I’d never heard of Ken Griffin before a week in which the hedge fund billionaire bought the most expensive home ever sold in the United States and then snapped up (as you do) what is thought to be the priciest home sold in Britain for a decade.
I use the words ‘houses’ and ‘home’ in a loose sense, of course. Because we are talking about penthouses, apartments and condos too. And because, despite spending $238m on a four-storey penthouse in a new skyscraper in New York and £95m on a London house near Buckingham Palace, it’s hard to see how he will spend much time living in either of them.
Griffin’s Citadel hedge fund is actually based in Chicago, where he already has two more homes. The most expensive ever sold in the city, a $59m four-storey penthouse, offers a place to crash after day at the office. Fitting it out could cost another $25m but if he needs somewhere in the meantime he also owns a whole floor of the Waldorf Astoria plus a two-storey penthouse in another skyscraper.
For weekends or holidays he can fly down to Florida, the state where he was born and has acquired a $230m portfolio of land and property in Palm Beach near President Trump’s Mar-a-Lago estate. One property (which cost $15m) will apparently be used as a guest house while some of the four others could be demolished to make way for a gargantuan beach house. That’s almost forgetting the $60m penthouse in Miami that he seemingly never moved into and has now put back on the market.
If he fancies a change of scene, he can nip over to Hawaii, where he bought one property for $11m in 2009 only to buy a second for $17m three years later.
I’m labouring the point here but it’s worth it on a few different levels, most obviously for what it reveals about the astonishing lives of the ultra-rich but also for what this extreme case says about our attitudes to housing and property and about what has happened since the financial crisis.Read the rest of this entry »
Originally posted on January 29 as a blog for Inside Housing.
In the brief lull between Brexit chaos, the politics of housing just about continues as normal at Westminster.
The first Housing, Communities and Local Government (HCLG) questions of the year was dominated by two all-too-familiar issues (homelessness and fire safety) while the HCLG committee inquiry into reform of the building regulations heard from the main expert and the minister.
First up in the main chamber was what the government is doing to reduce death rates among homeless people, with housing secretary James Brokenshire saying that every death is ‘one too many’.
Given the 597 deaths recorded in 2017, an increase of 24% in five years, his script about £100m for the rough sleeping strategy and £1.2bn for homelessness prevention, let alone £5m for colder weather, did not exactly sound convincing.Read the rest of this entry »
Originally published on January 23 on insidehousing.co.uk.
Shrinkflation made the headlines this week as government statisticians highlighted the way that food manufacturers reduce the size of their packets rather than put up the price of their products.
Most commonly seen in bread and cereals, it means you now get 10 Jaffa Cakes where you used to get 12.
But another news story got me wondering about whether the same thing could happen in housing.
‘Micro-homes could solve London’s housing crisis,’ said a BBC headline based on a new report from the Adam Smith Institute.
Originally published as a column for Inside Housing on December 21.
It was the year of three housing ministers and two secretaries of states (so far), the year that the department went back to being a ministry and a new government agency promised to ‘disrupt’ the housing market.
It was also the year of the social housing green paper and the end of the borrowing cap, of Sir Oliver Letwin and Lord Porter and of some significant anniversaries.
Above all, it was the year after Grenfell and the year before Brexit. Here is the first of my two-part review of what I was writing about in 2018.
1. New names, new ministers
January had barely begun when the Department for Communities and Local Government became the Ministry for Housing, Communities and Local Government. The name harked back to the glory days when housing was ‘our first social service’ and housing secretary Sajid Javid became the first full member of the cabinet with housing in his title since 1970.
Originally published as a column for Inside Housing on December 17.
As housing has risen up the political and media agendas, so the shelves are filling with books explaining where we’ve gone wrong and what we could do to put things right.
Reflecting that, and just in time for anyone wondering what to get the housing nerd in their life for Christmas, here are my three housing books of the year.
First up is John Boughton’s indispensable history of council housing, Municipal Dreams – The Rise and Fall of Council Housing.
It’s a predictable choice and one already made by many other reviewers but it is one that is better late than never and one that will be even more worth reading next year against the background of the centenary of Homes Fit for Heroes.