Monday, 20 June 2011

The luxury £1bn central London flats sold which all remain empty... Despite an oligarch paying £136m for a penthouse

http://www.dailymail.co.uk/news/article-2005418/1bn-flats-sold-Knightsbridge-London-lives.html

Flats worth £1billion have been sold in London’s most famous block – but
nobody has moved in.


The developers of One Hyde Park in Knightsbridge have sold 48 out of the 86 apartments since January.

The sales include a triplex penthouse, bought for a world record £136 million by a Ukrainian oligarch.
When people move into a property, they are liable for council tax. But a Westminster Council spokesman said: ‘No one is paying council tax at the One Hyde Park building.'
When properties are empty and unfurnished, they qualify for a six-month exemption, which ends when someone takes up residence. Otherwise, after six months, the developer must pay.’
Land Registry documents show 48 properties have been registered – all but a handful to firms in offshore tax havens.

One result of the apartments being owned by offshore companies is that if they are resold as company assets, stamp duty can be avoided. The loss to the taxpayer for £1 billion of property would be £50 million.





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