|
THE three-storey house for sale on Acacia Avenue in Ottawa,
Canada, has plenty to recommend it. Set on an acre of land in the leafy,
upmarket Rockcliffe Park district, it includes five bedrooms, lush English
gardens and a sun room large enough to entertain dozens of guests. It
even has a Hollywood connection, having featured in the 1990 Paul Newman
and Joanne Woodward film Mr and Mrs Bridge .
But the thing that most distinguishes this house is its owner
the US government. The 64-year-old property, priced at C$2,85m ($2,93m),
has been a residence for generations of deputy ambassadors. And it is
just one of more than a dozen diplomatic residences the US state department
has recently put up for sale in capital cities from Bangkok to Bogotá
in an unprecedented real estate disposal.
These range from a former ambassador's residence in Taipei, Taiwan,
with views of the Yang Ming Mountains, valued at 65,2-million new Taiwanese
dollars ($2m), to a 147m² condominium in Santiago, Chile, listed
at 75,7-million pesos ($150000). In Jakarta, Indonesia, 5-billion rupiah
($550000) will buy a 107-year-old single-family home dating back to
the Dutch colonial era, and in Warsaw, Poland, where the property market
is booming thanks to a shortage of high-quality housing, 1-million zloty
($400000) each is the asking price for a pair of four-bedroom townhouses
in the trendy Mokotow district. For more adventurous buyers, there is
also the former ambassadorial villa in Tripoli, Libya, priced at 1,9-million
dinars ($1,5m).
"It's really the first time something on this scale has ever occurred,"
says Dwight Mason, a US diplomat who served as deputy chief of mission
and minister in Ottawa and lived in the Acacia Avenue house with his
wife and two children from 1986 to 1990. "It will be interesting
to see just what everyday house hunters think of these places."
The sales are happening because the US government is moving many of
its overseas workers into more modern or secure buildings to meet stringent
safety requirements enacted after the 1998 bombings of its embassies
in Kenya and Tanzania, the September 11 terrorist attacks, and the invasions
of Afghanistan and Iraq, which have stoked anti-US sentiment around
the world.
There have been more than 250 attacks or attempted attacks on US embassies
or diplomatic residences since 1975, the state department estimates.
Incidents include an incursion by armed Liberian marauders on the grounds
of the US embassy residence in Monrovia in 1996 and a late-night rocket
attack on the embassy security staff residence in Santiago in 1991.
Some 29 sites in 21 countries have been deemed "excess property"
and listed with private real estate agents. About half are non-residential,
including historic embassies and ancillary buildings such as London's
immense former Navy Annex in Grosvenor Square, which is on the market
for £90m. Chancery buildings in Panama, Nicaragua and Nepal are
also being sold.
But it is the diplomatic residences that offer property buffs a rare
glimpse at the lifestyles of US emissaries. In Caracas, Venezuela, for
example, one sprawling residence, priced at 4,5-billion bolivars ($2,1m),
sits on more than 8900m² and includes a master suite, four bedrooms
with private baths, a house manager's quarters and large terraces overlooking
a pool. In Abidjan, Côte d'Ivoire , the former ambassador's estate
has two swimming pools and two tennis courts, while the compound in
Mali includes a cultural centre and a snack bar.
"These homes are often the most lavish properties in their towns,"
says real estate agent Jonathan Lohr, who is marketing the former ambassador's
residence in Belize City, following a move by the US embassy and its
diplomats to the new capital of Belmopan. The 557m² , five-bedroom
property is priced at 1,3-million Belize dollars ($650000) and sits
in North King's Park, one of the most expensive areas in the city. Lohr
says he shows the property to prospective buyers about once a week and
has had several "serious offers" from European, US and Middle
Eastern buyers.
Russell Freeman, a former US ambassador to Belize who lived in the
house with his wife, Susan, from 2001 to 2005, describes it as "pretty
amazing by our standards". The master bedroom, with its walk-in
closet, private veranda and hot tub, was "wonderful to have at
our disposal". But his favourite feature was the well-groomed gardens
and grounds, which were ideal for receiving local dignitaries and visiting
diplomats.
"During functions, we'd sometimes just open up the doors at the
back of the property and let people just enjoy the place," he says.
"It was interesting to watch folks just wander around after having
a few drinks."
Friends and family from Freeman's native North Dakota also loved the
house and its tropical location. "Needless to say, my wife
and I were very popular once winter rolled around on the prairie,"
he says. To make it feel more like home, they brought their cat and
a painting of a ploughed field and farmstead.
Although the structure was built in thick, white concrete blocks and
has both security fencing and a guard tower, Freeman says it never felt
imposing. The only real problem was termites; exterminators had to be
called "a number of times". "We didn't really mind it
so much but it's the kind of thing that can scare off prospective buyers."
The US is not the only country looking to downsize its diplomatic property
portfolio.
The Canadian government recently put two properties on the market in
Europe: the Canadian ambassador's residence in Dublin, an eight-bedroom
pile surrounded by 4ha of parkland in Killiney overlooking Dublin Bay,
listed at € 17m, and an eight-storey mansion in London's Grosvenor
Square, opposite the US embassy, that could be converted into a hotel
or luxurious flats. The asking price for the latter is £300m and,
according to estate agents handling the sale, more than 20 property
developers and British and overseas financiers have shown interest.
The UK is also reviewing the possible sale of hundreds of homes for
diplomats and other staff in an effort to cut costs. (The residences
of the high commissioner to SA in Pretoria and Cape Town are said to
be on the list.) And last year, France put dozens of historic properties
in Paris and the provinces on the market, including a historic townhouse
facing the Bois de Boulogne that once belonged to the aristocratic Noailles
family. French billionaire Vincent Bollore paid € 10m for the property
and Russian billionaires have reportedly snapped up some formerly government-owned
villas on the Cote d'Azur.
What separates the American sales from these others is the scope and
size of the real estate on offer.
The US has one of the largest and most well-funded diplomatic property
portfolios around the world, with more than 3500 buildings in 193 countries,
including 264 embassies and consulates, estimated to be worth $12bn
in total. It is also known to spend handsomely on diplomatic residences
and embassies, historically viewing them as lavish platforms for wining,
dining and deal-making.
Not all these houses are expected to fly off the market, however. Some
have been unoccupied for years and are in poor condition. Agents who
have seen the former US ambassador's residence in Taipei, a focal point
for celebrity, political and cultural life during the 1960s and 1970s,
for example, say it needs new electrical systems and a modern kitchen,
as well as a coat of paint.
"I have good memories of my use of that house and it has an interesting
history," says Ray Burghardt, a former US envoy to Taiwan who used
it as a weekend retreat between 1999 and 2001. But "my immediate
successor didn't share my appreciation for the place".
The most difficult property to unload might be the compound in Tripoli,
which measures 650m² , with a pool, changing facilities, staff
quarters and huge gardens. Vacant since 1980 and the site of numerous
anti-American protests, it needs "internal renovation" and
has "title issues", which, according to the property prospectus,
the state department is "working through".
Troy McMullen writes for the Financial Times
|