Diplomatic Conversions

May 8th, 2013 | By | Category: House Key, Residence

Embassies To Go On Sale As Governments Cash In On Prime Property Prices

US-Embassy

Prime London properties are arguably the most desirable in the world leading to values of such properties increasing substantially as the demand increases for them. Several global governments are now cashing in on their embassies and diplomatic properties in London as they can make huge profits on buildings they do not necessarily need in prime residential areas.

Following the move of the US embassy from Grosvenor Square to Nine Elms many have seen the opportunity and swiftly followed, the Dutch will relocate to Nine Elms and the Chinese government are eyeing up the Nine Elms Royal Mail depot.

The exodus of embassies will result in properties being sold in Mayfair, Marylebone and Hyde Park Gate. The possibility of living in an embassy is now an option (and not in the Julian Assange manner). Foxtons founder Jon Hunt recently bought the Libyan embassy in St James Square, this is sure to trigger bids from Russian and Asian investors for other diplomatic buildings in London. The Dutch embassy in Hyde Park Gate and Nepal’s embassy in Kensington Palace Gardens will be amongst the most highly sort after properties. A residential development on the US embassy site (pictured above) could be one the finest in London and with Finchatton’s development in close proximity Grosvenor square is definitely one place to watch.

Although developers, investors and the mega rich, will initially buy the embassies, the movement of embassies to Vauxhall could benefit average Londoners. Neighbouring areas such as Battersea and Clapham could see an increase in property values.

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