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London Tops the List of European Hotspots for Billionaires

Wed 09 Apr 2014

When it comes to luxury property, millionaires are no longer big news, these days it is all about the super rich billionaires of the world. The overall combined wealth of UHNWIs (ultra high net worth individuals) has almost doubled since 2009 and the typical billionaire has at least one luxury London property on their portfolio, worth around £22 million.

According to research by Beauchamp Estates and Dataloft, the average billionaire is worth £1.79 billion and there are more than 2,170 billionaires around the world. The majority of billionaires are married and would not consider spending any less than £10 million on a property, unless it was for their staff.

The data found that property in London was very high up on the list of desirable must-haves for those with billions of pounds to spend, with over 67 billionaires currently living in the capital. This makes it the favourite when it comes to popular Western European capitals for the mega-rich, with London beating both Paris and Geneva.

A typical billionaire holds a portfolio of around £50 million worth of real estate, spread across an average of four homes. An example would include a large mansion in London, a holiday home on the French Riviera, an estate in Tuscany and a luxury apartment somewhere further afield.

Many people think Kensington and Chelsea are the main London hotspots for billionaires, but it turns out that the triangle of Belgravia, Knightsbridge and Mayfair is the desirable hot spot, with Chelsea merely being a place to house their staff.

Some 60% of the world’s billionaires are self-made, and they usually want a few holiday homes in different countries, with wealthy Lebanese and Israelis choosing Greek islands and Indians and Russians preferring Tuscan estates.

Family homes are the firm favourite with billionaires, who were found to have on average 2.1 children each. They prefer large family homes that consist of a minimum of sixe bedrooms and all the state-of-the-art technology available. Top of the range features in the average home of a billionaire include bulletproof doors, iris recognition security and his and hers panic rooms.

Beauchamp’s Director, Gary Hersham, says:

“What’s interesting isn’t the quantums of money, but how spontaneous they now are with their spending. Their parents’ generation were far less willing to spend their fortune. Now, if you look at the profile of where many of these billionaires are coming from, you can understand why they are buying property.”

It would seem that most billionaires aren’t afraid to put their hand in their pocket to buy luxury properties all over the world, but this could change even more soon with the introduction of Richard Branson’s Virgin Galactic offering space flight. With suborbital flights, those who can afford a ticket could be in London for breakfast and Sydney for tea, meaning that over-seas property could become even more attractive.

According to Gary, "most UHNWIs buying in western Europe see having an ultra-prime home in prime central London and on the French Riviera as 'must have badges'”, so they are advised to put aside a budget of around £50 million to ensure they get the property they want.

Hunters have over 100 offices nationwide including Bexleyheath