CAYMAN’S REAL ESTATE MARKET RECORDED STRONG PERFORMANCE IN 2025

IRG REVIEW: PART ONE

By Staff Writer

Confidence in Cayman’s real estate market remains solid, according to a 2025 review published by prominent sector firm IRG.

In a comprehensive report reviewing 2025 and looking at opportunities for 2026, the real estate agency reports that in 2025, the Cayman Islands real estate market saw higher-value transactions, policy changes, and a shift toward a more normalised pace.

For 2026, it says the outlook remains “measured but confident”

According to IRG’s CEO and founder, Jeremy Hurst: “While inventory levels, financing conditions, and global dynamics will continue to influence activity, Cayman’s core fundamentals, including economic stability, international connectivity, and lifestyle appeal, remain firmly intact.”

The firm says in 2025, the Cayman Islands real estate market reinforced its position as one of the Caribbean’s, and increasingly the world’s, most resilient and regionally recognised real estate destinations.

“Cayman’s long-term fundamentals, lifestyle appeal, and limited prime inventory continued to provide powerful support across key segments,” it says, pointing to three key themes: resilient demand, market normalisation and opportunities ahead.

LOOKING BACK

According to Residential Sales Associate David Gordon, over the past 15 years, the Cayman Islands real estate market has demonstrated steady growth and resilience. It says this historical perspective highlights both the long-term stability of the market and the evolution of buyer behaviour.

“The 2011, 2016 and 2021 peaks illustrate how the Cayman market has historically rebounded after challenging economic cycles; however, the years since Cayman’s 2021 peak market have trended toward a more normalised, sustainably paced growth, balancing transaction activity with more modestly rising values.”

RESIDENTIAL

James O’Brien, Head of Luxury, notes that 2025 was defined by higher-value activity. While total transactions eased, sales volume and average price rose, supporting long-term stability and continued confidence.

“The market is not slowing, but rebalancing, supporting long-term stability, sustainable growth, and continued confidence in Cayman’s real estate market.”

Marco Mastrogiovanni, Residential Sales Associate, points out that in 2025, the Cayman Islands real estate market saw fewer transactions but a higher total value, with rising volume and a higher average price point.

IRG represented 2 of the 3 largest residential sales in 2025.

RESIDENCY BY INVESTMENT

IRG says Cayman continues to be an attraction for high-net-worth(HNW) individuals despite the announced increase in the investment requirements announced by the government in last November’s budget statement. The Residency By Investment programme changes the requirements from CI$2 million to CI$4 million for Permanent Residency, and from CI$1 million to CI$2 million for the 25-year Residency Certificate. 

IRG Residential Sales Associate, Doug Moss, explains that although the investment thresholds will be doubled from March this year, this is not expected to dampen “Cayman’s ongoing appeal to high-net-worth investors…Given rising mid-to-upper-tier luxury prices, these levels are still likely to represent strong value to prospective residents.”

“Nevertheless, the ability to secure residency in a safe, stable, and well-regulated jurisdiction remains a powerful incentive, particularly where Permanent Residency can provide a pathway to Caymanian Status and, ultimately, a British passport.”

COMMERCIAL LEASING AND DEVELOPMENT MARKETS

The IRG report also suggests that whilst annual office absorption has softened from previous peaks, refurbishment costs and operational disruption often make relocation preferable to full refit programmes. In many cases, this has resulted in tenants moving into smaller, more efficient footprints, which in turn has moderated demand for speculative private-sector office development. Even so, best-in-class buildings continue to perform strongly.

It refers to Seven at Cricket Square, which was delivered fully pre-leased ahead of completion, and 2026 will see the next Camana Bay office building move toward completion, anchored by the relocation of a leading law firm from George Town.

IRG represented the largest commercial transaction of 2025 at $7,350,000.

“Camana Bay remains a focal point for finance-industry occupiers seeking an integrated ‘live-work-play’ environment, while George Town is beginning to benefit both from its more efficient cost base for tenants and from the early successes of rejuvenation, “ says Trisha Johnson, Head of Commercial.