Prices over the odds but properties lack ‘wow’ factor
Thursday 27th May 2010, 2:30PM BST.
A LACK of top-quality homes to choose from could deter other wealthy individuals from moving to the island, Guernsey’s newest high-profile resident has warned.
Co-founder of financial services firm Hargreaves Lansdown and Bristol City FC chairman Stephen Lansdown (pictured) moved to the island to live at the end of March following the purchase of a house in St Peter Port 18 months ago and while he believes more wealthy individuals in the UK will follow him and the likes of Terra Firma boss Guy Hands, some could be put off by the lack of a ‘wow’ factor in terms of the properties available on the open market.
‘I think housing is a problem here. On the open market you are paying well over the odds for properties, especially compared to similar types of property in the UK, and there is a problem with the shortage of “knock-yourself-out” houses. I was told by the people who showed us around that the complaint that most often comes back to them is that there is nothing that makes people go “wow”.
‘If you think about it, people can go anywhere they like but there is limited supply here because Guernsey in itself is limiting the number of people who can come here.’
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well thats a bit of good news, perhaps he should have gone to sand banks, bournemouth
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I don’t agree with him – when I drive around, there are plenty of beautiful houses that have the “wow” factor in my book. Then again, I know I couldn’t afford any of them so my standards are possibly a bit lower.
Anyway, surely the “wow” factor that’s attracting these individuals is the low taxation, not the pretty houses? Like bella says, there are plenty of funky houses in the UK.
I’m not usually that parochial, but on this occasion I must confess to thinking “if you don’t like it, then don’t come.”
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Paul – I agree that there are many stunning properties on the island, but suspect that many are local market or, if they are open market then the owners are not willing to sell as they would not be able to find an equivalent property on the island.
Frankly, it’s a good thing. I have no problem with the individuals having chosen to come here, but we don’t want too many do we?
The last paragraph is amusing – that is the intention!
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Pfft, well if he doesn’t think our houses have the wow factor then why doesn’t he sling his hook back to England – oh yeah, that’s right because he’s dodging paying tax there.
Paying well over the odds for open market? Ha, so are locals for local market properties.
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Cannot see why they couldn’t build something with the wow factor. Employ local architects, surveyors and tradesman – bosh a healthy injection into the local economy.
There are plenty of plots on the island with the wow factor, find the plot and design the wow factor!
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Isn’t Mr Lansdown stating the bleeding obvious? Back in “Dear Old Blighty” country residents have land around them the size of St Andrews and Catel combined.
In any event, it’s not all that bad, the tax savings will more than adequately compensate the lack of piles!
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Ah, if it’s not the States using newly arrived ‘experts’ to tell us where we’re all going wrong, it’s the first of the latest wave of UK tax exiles.
Having just arrived here from the country where he made his considerable wealth, but has now decided he doesn’t want to pay his increased dues in, he hasn’t even taken a breath to enjoy our lovely island and appreciate how fortunate he is to be here (as we all are), before moaning to the media about the island’s lack of palacial open market homes, their cost, and how it could put his zillionaire tax exile bud’s off coming…
…excuse me whilst I wipe away and pitying tear and figure out who FORCED him to come here, would you…
and ‘proposing’ what, by implication, exactly? That we build more open market mansions to suit tax exiles demands?
Really, well done, sir. I can see now why you’ve been so successful in your chosen career. Some may call it ‘brutal honesty’ (in finance?! Really?! but others may call it rude and discourteous.
Surely a man with your influence and persuasive powers could have ‘explained’ to the UK Govt. where they were going so very wrong with their new tax strategy. So why didn’t you? Oh yes, that’s right, because they don’t care two hoots what you think… which is why you came to Guernsey…
And now you’re trying to ‘suggest’ to US how things should be done here. Why, exactly? Is it because we’re a little backwater hicks-ville, and you figure that it may well be easier to get what you want?
If you don’t like the way things are done here, Mr Lansdown, instead of trying to somehow manipulate the situation to suit your needs, why not take the option you took in the UK when you decided you didn’t like it, and LEAVE.
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The whole Island has the ‘wow’ factor and that shouldn’t be eroded by wealthy tax dodgers coming here and wanting to turn the place into their own playground. Presumably Mr Lansdown looked around the place before moving here and so knew what it looks like – property and all. If a place doesn’t meet your requirements then, in the absence of any financial restraints, why move there?
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Scarlett, I think that you may be being a little unfair. I don’t read his comments as moaning to the media. I expect that he was asked a question and simply made an observation.
The fact is, it is very difficult to buy a dream house in Guernsey because there are so few properties on the market at any time and so if you are looking for something in particular you need to be patient – even more so at the end of the market that he would be interested in.
I don’t think that Mr Lansdowne was complaining about it own situation (for all we know, he feels that he is very lucky to have found a dream house on a dream island) but was simply saying that because it is not that easy to achieve, it might put others off.
But as I said above, that is no bad thing.
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As I said before, the “wow” factor that attracted Mr Lansdowne was low taxation, not attractive housing.
Of course he could have moved to the Caribbean, but I suspect the island’s comparatively close proximity to his business interests and favourite football club (against other low tax jurisdictions with the exception of Jersey and the IOM) probably sealed the deal.
