• Even a $31.5 million bid won't snag Huguette Clark apartments for Qatari P.M.

    Brown Harris Stevens

    The view from Apartment 8W at 907 Fifth Avenue, a view that Huguette Clark gave up for the last 20 years of her life. The 5,000-square-foot apartment could still be yours for $19 million.

    By Bill Dedman, Investigative Reporter, NBC News

    NEW YORK — The prime minister of the Persian Gulf nation of Qatar was rebuffed this weekend in his attempt to spend $31.5 million for two of the New York co-op apartments of the reclusive heiress Huguette Clark.

    A person familiar with the decision said the co-op's board declined to grant the sheikh an interview, concerned primarily that the quiet character of the elegant building would change with the security demands of a foreign leader. He would be replacing, after all, a woman who was the world's quietest neighbor, having lived the last 20 years of her life in New York hospitals.

    Huguette Marcelle Clark, the heir to a Montana copper fortune, has been the subject of a series of reports on msnbc.com about her vacant properties and the management of her fortune. When she died last May at age 104, her properties included three apartments at 907 Fifth Avenue, at East 72nd Street, overlooking Central Park's Conservatory Water, near the statue of Alice in Wonderland.

    Karim Jaafar / AFP-Getty Images

    The prime minister and foreign minister of Qatar, Sheikh Hamad bin Jassim bin Jaber Al Thani, photographed in 2006. He was rebuffed in his effort to buy the New York apartments of the late reclusive heiress Huguette Clark.

    The Qatari prime minister, Sheikh Hamad bin Jassim bin Jaber Al Thani, was selected by the Clark estate after an auction, offering $31.5 million for Clark's two apartments on the 8th floor, a total of 10,000 square feet. That's half a million dollars more than the asking price. Hamad, who reportedly has two wives and 15 children, owns one of the largest yachts in the world, the 133-meter al-Miqab, which cost several hundred million dollars.

    Clark's third apartment, on the top floor, the 12th, found a buyer soon after it was listed, at or near the asking price of $24 million. The buyer is Boaz Weinstein, the well-known hedge fund manager and derivatives trader, formerly of Deutsche Bank and now with Saba Capital Management LP. He has signed a contract and is awaiting an interview with the co-op board.

    The three apartments combined cost Clark (and her estate) $28,500 a month in co-op fees, or $342,000 a year.

     

    The Qatari had not made the highest bid for the 8th floor apartments. He offered $31.5 million, less than the top bid of $33 million, according to a person familiar with the auction. The other bidders were the founder of a private-equity firm and the founder of a hedge-fund firm. It wasn't clear why the estate chose the lower bid.

     

     

     

     

    But the auction became moot after the co-op's board changed its mind, deciding not to allow the two apartments on the 8th floor to be joined into one. Even though the apartments had been listed separately, the estate had accepted bids only for the two together, after the co-op board had signaled that it would look favorably on a combination. But the board changed its mind after the auction, and the board declined to grant an interview to the Qatari, even if he were to purchase only one of the two apartments. Besides the security issues, the board was concerned about the disruption of construction, as well as the long-term imbalance of having a single owner with so large a share of the building. The Qatari had also let it be known that he was willing to pay top dollar for other apartments in the building for staff and relatives.

    Hamad is not only the prime minister but also the foreign minister of the emirate, and is the cousin of the emir, the country's hereditary ruling leader, Sheikh Hamad bin Khalifa Al Thani, who owns a house just down the block and across 72nd Street, between Fifth Avenue and Madison Avenue.

    Bill Dedman / msnbc.com

    A winter view of 907 Fifth Avenue in New York City, at 72nd Street on the east side of Central Park. The taxis in this view are headed east on 72nd, leaving the park.

    Now the real estate brokers must start over. Perhaps one of the other bidders will want to purchase only the $19 million apartment 8W, facing Central Park, or the $12 million apartment 8E. The apartments are said to need a lot of work, and the kitchens date from before World War II.

    The brokers from Brown Harris Stevens declined to comment, as did the attorney for the public administrator of New York County, who is executor of the estate. Proceeds of the sale will help pay estate expenses, with the remainder held for the winner of the court battle over the $400 million estate of Clark, who left two wills, one favoring her family and the other favoring her nurse, attorney, accountant and a public museum to be established in her oceanfront $100 million home in Santa Barbara, Calif.

    Her country estate in New Canaan, Conn., has been marked down to $17 million from its original price of $23 million.

    The New York Observer reported earlier Monday that the co-op board rejected a bid from an unknown buyer.

    Floor plans for the three apartments are available in our previous story.

    The full story
    More on the Huguette Clark mystery is at http://clark.msnbc.com/.

    Do you have information on the Clark family?
    Reporter Bill Dedman is writing a nonfiction book about the Clark family. If you have information, you can reach him at bill.dedman@msnbc.com.

    Rahul Kadakia of Christie's Auction House displays jewels discovered in heiress Huguette Clark's safe deposit box, including a pink 9-carat diamond ring.

