{"id":1106,"date":"2026-04-22T18:06:42","date_gmt":"2026-04-22T18:06:42","guid":{"rendered":"https:\/\/www.sterlingcooper.info\/blog\/?p=1106"},"modified":"2026-04-22T18:06:42","modified_gmt":"2026-04-22T18:06:42","slug":"crazy-apartment-prices-in-monaco-can-it-be-dirty-money-say-it-is-not-so","status":"publish","type":"post","link":"https:\/\/www.sterlingcooper.info\/blog\/crazy-apartment-prices-in-monaco-can-it-be-dirty-money-say-it-is-not-so\/","title":{"rendered":"CRAZY APARTMENT PRICES IN MONACO, CAN IT BE DIRTY MONEY? SAY IT IS NOT SO!"},"content":{"rendered":"<div>\n<header>\n<h1>Three Bedrooms for \u20ac60 Million Shows Monaco\u2019s Dirty Money Headache<\/h1>\n<div>\n<div>A leaked trove of emails regarding the world\u2019s priciest real estate offers a window into how the principality grapples with money laundering.<\/div>\n<\/div>\n<\/header>\n<\/div>\n<div>\n<div>\n<div>\n<div>\n<div>\n<div id=\"ai-summary-content\">\n<div>\n<ul>\n<li>The Mareterra development in Monaco features 114 waterfront homes that initially sold for \u20ac16 million to almost \u20ac500 million, making it one of the most expensive and exclusive addresses on the planet.<\/li>\n<li>Monaco has been added to the &#8220;grey list&#8221; for being deemed insufficiently vigilant about dirty money, and has since strengthened regulation and set up a financial intelligence and anti-money-laundering watchdog.<\/li>\n<li>The principality&#8217;s new laws and greater oversight, including a tightening of know-your-customer rules, have led to penalties for firms that fail to flag suspicious activities, and may be diminishing Monaco&#8217;s appeal for some wealthy individuals.<\/li>\n<\/ul>\n<\/div>\n<\/div>\n<\/div>\n<\/div>\n<div>\n<div><\/div>\n<div>Standing on the windswept balcony of the expansive apartment in Monaco\u2019s Mareterra development feels a little like being on a superyacht heading out to sea. The unobstructed view of the Mediterranean stretches to the horizon, the pale ash floors evoke a ship\u2019s deck, and fresh breezes keep things cool even on the hottest summer days.<\/div>\n<div>The other thing the flat shares with a floating luxury palace: its price. Listed at more than \u20ac60 million ($70 million), the three-bedroom home costs more than many billionaires might spend on a sumptuous schooner or cruiser.<\/div>\n<div><\/div>\n<div>Those prices haven\u2019t stopped the world\u2019s ultrawealthy from snapping up Mareterra properties since they were first listed while still under construction in 2017. The <a title=\" Monaco Statistics | Real-Estate Observatory\" href=\"https:\/\/archive.ph\/o\/SOCdK\/https:\/\/imsee.mc\/thematiques\/economie\/publications\/observatoire-de-l-immobilier\" target=\"_blank\" rel=\"noopener\">114 waterfront homes<\/a> initially sold for \u20ac16 million to almost \u20ac500 million, and they would now likely cost even more. That makes Mareterra one of the most expensive and exclusive addresses on the planet, with views of the winding Grand Prix circuit, just a 10-minute walk from the storied casino and a few minutes farther from the yacht harbor.<\/div>\n<div><\/div>\n<div>The problem is, some prospective buyers of those properties have trouble establishing they\u2019re the kind of residents the principality wants. For more than a century, Monaco has attracted tycoons, movie stars and sports legends\u2014not to mention some less-savory types whose fortunes can\u2019t always be traced to legitimate sources. A century ago, Somerset Maugham purportedly dubbed the area \u201ca sunny place for shady people.\u201d But Monaco, under increasing pressure to crack down on financial misdeeds, says those buyers are no longer welcome.<\/div>\n<div><\/div>\n<div>Those concerns came to a head in June 2024, just six months before Mareterra\u2019s inauguration, when the country of 39,000 residents was added to the \u201c<a href=\"https:\/\/archive.ph\/o\/SOCdK\/https:\/\/www.fatf-gafi.org\/en\/publications\/High-risk-and-other-monitored-jurisdictions\/increased-monitoring-june-2024.html\" target=\"_blank\" rel=\"noopener\">grey list<\/a>,\u201d a roster of jurisdictions such as Syria, Venezuela and Yemen deemed insufficiently vigilant about dirty money.