Talk about a return on investment. The government of Portugal is selling an apartment it bought for $250,000 four decades ago in the famous Dakota, where Beatles legend John Lennon lived and die, for $13 million, Luso-Americano reported. The article was translated from Portuguese.
An apartment in the building where John Lennon lived is for sale for $13 million. With Central Park views, the building is considered the most exclusive in the city.
The Portuguese government decided to sell the eight-room apartment at the Dakota building that it owes there since 1971. The place has been in the market for the past month. Lennon is the most famous figure connected to the building but there are other celebrities that have lived in the Dakota, where a board has to approve any new residents.
In the 1970s, Portugal bought the apartment for $250,000, a very controversial acquisition at the time that now proves itself extremely profitable.
Portugal has been putting for sale former consulates, official residences of ambassadors, apartments and houses abroad that the government has owned for decades. After an initial assessment of the real estate that Portugal owns in other countries, the Portuguese Ministry of Foreign Affairs decided to sell seven buildings and apartments in hopes of raising about $27 million.
Some of the real estate to be sold has been in the market for weeks but only now has the final list has been made public.
“This will be the end of a process that started six months ago with an initial assessment,” said an official with Portugal’s Ministry of Foreign Affairs. The source also added that this patrimony is not considered essential to Portuguese diplomacy.
Of the properties Portugal is putting up for sale, the most emblematic is the apartment in the Dakota. Currently, the place is occupied by officials from the Portuguese Mission at the United Nations.
The price of the real estate Portugal is putting up for sale all over the world varies from about $800,000 to about $7 million — one quarter of the revenue will go to the Portuguese Ministry of Finance. In addition, the government predicts that around $390.000 a year will be saved in current maintenance costs.
The Portuguese government is looking at the sale of patrimony as a way to balance its public finances. Estamo, a company that bought from Parpublica a lot of properties owned by the Portuguese government, currently owns 170 properties each being appraised at more than $1,3 million. Some of these properties are up for sale and others are being rented to various Portuguese ministries.
According to some real estate experts, this is not the best time for Portugal to sell the apartment in the Dakota. In the first quarter of 2005, before the real estate crisis, a similar flat in the building was worth about $20 million.
On the other hand, Portugal’s apartment in the Dakota, which houses diplomats, is in need of some repairs that the building’s tenant association considers mandatory and urgent.
Famous past and present residents of the Dakota Building:
Lauren Bacall, actress
Leonard Bernstein, composer
Rosemary Clooney, singer and actress
Harlan Coben, writer
Jose Ferrer, actor
Roberta Flack, singer who lives next to Yoko Ono
Judy Garland, actress
Lillian Gish, actress
Boris Karloff, actor
John Lennon, musician and composer. (Lennon owned five apartments in the Dakota.)
Sean Lennon, singer
John Madden, football player, coach and sportscaster
Rudolf Nureyev, ballet dancer
Joe Namath, football player
Yoko Ono, artist
Jack Palance, actor
Gilda Radner, comedienne
Jason Robards, actor
Robert Ryan, actor
Richard Nixon, former U.S. president