For the other uber-rich that are considering making Guernsey their home, I have no doubt the same criteria will apply. Of course there’s nothing to stop them buying a big Open Market property somewhere like Fort George, then seeking planning permission to redevelop a property more to their tastes – the money saved by our lower taxes will help cover the cost.
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Well that’s a shame isn’t it!
I feel great sympathy for those wealthy individuals who can’t have their gold plated fish ponds and cherry skirting boards!
Maybe sorting out good and affordable housing for the young talented people on this island who are leaving in droves might be a start.
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He must be a clever guy, he already worked out that housing is a problem here!
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Very strange
At the same time that those bearded gentlemen present a petition against what they claim are eyesores, a high-profile resident says there is a lack of ‘wow-factor’ houses
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Simon – what do you think is the problem with housing exactly?
There is plenty of property for sale. Yes it is expensive and do you know why?
IMHO there a huge number of factors – but the main driver is the cost of construction. This is made up by the cost of raw materials and the building trade – hence house price inflation. Building more property will not reduce price I’m afraid.
Mr Lansdown is probably right regarding open market property – during the last 20 years not many wealthy individuals came to Guernsey which meant rhat investment in the open market lagged behind the local market.
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Not really about house prices.
I would like to know why everyone is surprised that class sizes are so big at St Sampsons school. When the States made the decision to fill the St Sampsons corridor, so everyone lives on a postage stamp, it should have been expected
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Gilthead
With builder free plots on offer at 428K I think the land value is the major problem
As for Open Market property I believe the six new FLATS at the old Royal Hotel site will be starting at three million plus !
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i think this guy has a point. Some of the open market properties are a bit like council houses. You certainly wouldn’t give them a second glance in the UK. However, you are not just paying for bricks and mortar, you are paying for the whole lifestyle thing. I don’t have a problem with wealthy individuals living over here to avoid taxes – they are not taking anything from me… not like the local layabouts or women who expect me to pay for their babies because they are too ineffectual…. what about the second and third generations of local families who still live in the same States Houses for example? Dosen’t at least one generation have aspirations to do better for themselves? ….
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TL. Yes, perhaps, but he must know what the media are like. A simple ‘no comment’ would have sufficed rather than allowing himself to be portrayed in this unflattering light in an island he’s now calling home.
As I’ve asked before, what view will the UK Govt (we’re so desperate to get along with) take on us enthusiastically welcoming their tax exiles into our island, I wonder…
positive?
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What a curse to have so much money that you’re forced to live on island without ‘wow factor’ properties instead of in the beautiful and unique Isles of Scilly or on the wonderful islands and fabulous shores of the Mediterranean. However I digress. Guernsey has some ‘wow factor’ views but folk are right; it doesn’t have many,if any,’wow factor’ properties. Besides, all multi-millionaires take note: you won’t be multi-millionaires for long with Guernsey prices for utiltities, food, drink, medical services, and etc,
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If he’s looking for wow factor why don’t he go buy a big plot of land in the UK countryside and make his own wow factor house.
Oh shoot, forgot you have to pay loads of tax there!
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I think he’s right. Generally the only way to get a decent Open Market house is to buy a dump on a decent sized plot for £1M or so, spend the next 2 years and £2M knocking it down and starting again. And hey presto – a house worth half a million less than it cost!
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Do we really want anybody and everybody coming to live in Guernsey…??? With our tax rates being so low, everybody would move here, we could have done that years ago, but I think the people of guernsey would hang the man who made that decision!
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Ben
How on earth can “everybody move here” ? There are only around 1800 open market homes available to non-qualified residents and just about all of them are occupied !
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These poor rich folks will just have to learn to accept that they cannot have everything, like us peasants have to.
We accept that we have to pay all the tax due to the govenment of the place in which we earn it, no tax avoidance for us, we pay our dues.
Sympathy, de is none.
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Pete if you really feel that disgruntled about taxes charged in Guernsey – try living in the UK. I pay £200 per month council tax; £55 water; electricity and gas are around £98 each; the food (unless you want to buy Iceland crap) is not much cheaper than Guernsey – add to that you have road tax to pay – extortionate petrol costs……. blah blah. We are truly blessed in Guernsey with the goodlife. I don’t mind paying taxes here – I earn a decent wage and expect to put something back into the coffers. I hate that I am subsidising all the ineffectual young girls and boys out their who dont want to work – but that’s life.
the fact remains that houses are expensive here – but are affordable if you work and want a decent life. I still maintain that for £6mill or more, I would prefer something more than a concil semi – but that’s a minor bugbear – I wont be buying an open market property this week anyway…..!
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On the one hand the journo wants a hook to hang the story on and so a passing comment becomes a headline but far more revealing is the frustration rich people experience when they cannot simply buy what they want. It is irksome and goes against what they strove to achieve to be told that it is House X or House Y and nothing you can do about it. I am sure these new arrivals will get over it – after all, they can buy rolling acres in other parts of the world if they feel the need to “measure” their wealth literally since their only concern is to stay out of the UK and there is no need to spend 365 days in a damp Guernsey farmhouse if that worries them. If you can put your towel down next to locals sitting on Cobo and enjoy a bag of chips in the evening then you experience the “wow” factor – and if you don’t feel it then you are poorer than us despite what the bank manager says.
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