Estate agents and developers specialising in the top end of the London property market say they have seen a surge in enquiries from Russians and Ukranians.
Edo Mapelli Mozzi of search agency Banda Property said: “We have certainly seen an increase in interest from Ukrainian and Russian clients as a result of the geopolitical situation, but also because of the pressure on the Russian markets and the rouble. It makes them look for a safe haven and London is the closest global city they understand and have good contacts with.”
Buyers from Russian and the former Soviet and Warsaw Pact countries make up around seven per cent of the total in prime central London, according to figures from Savills.
Matthew Sinclair, of analyst Europe Economics, said it was wrong to suggest that wealthy Russians would desert London because of tensions and the possible threat of sanctions against Moscow. He said: “Are Kensington estate agents squealing with fear and pain or with delight?”
London is generally seen as a major beneficiary of instability with waves of buyers choosing to invest their wealth in the capital following convulsions such as the Eurozone meltdown, the Arab Spring, the Turkish riots and now the Ukranian crisis.
Naomi Heaton, chief executive of London Central Portfolio, which runs funds for investing in the capital’s prime property markets said: “We may well have some very wealthy Ukranians coming in.”
