[quote Bellalastrasse]@GallopingHighRoad
‘ The amount of Russian money that has been invested into London real estate (and into French property also) is staggering. This is not all owned by oligarchs close to Putin. Nobody knows the full extent because it mostly comes through layers of offshore trusts and companies in the Caribbean, Mediterranean and Switzerland. There is little sanction that will be brought against real estate, because in practice it does not have the immediacy that blocking $100m in a deposit account does. There will be little appetite to block personal funds for the reason that it alienates those who may hold different ‘
But they will counter argue that they will withdraw their money from real estate, etc if we impose any sanctions on them. The money in our infrastructure is so crucial to our economy now, isn’t it? Or have I got that wrong?
My thought is that if someone imposed a partial sanction on a Russian in London all they have to say is ‘fine, I’ll just stop funding x, y and z’ whilst I’m at it.[/quote]
Despite being one of the easiest countries in the world in which to invest, particularly when it comes to real estate, it would be impossible for tens of billions of $ worth of money to be extracted from London, Paris or the Riviera in the space of 5 years, let alone a shorter period of the coming year. The money is embedded in our economy for the medium term at least (15 years or so). Fluid working capital is what keeps economies strong and hiding money in real estate is not that. Most Russian investors will be unaffected through property held here. In some ways, if they are anti the Russian regime, they may take comfort from knowing their wealth is on 'long term deposit' and out of reach from Russian nationalistic interference.