Interview with Leading Russian Based Broker

Anna Batizi is head of international sales, Moscow Sotheby’s International Realty. She gives Russians keen to invest overseas her advice on what is active and where to buy.

The established markets are still the preferred destinations for investors. One of the most attractive markets for buying real estate is, unconditionally, the United States.

The U.S. remains an investment priority in connection with several factors: high profitability of capital, especially in new developments; wide price range; well-developed infrastructure (transport, education and health); high quality and standard of living; established air connections over the whole country and beyond its borders; high tourist potential (more than 40 million tourists a year create demand in the rental market); and also legal protections, guarantees, transparency and simplicity in the purchase process.

Another attractive destination for buying foreign property is France. Of course, Paris and the Cote d’Azur are especially popular thanks to their historical and geographical peculiarities, however the economic factor (liquidity, steadily growing prices on apartments and houses) is also important for the investor.

Suites in a prestigious area of Paris or a villa, for example, in Cap Ferrat – these are not just definite status for the owner, but also a successful investment. The price per square meter here does not depend on global financial crises. It’s hard to imagine that local real estate will ever lose demand in this corner of the world.

Also, another of the most popular property markets today is London. It attracts buyers with its large choice, market transparency and high returns. The real estate legal system developed over a century guarantees free legal title of ownership, while expenses on formulating the deal are relatively low compared to other countries.

As for promising and interesting foreign property markets for investing in the future, Israel may be considered a relatively new destination, specifically one surprising development in Tel Aviv – the 37-story elite residential skyscraper Meier Tower on Rothschild Boulevard. This development is designed to satisfy fast-growing demand for luxury-class housing in Israel.

Also, the Miami real estate market is showing stable growth: there are new developments all the way along the waterfront. The most popular regions for buying luxury class suites are Bal Harbour, Sunny Isles and South Beach.

In recent years, stable growth is also observed on the market for luxury-class properties in New York. The most attractive area for investment is considered to be Manhattan, especially around Central Park.

A significant volume of property deals also comes to California: in general the most popular regions are Los Angeles (the “Platinum Triangle”), Malibu, Santa Barbara and its surrounds, and also the San Francisco area.

This article appeared in the Moscow Times on 13/11/2012.