04-Jun (NY Times) — Britain may be in recession, but business is booming for Rupert des Forges, a real estate agent in one of London’s most expensive neighborhoods.
He expects it will take just a few weeks to find a foreign buyer for a 1,530 square-foot, or 140-square-meter, apartment within a mansion, with concierge, in South Kensington that is listed at £3.25 million, or $5 million. Someone recently bought two larger properties nearby for around £7.5 million apiece. The buyer was an investor eager to move cash out of the euro zone — in that case, Italy.
From Italy, Greece, Spain and other countries in the European currency union, the affluent these days are moving money into hard assets valued in something other than euros, which have been plunging in value.
Expensive London apartments, valued in pounds, fit the bill nicely.
PG View: Gold fits the bill nicely as well; and it’s much more liquid than high-end real estate.