Candy Brothers Off To The Big Apple In A Huff
“Absolutely disgraceful” is how Nick Candy reacted to the UK government’s recent ratcheting up of stamp duty – from five to seven percent – on high-end home sales. Candy and his brother Christian have made themselves by all accounts fabulously wealthy by developing residential real estate for people who are already even more fabulously wealthy. The pinnacle to date has been the One Hyde Park complex where a penthouse apartment last year sold for £7,500 a square foot, making the Candy brothers-conceived and led project some of the most expensive real estate in London – and the world.
According to a report in Bloomberg on 18 September, the brothers are responding to a growing ‘wealth-bashing’ tendency in the UK by looking at development opportunities across the ditch, in New York City. This seemingly follows from Chris Candy’s purchase earlier this year of a penthouse in the Plaza Hotel – for a cool $25.9 million but nevertheless some 30 percent under the asking price. With a total refit being undertaken by brother Nick’s interior design company, it seems that the Candy boys’ appetite for the Big Apple has been well and truly whetted.
And there’s no doubting that New York goes easier on the buyers and sellers of pricey homes than is now the case across the UK. Bloomberg reports that New York state real estate purchases are stamped at just 0.4 percent, with an additional levy, sometimes referred to as the “mansion tax,” of one percent of the sales price of residences sold for $1 million or more. That’s not all, because according to NYC’s Department of Finance, the city clips sales above half a million dollars with an additional 1.425 percent sales tax (one percent for prices below that level). But taken together, it’s still well below the UK’s seven percent on high-value properties.
Adding to the attraction, according to the Candy brothers, is that New York is – compared to London – ‘undervalued’ and is also experiencing a shortage of absolute top-end homes to buy.
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