Do you know that many Russian oligarchs are now living in the United States? In fact, according to a recent study, over 60% of Russia’s richest people have either moved or plan to move their families and businesses overseas.
While some people may think that this is simply because they want a “haven” for their money, the reality is that the current political and economic situation in Russia is becoming increasingly unstable.
In this blog post, we will discuss why Russian oligarchs are moving to the USA and what implications this could have for both countries.
Russian Oligarchs Living In USA
The scrutiny of wealthy Russians in America, including yachts, corporations, jets, and, of course, real estate, has increased as sanctions against Russia in reaction to Russia’s invasion.
The American government is taking steps to freeze the assets of Russian companies and billionaires who have been subject to sanctions, and political leaders are demanding the complete confiscation of their real estate.
When speaking to Russian oligarchs in his State of the Union address on Tuesday, President Joe Biden said, “We are cooperating with our European friends to discover and confiscate your boats, your luxury apartments, and your private jets.” We are on our way to taking away your mischievous gains.
Over the past ten years, wealthy Russian businessmen and other members of the nation’s elite have made headlines by purchasing opulent residences for top dollar, particularly in South Florida and New York City.
Many have hidden their names, like other foreign buyers, by making purchases through offshore trusts or LLCs.
Manhattan Borough President Mark Levine tweeted over the weekend, “Manhattan has been one of the most popular safe harbors for Russian billionaires to shelter their cash, notably via ultra-high-end residences.” It’s time to begin taking their property, she said.
According to David Friedman, co-founder of the wealth intelligence platform Wealth Quotient, less than.01 percent of Russia’s entire population, or roughly 5,500 ultra-high net worth Russians, are thought to be the owners of about $240 billion in global real estate.
According to Friedman, it amounts to $43 million in real estate per person, the majority of which is probably located outside of Russia.
Roman Abramovich owned townhouses in New York City at 9, 11, 13, and 15 East 75th Street, as well as co-ops in Snowmass, Colorado, at 1200 Ridge Wildcat Drive and 303 Aspen Way. All of these properties were sold.
Russian oligarch Roman Abramovich purchased four townhouses on New York City’s Upper East Side, to combine three of them into a megamansion.
Abramovich made his fortune in energy and metals in the 1990s and early 2000s. The businessman, who also owns the soccer team Chelsea F.C. in London, gave his ex-wife Dasha Zhukova ownership of the New York properties in 2018 for more than $92 million.
In New York, at 785 Fifth Avenue, is the Eugene Shvidler Co-op.
The Park V on Fifth Avenue in New York is home to a co-op owned by billionaire Russian-American oil and gold mining investor Eugene Shvidler. Shvidler and Abramovich are said to be best friends. In May 2018, he spent $24.5 million on the 5,000 square foot, two-bedroom apartment.
Shvidler, like Abramovich, amassed his wealth when Russia’s oil sector was privatized. The residences were a significant point of conflict in Rybolovlev’s divorce from Elena, his ex-wife.
Miami Beach’s Aras Agalarov Unit 7064 in the Palazzo Del Sol is located at 7064 Fisher Island Drive (sold)
Putin and Former President Donald Trump’s buddy and wealthy real estate developer Aras Agalarov, who is Azerbaijani-Russian, held a condo at Palazzo Del Sol on Fisher Island, an exclusive Miami Beach island reachable only by boat, ferry, or helicopter.
Agalarov took a loss on the $10.7 million house he had purchased two years prior when he sold the four-bedroom, 4,738 square foot unit in 2018 for roughly $8.5 million.
At Trump Hollywood, 2711 South Ocean Drive, in Hollywood, Florida, is the Oleg Misevra Penthouse
Oleg Misevra, a Russian coal mogul praised by Putin, according to the Miami Herald, purchased a six-bedroom, 8,170 square foot penthouse at Trump Hollywood for $6.8 million in 2010, according to property records.
Mega-mansion at Danil Khachaturov Trousdale Estates in Beverly Hills, California
According to Dirt, Russian tycoon Danil Khachaturov paid $35 million two years ago for a megamansion in Beverly Hills’ Trousdale Estates neighborhood. Khachaturov once owned a controlling interest in the nation’s largest insurance agency.
New York’s 11 East 64th Street and 12 Gay Street are the homes of Oleg Deripaska.
Russian oligarch Oleg Deripaska, a millionaire Russian oligarch and the creator of the massive aluminum company Rusal who was close to Putin, had two properties in New York at 11 East 64th Street and 12 Gay Street.
Ownership of the two properties was transferred to relatives by Deripaska, who is no longer permitted to enter the United States. He spent, respectively, $42.5 million and $4.5 million on the two houses.
He was added to a sanctions list by American authorities in 2018 as a result of allegations that he participated in homicide, money laundering, bribery, and racketeering. In addition, he has ties to Russian organized crime and claims a dossier from the Trump administration.
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