3rd March 2015
Chris Marshall, Managing director of Langham Hall in Jersey speaks about the use of Jersey special purpose vehicles in the acquisition of UK real estate.
Over the past two years Chinese institutions and individuals have become some of the most significant acquirers of UK real estate. With long leases, political stability and strong economic growth, underpinned by its status as one of the world’s leading financial centres, the competition for prime UK real estate will remain intense for years to come.
For anyone thinking of acquiring real estate in the UK, tax is an important factor to consider. Different countries sign tax agreements with each other and one of the most tax efficient ways to acquire UK real estate is to use a Jersey special purpose vehicle. These structures acquire the asset but are themselves ultimately owned by Chinese investors.
Jersey is a leading offshore financial centre with a comprehensive service for clients, which is offered in a stable and robust economic framework within a tax neutral environment. The funds and private client markets in Jersey have experienced significant growth in recent years and Jersey continues to offer some of the most competitive and skilled services to overseas clients. Jersey has a developing relationship with China and both the Jersey regulator and government have continued to build strong links with China since 2005.
Jersey offers a number of different structuring options for investors wishing to establish offshore property investment portfolios. The use of the Jersey company structure or unit trust is often the vehicle of choice. Jersey has high standards of client service and confidentiality, is close to London and has experienced professional advisors with considerable expertise in offshore holding structures and UK tax reporting.
Langham Hall can assist clients with the establishment and ongoing administration of investment vehicles, whether for private use, estate planning or public fund offerings.
The team has experience of property portfolio management in London, but also in other major cities around the world. The Langham Hall directors have extensive experience in the management and purchase of London property, development projects and re-structuring for large-scale sale and re-development opportunities. Langham Hall has assisted in a number of high profile London real estate developments and provided key support in the sale and purchase arrangements with major developers and high profile clients.
Langham Hall Fund Management (Jersey) Limited is part of the Langham Hall Group, which was established in 2006 and now has offices in six jurisdictions worldwide, including London, Jersey, Guernsey, Luxembourg, Hong Kong and Singapore. The Langham Hall Group provides services to over 150 funds with $35 billion USD under management, employs over 120 professional staff and continues to experience significant growth. The senior management team of the Jersey office has over 40 years’ experience collectively in providing services and acting as directors for investment vehicles and offshore fund structures, predominately focused on real estate and private equity investments.
Langham Hall would be delighted to explore your options for future or existing business ventures, for more information or an informal discussion, please do not hesitate to contact:
Langham Hall Fund Management (Jersey) Limited
t: +44 1534 885 205
Further details on Langham Hall Group can be found on our website, www.langhamhall.com