21 June 2008

Russian Billionaires and US Real Estate

Dmitry Rybolovlev, a Russian billionaire, who made his fortune in fertilizer has dropped a cool USD 100 million to buy Maison de l'Amitie from Donald Trump. A house that sells for 100 million dollars has got to be some seriously good real estate.

It is not like Rybolovlev cannot afford it. His personal wealth is estimated to be at USD 13 billion and his company, Uralkali, is capitalized at some USD 33 billion. Nevertheless, the property was not bought to become the family home. Rybolovlev intends to remain living in Moscow and sees the property as an investment for the future. It might be a good buy provided the bottom does not fall out of the super luxurious housing market. Donal Trump acquired the 3,000 sq. foot Maison for USD 41.4 million at a bankruptcy auction. So, the Trump has more than doubled his investment. Yet, the property was originally listed for sale at USD 125 million.

The lives of the rich and famous!

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