<\/div>\n<div><\/div>\n<div>The designation by the Paris-based <a title=\"FATF | Jurisdictions under Increased Monitoring - 13 February 2026\" href=\"https:\/\/archive.ph\/o\/SOCdK\/https:\/\/www.fatf-gafi.org\/en\/publications\/High-risk-and-other-monitored-jurisdictions\/increased-monitoring-february-2026.html\" target=\"_blank\" rel=\"noopener\">Financial Action Task Force<\/a>, a global watchdog created by the Group of Seven in 1989, sent Monaco into panic mode. As concern about being added to the list grew, the reigning monarch, Prince Albert II, shook up the Finance Ministry and strengthened regulation. The hit to Monaco\u2019s image was \u201ca wake-up call,\u201d says Pierre-Andr\u00e9 Chiappori, who served as finance minister from March 2024 until last month. \u201cWe were maybe not alert enough in the past.\u201d<\/div>\n<div><\/div>\n<div>Four areas were <a title=\"Council of Europe | Anti-money laundering and counter-terrorist financing measures | Monaco | Fifth Round Mutual Evaluation Report\" href=\"https:\/\/archive.ph\/o\/SOCdK\/https:\/\/rm.coe.int\/moneyval-2022-19-eng\/1680a9d7d0\" target=\"_blank\" rel=\"noopener\">singled out<\/a> as potential fronts for money laundering: real estate, yachting, sporting agents and private banks. The principality has <a title=\"Monaco Government | Aligning with the highest economic and financial standards\" href=\"https:\/\/archive.ph\/o\/SOCdK\/https:\/\/www.gouv.mc\/action-gouvernementale\/conforter-la-situation-de-monaco-a-l-international\/etre-en-phase-avec-les-meilleurs-standards-economiques-et-financiers\" target=\"_blank\" rel=\"noopener\">started clamping down<\/a> on companies that fail to flag suspicious activities, and it has set up the <a title=\"Autorit\u00e9 Mon\u00e9gasque de S\u00e9curit\u00e9 Financi\u00e8re\" href=\"https:\/\/archive.ph\/o\/SOCdK\/https:\/\/amsf.mc\/\" target=\"_blank\" rel=\"noopener\">Autorit\u00e9 Mon\u00e9gasque de S\u00e9curit\u00e9 Financi\u00e8re<\/a>, a financial intelligence and anti-money-laundering watchdog. There are signs, though, that the actions are diminishing Monaco\u2019s appeal for some people wealthy enough to afford the eye-popping prices at Mareterra, built on nearly 15 acres reclaimed from the sea.<\/div>\n<div><\/div>\n<div>The fresh laws and greater oversight include a tightening of so-called know-your-customer rules, which require businesses to understand where their clients\u2019 money comes from and alert authorities about any suspicions. In the past year the regulator has <a title=\"Autorit\u00e9 Mon\u00e9gasque de S\u00e9curit\u00e9 Financi\u00e8re | Sanction\" href=\"https:\/\/archive.ph\/o\/SOCdK\/https:\/\/amsf.mc\/sanction\" target=\"_blank\" rel=\"noopener\">penalized<\/a> six firms for deficiencies, including two real estate agencies deemed to have insufficiently vetted buyers, including <a href=\"https:\/\/archive.ph\/o\/SOCdK\/https:\/\/amsf.mc\/content\/download\/3171\/file\/d\u00e9cision%20de%20sanction%202025-3196.anonymis\u00e9e.pdf?inLanguage=fre-FR&amp;version=1\" target=\"_blank\" rel=\"noopener\">one that handled<\/a> a Mareterra transaction.<\/div>\n<div>As Monaco works to shake the grey-list designation, it\u2019s instructive to look at the real estate sector, the heart of Monaco\u2019s economy.<\/div>\n<div><\/div>\n<div>The principality\u2019s property records as well as a stash of emails and preliminary deeds from Mareterra offer a snapshot of early sales and the vast sums at play. Bloomberg Businessweek reviewed documents from Distributed Denial of Secrets, a nonprofit that preserves hacked and leaked materials believed to be in the public interest. While there\u2019s no suggestion that the developer or any individuals named in the materials were involved in any wrongdoing, the documents provide insight into the inner workings of the highest end of the property market, its broad geographic reach and Monaco\u2019s concerns about money laundering.