Where do the super rich buy?

[Danko Bananko]

"While rising interest rates are of concern for most home buyers, for those purchasing residential property at the very top-end of the market this is not an issue, as they generally pay cash," says Tara Whiting, sales manager for the Pam Golding Signature Collection.

"The high-end of the market in South Africa currently represents properties priced from around R25-million to R35-million up to R100-million and over — the latter which may include some form of going concern such as a farming element.

"This sector of the market has increased dramatically from R15-million/R20-million several years ago, with values underpinned by the rising cost of construction and replacement, and coupled with the fact that there are a limited number of such properties available," says Whiting.

Must have key factors

Liaising daily with high-net-worth buyers from various walks of life from around the globe, Whiting says key factors sought by such buyers, whether local or overseas purchasers, include the ultimate in location, exclusivity, privacy, security, luxury, uniqueness and quality of finishes.

She says they want not only the best location by area, but the very best address within that location, given that they probably will spend several months a year there. Naturally, as with any property purchase, personal preference also goes into the mix, and of course they need to know that the property is also a sound investment.

"There's a new breed of such buyers, those with 'new' money, who are far less concerned with price and more concerned with a 'trophy' property purchase. This new wave of wealth incorporates people from various countries around the world, including South Africa. Those who, for example, have made money in platinum and gold, new private equity and hedge fund millionaires.

"We are also seeing an increasing number of young families who are very wealthy — these tend to be global travellers who are able to operate from anywhere in the world. They also tend to pick up and move with their children, who attend international schools, and can enjoy a two-month summer holiday with their parents, wherever they may be," says Whiting.

Whose got the cash?

While PGP sells such high-end properties mainly to buyers from South Africa, the UK and elsewhere in Europe, there is an increase in enquiries from Russian and Middle East purchasers, as well as Americans.

South African buyers in this top echelon are becoming more adventurous in their purchase locations, in addition to having say a game farm, a beach house, a mansion in Sandton or Hyde Park, a home in Cape Town and an apartment in central London, they are looking further afield to Eastern European countries such as Slovakia and Hvar on Croatia's Dalmatian Coast.

"Interestingly, there's a trend among moneyed South Africans currently living abroad, to returning to South Africa. These are people who have accumulated wealth overseas and who don't have to worry about employment, now choosing to come back here because this is where they want to be, this is their home and nothing can replace that," adds Whiting.

For international high-net-worth buyers, various locations in South Africa have high appeal, in addition to the sought after Winelands properties, areas such as Plettenberg Bay and Hermanus are popular.

Heritage properties are also in demand among those who aspire to owning a genuine historical home in South Africa.

Comments Alison Macpherson, associate director of Savills Prime Global, a member of the UK-based global property giant, Savills, which has a strong international association with the Pam Golding Property group: "The top-end of the international property market is dominated by investors who recognise the advantages of capital growth combined with the pleasures of a private holiday home."

Where to buy?

"The South of France continues its steep upward trend with luxury waterfront homes in key locations such as St Jean Cap Ferrat commanding some of the highest prices in the world," says Macpherson.

"For those buyers wishing to grow their portfolio of overseas properties, the key factors tend to be location, privacy and accessibility to a private airport. Most buyers insist upon fully refurbished properties and have high expectations when it comes to finishes, quality and state-of-the-art gadgets. Waterfront locations with a private mooring are at the top of most property shopping lists and are increasingly hard to come by in the key global locations and in Europe in particular," adds Macpherson.

Macpherson also says emerging markets around the world promise new and exciting destinations for those keen to invest in growth areas — Vietnam, Muscat, and Egypt amongst others, while the traditional tax havens of Monaco, Gibraltar and Mauritius remain strong.

London continues to supply a steady stream of buyers to the international market with its concentration of foreign businesses and city-generated wealth.

"The predicted correction in the global financial markets and job cuts in the City of London may affect the market in the coming months with Christmas bonuses in question. However, the very upper echelons of the international super rich have shown no signs of a diminished appetite for global property acquisitions," she concludes.

[Danko Bananko]

THE latest boom horse, Weekend Hussler, has given veteran jockey Les Beer — his track but not race rider — a new lease on life.

How does The Age know this? Well, the Hussler's trainer, Ross McDonald, said so at Caulfield yesterday morning as Beer trotted the three-year-old in his usual light pre-race work.

"His missus says he jumps out of bed every morning just to come and ride him," McDonald said.

Forty-something Beer turned down an interview request when rung earlier in the week. "Sorry mate, can't help you," he said. "One of youse reporters wrote something about me that wasn't true … he didn't bother to check, so I don't talk to anyone."

Would he make an exception now he was associated with Weekend Hussler? "Nah."

McDonald, the stand-in spokesman, said Beer had ridden work for him for about six months and, apart from one time the trainer put race jockey Brad Rawiller up, had done all the early-morning work this campaign.

And obviously done it well, with the gelding winning the $1 million Caulfield Guineas at only his fifth start and odds-on to win again at group 1 level in the $500,000 Coolmore Stud Stakes (1200 metres) at Flemington tomorrow.

