A can of Coca-Cola for $13? Costs are emerging on certainly one of Europe's hottest islands

A beach eating place fees 30 euros ($30) for a burger.

A big sunbed at an upscale seashore membership can value 500 euros in August.

And a desk at a “VIP” nightclub can run into the hundreds.

Despite the fact that Spain is typically thought to be a somewhat priced commute vacation spot, the Spanish island of Ibiza has lengthy been referred to as a spot for dwelling the top lifestyles.

“The pricing is foolish,” mentioned Ben Pundole, a luxurious lodge marketing consultant and longtime Ibiza customer, in an e-mail to CNBC. “After 23 years in New York, I will handiest examine it to the Hamptons within the top of [the] season.”

But Ibiza’s guests are glad to spend giant, Pundole mentioned.

“Ibiza may be very pricey, it is at all times been pricey,” he mentioned. “However persons are prepared to pay.”

Whilst hippies have been attracted to Ibiza for its rumored “magnetic” vibrations within the Sixties, it used to be arguably British-Australian Tony Pike who put the island at the map when he opened the Pikes Resort, now referred to as Pikes Ibiza, in 1980. The small lodge remodeled a 500-year-old property within the hills right into a celebration haven.

Pike’s wealthy and well-known buddies, comparable to Freddie Mercury, George Michael and Kylie Minogue, stayed on the lodge — and it is nonetheless a spot that pulls crowds to its rooms, eating place, and dancefloor.

The Nineteen Eighties additionally noticed the upward thrust of golf equipment comparable to Amnesia, Area (now house to Hello Ibiza) and Pacha, with the latter recently charging 13 euros ($13) for a typical can of Coca-Cola. Extra golf equipment have since opened, together with Ushuaia, which used to be named the 3rd absolute best membership on the earth in 2019 by means of the World Nightlife Affiliation.

Eating places, golf equipment, vacation leases and taxis have all noticeably hiked costs this 12 months, Pundole mentioned.

“It is an island, it is seasonal, companies are making up for 2 years of misplaced earnings, there is provide chain problems and the pent-up call for is gigantic,” he mentioned.

Certainly, the selection of vacationers visiting the Balearic Islands used to be up 300% 12 months over 12 months in Might, in line with Spain’s Nationwide Institute of Statistics.

Ibiza’s popularity as an upscale vacation spot developed over a couple of many years, mentioned Carolyn Addison, head of product at luxurious commute specialist Black Tomato. “It has this type of … established glamour. So, there is a lot on be offering this is pricey,” she advised CNBC by means of telephone.

“You would need to hint it again to the ’60s when there used to be this kind of … hippie crowd that washed up,” she mentioned. “As that crowd possibly were given older, richer, extra established, [it] outlined the island in a brand new approach.”

A six-night go back and forth arranged by means of Black Tomato begins from round £6,100 ($7,260) in step with particular person, together with lodging, breakfast and a one-day non-public yacht constitution (the cost excludes flights).

Six Senses Ibiza is well liked by Black Tomato’s purchasers, mentioned Addison. The luxurious lodge introduced the addition of nineteen non-public flats and two “mansions” in June.

Mansions value round $16,000 in step with evening in the summertime, in line with the lodge’s web page. Visitors have get right of entry to to a spa, youngsters’ membership and day-to-day actions comparable to kayaking and cliff leaping. Every comes with a “Visitor Revel in Maker” who can arrange nightclub access and boat journeys, in line with the lodge.

Additionally new at Six Senses this 12 months is Seaside Caves, a venue with a cafe, reside tune house, recording studio and 6 suites with extra-large beds, close to town of Portinatx on Ibiza’s north coast.

Pundole, who’s Seaside Caves’ inventive director, described the world as having “a special vibe,” and referred to as it “curious, mystical, similarly as hedonistic, and as bohemian as any place it is advisable to consider.” Seaside Caves suites get started from 1,565 euros an evening in the summertime.

This 12 months additionally noticed luxurious lodge team Mandarin Oriental take over control of Tagomago, a non-public island off Ibiza’s jap coast. All of the island is to be had to hire for round 30,000 euros an evening all through the top season, which incorporates a non-public villa, chef, concierge, butler, villa host and yacht captain, in line with a promotional brochure.

Luca Finardi, operations director of Mandarin Oriental Unique Houses, mentioned Tagomago’s clientele include “a wide range of top-end folks from in every single place the arena.”

Requested why Ibiza is so pricey, Finardi mentioned by means of e-mail that the island is well liked by upmarket vacationers who need a aggregate of “gorgeous surroundings, prime quality eating places and bars, elegant buying groceries studies and full of life nightlife.”

“It additionally supplies beautiful spaces the place visitors can to find quiet corners to flee the crowds,” he mentioned. “It represents worth for cash to folks in the hunt for those studies.”

At A.M.A Picks, a luxurious house reserving web site that introduced in June, the typical value of a 10-day villa keep on Ibiza is round 26,500 euros, in line with co-founder Mariek Anselme. Maximum purchasers upload products and services comparable to pop-up cinema studies — which get started from 500 euros in step with screening — in addition to non-public cooks, yoga categories and spa remedies.

“The island is in a position to strike a steadiness of original, boho allure with upscale choices common among VIPs and rich vacationers,” Anselme advised CNBC by means of e-mail.

“For many years it is pulled in iconic names within the tune business, growing an elite and lavish leisure scene … Lately now we have noticed extra world leaders in luxurious hospitality open in Ibiza, giving it a world-class standing that is in a position to command top costs,” she added.