<\/div>\n<div><\/div>\n<div>The information included hundreds of messages between developer L\u2019Anse du Portier, a local notary, bankers and several dozen prospective buyers or their representatives. They date from 2017, when construction of the seabed infrastructure was still underway, through mid-2022, more than two years before people began to move in. Interested parties included storied names such as UK chemicals billionaire Jim Ratcliffe; Formula One star Max Verstappen (he wanted six bedrooms and 14 parking spots); and Ukraine\u2019s richest man, Rinat Akhmetov, who shelled out \u20ac471 million\u2014almost certainly <a href=\"https:\/\/archive.ph\/o\/SOCdK\/https:\/\/www.bloomberg.com\/news\/articles\/2026-04-21\/ukraine-s-richest-man-bought-monaco-flat-for-record-550-million\" target=\"_blank\" rel=\"noopener\">the priciest flat ever sold<\/a>\u2014for five full floors in an 18-story ceramic-and-glass structure (called \u201cLe Renzo,\u201d for its designer, starchitect Renzo Piano) that appears to float over the neighborhood.<\/div>\n<div><\/div>\n<div>Buyers had to be approved by Patrice Pastor, the head of Monaco\u2019s most powerful property dynasty and the man who spearheaded the development. A L\u2019Anse du Portier executive told the French daily Nice-Matin in 2022 that Mareterra required personal interviews with prospective buyers, and not just their legal representatives, with the aim of getting \u201c<a title=\"Nice-Matin | Les appartements et villas du futur quartier Mareterra \u00e0 Monaco quasiment tous vendus\" href=\"https:\/\/archive.ph\/o\/SOCdK\/https:\/\/www.nicematin.com\/societe\/immobilier\/les-appartements-et-villas-du-futur-quartier-mareterra-a-monaco-quasiment-tous-vendus-776024\" target=\"_blank\" rel=\"noopener\">the best people<\/a> for the neighborhood.\u201d That restriction, the executive said, would effectively rule out \u201cclients from the Middle East, Asia and most Russians,\u201d who tend to be less interested in dealing with such details on their own.<\/div>\n<div><\/div>\n<div>Yet among the first transactions in the cache of emails were deals by individuals with links to Russia that added up to more than \u20ac1 billion. Little-known aviation executives Konstantin Krivchenko and Dmitry Kuptsov\u2014Russian-born, but with Irish passports\u2014wanted to acquire four villas at \u20ac100 million each through specially created companies that Monaco authorities approved over Christmas 2017. Later emails indicate the pair missed payments on some properties, and they ultimately downsized to a single 2,300-square-meter (25,000-square-foot) villa with hammam, sauna, cinema, and massage and wine-tasting rooms. A representative for the men declined to comment.<\/div>\n<div><\/div>\n<div>In 2018, Valeriy Votinov, the then-21-year-old son of a former executive at oil giant Rosneft, offered more than \u20ac500 million for nine properties\u2014among a flurry of transactions in the principality he was involved in around that time. In an email, Pastor described the largest of the prospective deals at Mareterra as \u201can important step\u201d for the development. At the time his father, Andrey, was fighting extradition from the UK to Russia on charges of embezzlement (Russia\u2019s request was turned down as British courts said the defendant might not get a fair trial).<\/div>\n<div><\/div>\n<div>Three years later, emails show the younger Votinov agreed to pay an additional \u20ac135 million for a five-story villa called Dream Catcher, with indoor and outdoor pools, a 10-car garage, and a disco in the basement. Yet when he left Rosneft in 2014 after two decades there, Andrey Votinov held a stake that would have been worth only about $1 million, according to company filings.