Investing in Eastern EuropeAlex, my friend, I write you from your hometown. You don't come anymore. I understand, it is painful for you. So many years away and so many of your comrades, well dead or maybe worse - depressed and not going out anymore. How is Budapest? I do my best to tell you. For that time of our friendship and because you ask.
Alex, you would not know the place. Andrássy Ut is all lit up at night, like it was the Champs Elysées. Thousands of people out strolling and looking in shopping windows and nobody noticing the bullet marks from the Russian heavy calibre machine guns, which are still up there, over the shop windows. From the time they tricked your comrades and came back into the city, having said they would leave . . .
On corner of Andrássy, near the opera house, is all expensive luggage from Louis Vuitton, which is a brand for people to know and buy. I'm sure you have seen it in magazines, if these things interest you: I remember you telling me you met your father by that corner at night in November 1968 and ran away, ahead of the tanks and travelled over the fields to Austria, with only the clothes you stand in, and no suitcases, ha, ha . . This time, nobody thinks of those times. Alex, It was a gala Friday evening in The Meridien Hotel in Budapest. You do not know The Meridien.
In your time, it was the headquarters of the police and was a not a building you would have smiled at. Now is a big hotel with rooms costing €400 a night, owned by Arie Yom-Tov who is the proprietor of many businesses in Budapest.
In the time of his arriving from Israel, 18 years ago, he has made a big impact on the commercial life here. He is a very charming man, but also a very smart man, who is driven by his vision of making business and opportunity for wealth. He smiles a lot but when there is a problem his face darkens until the problem is solved. Many times, his staff are watching to make sure his face is not darkening . . .
This night, there are no problems because all is sweetness and light in The Meridien Hotel. Arie Yom-Tov is hosting a gala dinner to celebrate the launch of Budapest Gate Luxury Golf Course and Spa. As he explain to us, Hungary has no seas, so has many spas as compensation. Earlier, the sod had been turned (Alex, I do not mean the body of a Soviet soldier!) It was taking a big JCB to dig the hole for very large stone marking Hungary's newest - and best - championship golf course.
Best? biggest? Who am I to disagree, not knowing the other championship courses? Or one end of a golf club from another. According to the Irish investors, who were at the dinner and has seen the plans, this one is going to be among the top five, on par with say The K Club.
Christy O'Connor Jr is designer of this newest course in Hungary. He is an amiable man who also did the voice-over for the video of the Digging of the Hole for Foundation Stone. He sounds some place between Eamon Andrews and Terry Wogan, names you heard since you found safety in England since January 1959. But maybe he should stay at day job as Designer of Golf Course, of which he is very good....
Like Louis Vuitton and Armani, Christy O'Connor is a world brand. COC Consulting designs golf courses in many countries. Budapest Gate is his 34th course. Also, during the Gala evening, COC was made life president of the Hungarian Golfing Association, an honour which touched him so much, he promised to have the young people of Hungary in a few years playing golf to championship standard. Please don't laugh Alex, because he is a good and nice man and I don't expect you to be made a president of anything.
Also, he explains to me: "There will be four by par fives, four by par three, 10 by par fours. Now you know," he say with a smile at my ignorance. Also 7,200-yard drive, which sounds long in any language. The meal was lavish, with eight courses on a golf theme - Hole in One with strawberry sorbet and champagne - Alex, I print it in your language, so you get good laugh: Egy utesbol, Pesgoz eper sorbet and many more along those lines, ending with Lost Balls of Crotin de Chavignole.
Every time I turned, a waiter was by my side, maybe because I am guest and he is instructed to look after Irish investors who are putting up €150 million of the total cost of €300 million. The Irish investors, all heavy hitters in their own right, financially speaking, brought Arie to Ireland and showed him the possibilities.
He was, he told me, impressed. So the deal was done, on thousands of acres of Hungarian land, about 38kms outside of the capital, with easy access off the ring roads, which means ready purchasers for the apartments, houses and villas. But of course I am not investor, I write for newspapers and am only here because Arie and his Irish colleagues want other Irish investors to know about this development.
And why so many Irish doing business in Hungarian property? I ask Arie that, he laugh and say: "I don't know, maybe because we understand each other ... also, maybe, we come from countries with bomb, bomb, all the time ..."
I explain him, no more bomb bomb in my country and he twinkles and says, "ah yes, but you know, you live with bomb, bomb for long while, make you know value of life and money and having good time . . ." This was after floorshow, in which a Hungarian violinist showed his genius and the MC asked the ladies to look into their champagne glasses.
Shrieks and cheers because some of them - mainly wives of investors - found diamonds twinkling at the bottom of their glass. Just as, no doubt, will buyers twinkle in time as these purchases, good value by Irish prices, will show hefty capital appreciation within two to three years. Budapest is booming Alex, as you know. But please do not be tempted to even think of visiting, you would not like it ...
Units being sold off plans range from one-bed apartments from €110,000 to three and four-bed houses from €395,000 and €450,000. Budapest Gate, 4 Warner Lane, Leeson Park, D6
01-6674803/6674105; 087-2995646; www.budapestgate.com
