execution. At Homerun Brokers & Homerun Developments, we support clients with:

• Site Selection & Feasibility Studies.
• Design & Concept Development, balancing modern and heritage styles.
• Project Management, including licensing, budgets, and timelines.
• Sales Strategy & ROI Optimization, connecting properties to a global network of buyers.

Marbella Market Outlook 2025–2026

The future continues to offer exciting opportunities for both new builds and renovations:

• La Reserva de Los Monteros Phase II: Eco-conscious turnkey projects (2025).
• Marbella East Coastal Revival: Ultra-modern beachfront villas (2026).
• Golden Mile Art & Culture District: Heritage façades integrated with contemporary design.

Making the Right Choice

So which path is right for you?

• Certainty & Guarantees? → New build.
• Unlocking Hidden Value? → Renovation.
• Tight Timelines? → Renovation may be faster.
• Design Preference? → New builds for sleek modernity, renovations for heritage charm.

Conclusion: Crafting Your Marbella Vision

The decision between a new build and a renovation in Marbella is as much about lifestyle as it is about numbers. With the right strategy, your investment becomes more than a property — it becomes a sanctuary, a statement, and a reflection of your vision.

Talk to Our Team

• Request a custom cost analysis.
• Schedule a feasibility study.
• Book a private consultation.