<\/div>\n<div><\/div>\n<div>As Votinov tried to resell three of his flats after Russia\u2019s full-scale invasion of Ukraine, the proposed buyer\u2019s bank asked questions. A lawyer for Votinov wrote back: \u201cGiven the current context, it may be useful to point out that this shareholder is a Cypriot national and does not have Russian nationality.\u201d Neither Votinov responded to requests for comment.<\/div>\n<div><\/div>\n<div>Russian steel tycoon Victor Rashnikov and his daughter had planned before the war to purchase Mareterra properties worth tens of millions of euros involving a Cyprus company and a Geneva bank. Rashnikov subsequently faced sanctions, and his attorney says his sale never went through and that he owns no property in the principality.<\/div>\n<div><\/div>\n<div>The Monaco government declined to comment on any particular transactions but says that it applies all EU sanctions and that any significant real estate purchases are subject to review, particularly those in Mareterra. Guy-Thomas Levy-Soussan, a lead executive behind the development, says \u201cthe sale of properties in Mareterra adhered to the highest standards of compliance,\u201d in particular when it comes to money laundering and international sanctions. He says L\u2019Anse du Portier gathered information on prospective buyers\u2014the origin of their wealth, whether they\u2019re legal residents of the principality, and if they already owned property there\u2014to guide its selection, and that many were turned down.<\/div>\n<div><\/div>\n<div>Even before Monaco landed on the grey list, authorities say they were trying to root out so-called letter-box residents\u2014people benefiting from the country\u2019s zero income tax rate who didn\u2019t really live there for the required six months annually. Newcomers must open a bank account and find housing before getting a residence permit. Homes must be big enough to house everyone who\u2019s said to be living there, and authorities sometimes monitor utility bills and credit card expenses as evidence. \u201cMonaco is a lot less of a ghost town compared to 10 years ago,\u201d says Florian Valeri, head of real estate brokerage Barnes Valeri Agency.<\/div>\n<div>\n<div>\n<div>\n<div>\n<div>\n<div><\/div>\n<div>\n<div>Get the Singapore Edition newsletter in your inbox.<\/div>\n<div>Go beyond the headlines with insights into one of Asia&#8217;s most dynamic economies. Delivered weekly.<\/div>\n<form autocomplete=\"on\">\n<div>\n<div>\n<div>\n<div><label><input id=\"__Placeholder Value__\" name=\"email\" required=\"\" type=\"email\" placeholder=\"Enter your email\" aria-invalid=\"false\" aria-label=\"email\" aria-required=\"true\" \/><\/label><\/div>\n<\/div>\n<div><\/div>\n<\/div>\n<\/div>\n<div><\/div>\n<\/form>\n<div>\n<div>By continuing, I agree to the <a href=\"https:\/\/archive.ph\/o\/SOCdK\/https:\/\/www.bloomberg.com\/notices\/\" target=\"_blank\" rel=\"noopener\">Privacy\u00a0Policy<\/a> and <a href=\"https:\/\/archive.ph\/o\/SOCdK\/https:\/\/www.bloomberg.com\/notices\/tos\/\" target=\"_blank\" rel=\"noopener\">Terms\u00a0of\u00a0Service<\/a>.<\/div>\n<\/div>\n<\/div>\n<\/div>\n<\/div>\n<\/div>\n<\/div>\n<\/div>\n<div>The grey-list designation adds to growing concerns among some locals that Monaco has lost ground as an international wealth destination, though the war in the Persian Gulf may change those calculations. An annual index from Barnes\u2019 global parent, conducted before the hostilities, showed Monaco <a title=\"Barnes Global Property | Luxury Living as an Experience\" href=\"https:\/\/archive.ph\/o\/SOCdK\/https:\/\/barnespublications.barnes-international.com\/books\/BACK_GPH26_3012-VERSION-ANGLAISE-BD\/%23p=12\" target=\"_blank\" rel=\"noopener\">dropping 10 spots<\/a> this year to 14th among cities with the greatest appeal for the ultrarich. Property consultant <a title=\"Knight Frank | The Wealth Report 2025\" href=\"https:\/\/archive.ph\/o\/SOCdK\/https:\/\/www.knightfrank.com\/wealthreport\" target=\"_blank\" rel=\"noopener\">Knight Frank<\/a> says that while Monaco remains the planet\u2019s priciest real estate market, Dubai led growth in high-end residential property purchases over the past five years. And citizenship adviser Henley &amp; Partners\u2019 2026 list of <a title=\"Henley &amp; Partners | Top Residence and Citizenship Programs for Migrating Millionaires\" href=\"https:\/\/archive.ph\/o\/SOCdK\/https:\/\/www.henleyglobal.com\/publications\/global-mobility-report\/2026-january\/top-residence-and-citizenship-programs-migrating-millionaires\" target=\"_blank\" rel=\"noopener\">leading destinations for millionaires<\/a> is topped by the United Arab Emirates and includes Portugal, Greece, Italy and Switzerland\u2014but not Monaco.