Lax disclosure regulations that have made the U.S. a global hot spot for money laundering via real estate holdings will make it difficult for officials to seize properties from Russian oligarchs.
Russian oligarchs have likely staked a large part of their wealth in U.S. commercial real estate properties in purchases that are easier to conceal than high-profile luxury mansions and superyachts. Federal law requires “self-reporting” of transactions making it difficult to track who owns what.
A 2020 law giving the U.S. Treasury the power to stop tax evaders, kleptocrats, terrorists, and other criminals from using anonymous shell companies to hide assets is not strong enough to compel disclosure of ownership, according to some legal experts. Russian oligarchs have purchased numerous luxury condos in Manhattan and Miami, but significant funds from Russia money have also been used to snap up property in cities across the U.S.
According to Global Financial Integrity, a nonprofit that tracks the flow of illicit money, more than $2.3 billion has been laundered through U.S. real estate during the last five years.
Related Stories
Codes and Standards | Apr 16, 2015
New York tops U.S. cities in walkability
Revitalization pushes Detroit and New Orleans up the rankings
Green | Apr 14, 2015
USGBC will recognize energy and water standards for the Living Building Challenge
This move means that projects achieving the energy and water requirements in Living Building Challenge will be considered as technically equivalent to LEED.
Codes and Standards | Apr 12, 2015
California imposes stringent new water standards
California is the first state to adopt standards that are more efficient than those set by EPA's WaterSense program.
Codes and Standards | Apr 12, 2015
Virginia surpasses Florida for strictest hurricane building codes
Virginia has edged out Florida as the state with the most stringent hurricane building codes, according to the Institute for Business and Home Safety’s “2015 Rating the States” report.
Multifamily Housing | Mar 16, 2015
New Jersey Supreme Court puts control of affordable housing agency in the courts
The court said the state’s affordable housing agency had failed to do its job, and effectively transferred the agency's regulatory authority to lower courts.
Codes and Standards | Mar 16, 2015
San Jose adopts bird-friendly building standard
The standard includes avoiding large chunks of transparent or reflective glass and adding fritting.
Codes and Standards | Mar 12, 2015
Energy Trust of Oregon offers financial incentives for net-zero buildings
The organization is offering technical assistance along with financial benefits.
Codes and Standards | Mar 10, 2015
Real estate interests push Congress for Census funding
The groups have joined forces to urge Congress to fully fund the 2020 Census and the annual American Community Survey in its 2016 budget.
Codes and Standards | Mar 5, 2015
Charlotte, N.C., considers rule for gender-neutral public bathrooms
A few other cities, including Philadelphia, Austin, Texas, and Washington D.C., already have gender-neutral bathroom regulations.
Codes and Standards | Mar 5, 2015
FEMA cuts off funding to Indiana after Kokomo continues building stadium in flood zone
FEMA will withhold funding on $5.5 million worth of projects such as building tornado safe rooms in schools.