  • London, NYC top the cities favored by the ultra-rich

    Suhaimi Abdullah / Getty Images

    The Merlion, a symbol of Singapore, is lit up in front of the central business district. The city, one of the world's most competitive, also has the largest GDP per capita anywhere.

    By Charles B. Stockdale, 24/7 Wall St.

    The votes are in and London is the most important city in the world -- at least, according to the ultra-wealthy. The Wealth Report, a new study by Knight Frank Research and Citi Private Bank, breaks down the 10 international cities that high-net-worth individuals consider the most important. 24/7 Wall St. examined the list to identify what it is that makes these cities exceptional.

    The report surveyed individuals worth more than $25 million in investable assets to find which cities impress them the most. The survey focused on several factors that can make cities important, including economic activity, political power, knowledge and influence and quality of life.

    A number of cities on the list are traditional hubs for business. New York and London, which sit at the top of list, are considered global financial centers. They are also important to the wealthy for other reasons, including good markets for luxury housing, strong educational resources, social stability, economic openness and personal safety.

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    The list also features cities in countries with emerging economies, although they generally rank lower than the established Western urban centers. Beijing and Shanghai, while already two economic powerhouses, are quickly becoming important and represent fierce competition for the old guard. In fact, a number of leading commentators believe Shanghai will be the most important city in 2050.

    For each city among the top 10, 24/7 Wall St. included its estimated rank in 10 years. We included the average price of prime property for each city as well. Prime property is defined as “a location’s most desirable, and usually most expensive, property,” the price of which often reflects demand among the world’s wealthiest individuals. We also included the population of each city’s metropolitan area, which includes surrounding suburbs, based on data from the United Nations. That the cities vary in size reflects the fact that what is important to the rich does not necessarily translate to universal popularity.

    These are the most popular cities of the ultra-rich.

    1. London

    • Estimated rank in 10 years: 1
    • Avg. prime property price: $4,500/sq. ft. (3rd most)
    • Population: 8,631,325 (30th most)

    London, which is one of the world’s top financial centers, is considered the most important city by high-net-worth individuals -- and by a significant margin. It ranks the highest in economic activity, knowledge and influence, and quality of life categories. It is second in political power, behind only Washington, D.C. The city has an abundant supply of luxury housing, top-tier educational opportunities and a large population of the ultra-wealthy -- all characteristics that appeal to the rich. Despite competition from emerging Asian nations, London is expected to maintain its top position for the next 10 years.

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    2. New York

    • Estimated rank in 10 years: 2
    • Avg. prime property price: $2,200/sq. ft. (Manhattan) (17th most)
    • Population: 19,425,069 (New York-Newark) (6th most)

    New York is ranked second in both the economic activity and knowledge and influence categories. It is ranked third in the quality of life and political power categories. In 10 years, the city is expected to remain as the second-most important city. David Adam, managing director at Global Cities, notes in The Wealth Report that New York’s ability to attract a significant foreign workforce will keep it on top.

    3. Hong Kong

    • Estimated rank in 10 years: 6
    • Avg. prime property price: $4,400/sq. ft. (4th most)
    • Population: 7,069,378 (38th most)

    Hong Kong is seen as one of the world’s most important economic centers. At $45,301, it has the world’s fourth-largest GDP per capita and is expected to have the second-largest GDP per capita by 2050. Hong Kong is also very highly rated in the quality of life and knowledge and influence categories. The average price per square foot in the city is the fourth-highest for houses and the 10th-highest for apartments.

    4. Paris

    • Estimated rank in 10 years: 7
    • Avg. prime property price: $2,500/sq. ft. (11th most)
    • Population: 10,485,263 (21st most)

    Paris performs fairly well in all leadership categories considered by The Wealth Report. The city also has the 11th-most expensive prime property values. According to the report, Paris has long been a popular center for real estate investments by foreigners. Since 2009, prime office rentals have increased by 17 percent. The city is also a major destination for business and tourism. In 10 years, however, the city is expected to fall behind Beijing, Shanghai and Singapore in importance.

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    5. Singapore

    • Estimated rank in 10 years: 5
    • Avg. prime property price: $2,400/sq. ft. (13th most)
    • Population: 4,836,691 (60th most)

    Singapore is considered to have the second-highest quality of life. It ranks fifth-highest in economic activity, eighth-highest in knowledge and influence and eleventh-highest in political power. Singapore also is listed among the cities growing fastest in importance. The city currently has the largest GDP per capita in the world at $56,532 per person. It is expected to maintain this position through 2050. According to data from the Economist Intelligence Unit, Singapore is one of the most competitive cities in the world, along with New York and London.

    Click here to read the rest of the top 10 cities most favored by the ultra-rich.

     

  • Spectacular Irish hotel, massive discount price

    No Blarney. The $6 million Sandhouse Hotel located in Donegal, Ireland, was purchased for $860,000.

    By msnbc.com

     
    It's as much as a small, two-bedroom apartment might cost on Manhattan's Upper East Side. But in Ireland, Paul Diver has purchased a spectacular 55 bedroom hotel overlooking the Donegal coastline for a mere $860,000, down from the $6 million price the original owners sought for the Sandhouse Hotel three years ago.