<\/div>\n<div><\/div>\n<div>The slide risks cooling a property market that\u2019s as hot as you\u2019d expect in a country smaller than Central Park with the world\u2019s <a title=\"World Bank Group | GDP Per Capita\" href=\"https:\/\/archive.ph\/o\/SOCdK\/https:\/\/data.worldbank.org\/indicator\/NY.GDP.PCAP.CD?most_recent_value_desc=true\" target=\"_blank\" rel=\"noopener\">highest per capita income<\/a>. But the stronger rules for banking, starting businesses and applying for residence permits are also becoming impediments to investment. \u201cIt\u2019s a real challenge to open a bank account in Monaco,\u201d says Remi Delforge, a lawyer who advises foreigners moving to the principality.<\/div>\n<div>One person working in the Monaco property sector says a wealthy person from the Middle East recently gave up trying to gain residency after being asked for bank statements dating back decades, including from institutions that no longer exist. Some banks are reluctant to take on any new Chinese and Russian clients, says the person, who asked not to be identified discussing private transactions.<\/div>\n<div><\/div>\n<div>Chiappori, the former finance minister, says Monaco has carried out a sweeping inventory of property companies and that further money-laundering-related sanctions are in the pipeline. While it\u2019s uncertain how long it will take to get off the grey list, he says the tougher restrictions are permanent. And if that means some potential buyers decide against Mareterra or Monaco\u2019s next hyper-expensive project, that\u2019s OK. \u201cWe don\u2019t need dirty money,\u201d he says. \u201cThe cost of tarnishing our image would be much higher than the benefits of selling an expensive apartment.\u201d \u2014<\/div>\n<\/div>\n<\/div>\n<\/div>\n<\/div>\n","protected":false},"excerpt":{"rendered":"<p>Three Bedrooms for \u20ac60 Million Shows Monaco\u2019s Dirty Money Headache A leaked trove of emails regarding the world\u2019s priciest real estate offers a window into how the principality grapples with money laundering. The Mareterra development in Monaco features 114 waterfront homes that initially sold for \u20ac16 million to almost \u20ac500 million, making it one of [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[1],"tags":[],"class_list":["post-1106","post","type-post","status-publish","format-standard","hentry","category-uncategorized"],"_links":{"self":[{"href":"https:\/\/www.sterlingcooper.info\/blog\/wp-json\/wp\/v2\/posts\/1106","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.sterlingcooper.info\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.sterlingcooper.info\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.sterlingcooper.info\/blog\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.sterlingcooper.info\/blog\/wp-json\/wp\/v2\/comments?post=1106"}],"version-history":[{"count":1,"href":"https:\/\/www.sterlingcooper.info\/blog\/wp-json\/wp\/v2\/posts\/1106\/revisions"}],"predecessor-version":[{"id":1107,"href":"https:\/\/www.sterlingcooper.info\/blog\/wp-json\/wp\/v2\/posts\/1106\/revisions\/1107"}],"wp:attachment":[{"href":"https:\/\/www.sterlingcooper.info\/blog\/wp-json\/wp\/v2\/media?parent=1106"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.sterlingcooper.info\/blog\/wp-json\/wp\/v2\/categories?post=1106"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.sterlingcooper.info\/blog\/wp-json\/wp\/v2\/tags?post=1106"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}