France's €500 million ‘russian retreat'

The world's most expensive property may be back on the market...

The saga of Villa Leopolda continues. Last year, the property gossips were abuzz with reports that Russian mining oligarch Mikhail Prokhorov had agreed to pay a jaw dropping €500 million for the 20-acre estate, which is nestled on the Côte d'Azur between Nice and Monaco.

There were denials and rumors and much debate, especially about the price, which would be a world record for a single property-but no official word from owner Lily Safra, the widow of banker Edmond Safra.

Credit crunched

Now there is a flurry of reports that Prokhorov is trying to get out of the deal. The "credit crunched Russian billionaire" is trying to retrieve his £39 million (€44 million) deposit, the Daily Mail reports.

But stories out of France say Safra is not going to give it back. Prokhorov has reportedly lost €7 billion in the recent economic downturn, the London Times notes. With markets slumping, the Russian invasion of the south of France has turned into the "Russian retreat," one agent tells the Guardian.

Meanwhile a Prokhorov spokesman continues to deny the story. The nickel magnate won't do any business in France until authorities apologize for accusing him of procuring prostitutes for a party in 2007, the spokesman told a reporter.

http://www.iht.com/