"He's a good rider, he's patient with him," McDonald said of the trackwork pairing. "He's prepared to put the time and effort into the partnership."

The trainer has been reported as saying that Beer once had tears in his eyes after a gallop on Weekend Hussler, and that another time the rider described the work as frightening.

And a files search showed that Flemington trainer Steve McKinnon said of Beer, after he won a $100,000 race in the city for him on Evocative in 1999: "I like hungry jockeys and he's certainly hungry."

Journeyman is a description that sits more comfortably on Beer, who has tried jumps riding as well as training, and has had long breaks from the saddle because of injury.

In recent years he has combined trackwork with flat riding and virtualformguide.com lists him as having 83 winners from 1298 rides since the start of the 2003-04 season. Ride No. 1299 was on Hvar Surprise, unplaced at Seymour yesterday. He has had one win, at Echuca, from 18 rides on country tracks since October 4.

McDonald said yesterday's light work was similar to Weekend Hussler's Guineas lead-in. "We don't change the routine," he said.

Earlier in the week he said he had freshened up the horse to come back from the 1600 metres of the Guineas with "some nice work. I brought him back to a bit of even time".

McDonald will decide after the Coolmore whether Weekend Hussler runs the following Saturday in the group 1 Emirates Stakes (1600 metres) or goes for a spell.

While Beer has never been a raceday headliner, he is a well-respected work rider whose experience and horsemanship is valued.

The Age can't tell you how long he plans to keep his jockey's licence, but the name Beer should appear in form guides for some time — daughter Ashlee, apprenticed to Flemington trainer Mick Cerchi, has two wins from 134 rides.

[Danko Bananko]

No matter how the dollar rates against the euro, these 10 European cities still let you live like an aristocrat without blowing the family fortune.

Lisbon, Portugal
It's the cheapest capital in Western Europe, according to the 2007 Mercer Consulting survey, which measures costs in cities around the world. That means everything—from hotels to taxis to dinner—costs less. The dramatic hills and vistas are best explored on foot and by tram. Take the scenic route along Tram 28, which leads to Alfama, the old Arab quarter.

Barcelona, Spain
Trendsetting cuisine, style and nightlife, with lovely beaches for recovering from endless nights, draw the cultured to this Mediterranean city. Stroll the food stalls at the new El Mercat de la Barceloneta and the 13th-century La Boqueria and take in Gaudi’s Catalonian architecture, which pervades the city.

Dublin, Ireland
It's one of the more expensive cities in Europe, but Aer Lingus recently became a low-cost carrier, which makes getting there cheaper. The city is compact enough to walk around, and many attractions, such as the National Gallery, are free. Don't miss Trinity College, where the stunning Book of Kells (made by Celtic monks in the Middle Ages) is on display. Pubs—all 1,000 of them—are a staple of city life.

Riga, Latvia
The largest, most urbane Baltic capital is hopping with development, yet it remains quaint and easy to navigate. Low-cost airlines like Ryanair and EasyJet make flying from London easy on the wallet. The stunning Art Nouveau-like Jugendstil architecture dominates Old Town.

Berlin
The city is known for its bustling energy, the ambitious work of the world's best architects, a thriving art community, and a "we're the coolest city in Europe" vibe. The vibrant scene in neighborhoods Mitte and Kreuzberg includes highlights like market-cum-restaurant WKD Lebensmittel for its wines and chic crowd and Auguststrasse for galleries like Eigen + Art.

Bologna, Italy
This beautiful, porticoed city—home to the ancient and renowned university of Bologna—is small (no need for taxis); attracts a manageable number of tourists (so it's priced for locals); and arguably has Italy's best food (for less than what it costs in Milan and Rome). For art lovers, the city has medieval art at the Civic Museum and modern art at MAMbo, the spanking new modern art museum.

Budapest, Hungary
Everything is still cheaper in Eastern Europe, even when you're living large at the most renowned hotels and restaurants. This city takes beauty seriously, from the ornate public baths to the architecture along the boulevards. Take the funicular (cable railway) up to Castle Hill, the picturesque area in the Buda historic district. Modern Pest across the Danube is where you'll find Andrássy Avenue, cafes and the legendary Baraka restaurant.

Ljubljana, Slovenia
It's yet another contender for "the new Prague" for its riverside location and energy, not to mention the cafes, cool bars and baroque churches. Rent bikes for a few dollars and cruise the compact and beautiful city center. Native son Joze Plecnik designed much of the city's best sites, including Tromostovje (Triple Bridge) and Central Market.
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Zagreb, Croatia[/B]
This capital is just coming into its own. There's grand architecture in Upper Town and plentiful cafes in Lower Town, and the medieval hill towns are beautiful. Not a full-fledged tourist destination yet like Hvar or Zadar, Zagreb still feels like a find.

Antwerp, Belgium
In this Flemish port town, old masters co-exist with avant-garde fashion designers, much the way expensive finery lives alongside excellent flea-market finds. Antwerp's northern European cool rivals that of Copenhagen or Paris, without hitting their prices. For antiques, shop the many boutiques along Kloosterstraat, especially if you're in the market for mid-century furniture design.