    Diver, who managed the Sandhouse Hotel in Rosnowlagh for 20 years, was delighted to secure the 50 staff members their jobs. He told msnbc.com on Friday that he had been willing to go "a bit higher" when the hotel was auctioned this week in Dublin, but was delighted when his reserve-price bid was accepted by the auctioneers.

    Sandhouse Hotel in Donegal, Ireland.

    The 50-year-old hotel went into liquidation in 2009 after the previous owners failed to sell it during the dramatic skid in the country's economy.

     Overall, Irish real estate prices have crashed since 2007-08, when the so-called "Celtic Tiger" economy collapsed. Home values have fallen more than 60 percent below their peak five years ago, and commercial properties have suffered similar declines.
    For Diver, it was an opportunity he couldn't turn down.

    "It's just a total adrenalin rush; I can't believe it. It's been a long, long road but we have made it," he told the Irish Independent newspaper.
    Diver hopes the fantastic location off the Rosnowlagh beach will remain a lure for visitors from home and abroad. He noted the beach has hosted the European Surfing Championship a few times over the past 15 years and boasts "fantastic waves."

    Related slide show: Ireland's faded real-estate dream

  • Ghost towns tell the story of Ireland's faded dream

     

    Cathal McNaughton / Reuters

    Fencing placed in front of The Waterways, an empty and unsold housing development in the village of Keshcarrigan, County Leitrim, Ireland, on Jan. 28, 2012.

    Reuters photographer Cathal McNaughton reports on the lasting effects of Ireland's financial crisis:

    Cathal McNaughton / Reuters

    An electrical cable is used to secure a security fence surrounding Cnoc an Iuir, an empty and unsold housing development in the village of Drumshanbo, County Leitrim.

    "If you build it, they will come." The iconic quote from the film Field of Dreams seems like a rebuke to Ireland's misguided builders and planners as the depressing sight of rows of newly built empty houses – windows broken and doors flapping in the wind – stretch out in the distance.

    I'd come to Co Leitrim, in the west of Ireland, to see for myself the so-called ghost housing estates that first came to the public's attention four years ago as the Celtic Tiger collapsed leaving thousands of developers bankrupt and projects half finished. Surely in four years, something would have been done about this national embarrassment – so obvious a sign of the demise of Ireland’s once envied economy?

     But the only solution that seems to have been put into action is fencing off the estates – hiding the embarrassing problem behind huge sheets of wood – leaving the houses to crumble into disrepair away from the gaze of despairing neighbours who paid full price for an identical house just 200 yards away.

    Cathal McNaughton / Reuters

    Unfinished houses at The Waterways, Keshcarrigan.

     Hardly a town or village in Leitrim – the least populated county in Ireland and the worst affected by the over-enthusiastic builders – has been untouched. Pretty lakeside villages with perhaps just 200 residents now have 50 empty 'dream homes' in new developments where fading advertising signs boast of private moorings and roof gardens. Larger market towns have row upon row of once smart new town houses – clearly built with the upwardly mobile commuters who were supposed to move to the countryside as part of the government's largely ignored decentralisation project – now with brambles growing over the gardens, potholed roads unfinished and adorned with graffiti by the kids who use them as drinking dens.

    Cathal McNaughton / Reuters

    Fenced-off houses at The Waterways, Keshcarrigan.

    Impressive holiday homes with 'stunning sea views' lie vacant with at most one unlucky tenant sharing their ghost street with long-abandoned builder's rubble and broken advertising signs banging in the wind at night keeping them awake.

    Surprisingly many of the houses aren't even for sale any more – even if a buyer could be found in the precarious Irish financial market.

    One resident – the sole home owner in a once stunning lakeside development – explained. "These were all sold but the developer needed more money from the bank to finish it and they refused. He went bust and that was that."

    See more images on the Reuters Photographers Blog.

     

    Cathal McNaughton / Reuters

    The ironically-named Crest Of A Wave, an empty and unsold housing development in the village of Bundoran, County Donegal.

     

  • For Sale: Deserted French village, pool included

    Sarah DiLorenzo / AP

    The village of Saint Nicolas Courbefy, in Limousin, France, on Feb. 28, 2012. The entire hamlet was put up for sale with an asking price of just $400,000, the cost of a studio apartment in Paris.

    Sarah DiLorenzo / AP

    The village swimming pool could perhaps do with a spring clean.

    The Associated Press reports from Courbefy, France — The village of Courbefy has rustic buildings with fireplaces and exposed beams, a horse stable, a tennis court and a swimming pool.

    Sound nice? It's for sale.

    The saga of the abandoned hamlet is a story of flight from rural France, bad economic times and real estate schemes gone awry. It's turned the mayor of the village next door into a minor celebrity whose office fields inquiries from places as far flung as Qatar and China.

    The village in Limousin, about 280 miles southwest of Paris, was put on the block last week because its latest owners, who had run it as a luxury hotel and restaurant, had long stopped paying their mortgage.

    The entire hamlet — with more than a dozen buildings — carried an asking price of just €300,000 ($400,000) — about the cost of a studio apartment in Paris.

    Take an aerial tour of the village or continue reading the tale of its rise and fall.