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A Historic, Exclusive Moscow Neighborhood that is Home to Celebrities and State Officials

Ostozhenka tells the story of the city over the ages through its architecture

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Elevated view of cityscape of central Moscow's Kropotkinskaya district

vladimir zakharov / Getty Images
Elevated view of cityscape of central Moscow's Kropotkinskaya district
vladimir zakharov / Getty Images

Anchored by an imposing statue of Friedrich Engels and a Russian Orthodox church capped in golden domes, Ostozhenka Street, otherwise known as as Moscow’s "Golden Mile," is one of the world’s most expensive residential areas.

Boundaries

The beating heart of the city center, Ostozhenka is adjacent to the Moscow River. The area is  bookended by the Kropotkinskaya and Park Kultury metro stations and spans Ostozhenka Street to Prechistenka Street and the Prechistenskaya embankment.

Price Range

Prepare to have your dollars in order when looking at properties in this exclusive enclave., "For apartments, the starting price is approximately US$800,000 (RUB51.6 million), with a large number of properties in the range of US$6 million  (RUB387million) to US$7 million (RUB452 million) dollars," says Vitaly Bobkov, Vice President of Moscow Sotheby’s International Realty. (A distinctive feature of the Russian market is that prices historically have been quoted in U.S. dollars.) "The practice of Russian ruble valuations is something relatively new to the market, but it’s becoming more common since the collapse of the ruble in 2014," says Mr. Bobkov.

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Housing Stock

Ostozhenka tells the story of Moscow over the ages through its detailed architecture. A mix of classic and modern structures, Neo-Gothic complexes, ornate Art Nouveau buildings and contemporary luxury structures with floor-to-ceiling windows to take in river views, are all part of the vibrant landscape. Aside from embassies or diplomatic buildings, there are no single family dwellings on the market, just luxury apartments.

What makes it unique

The main advantages, according to Mr. Bobkov, "are the exclusivity and status of the area. It is a historic neighborhood that’s walking distance from the Cathedral of Christ the Saviour and the Kremlin, as well as the Boulevard Ring and Arbat Street. Several diplomatic buildings are located here, such as the embassy of Madagascar, Egypt and Croatia, and the consulate of Switzerland."

Despite the neighborhood’s impressive history, it is in no way living in the past. As Mr. Bobkov points out, "The Red October district is also within walking distance. This is a very popular and hip area of the city which was developed on the territory of the former Red October factory (a one-time chocolate factory). There were no strict preservation codes in Moscow in the 1990s, so a lot of new structures in the area are the result of modern, high-end building projects."

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Luxe amenities in the neighborhood

This is the stretch for see-and-be-seen dining at high-end Russian and Georgian restaurants and Japanese-fusion spot Vanil. One of the largest year-round outdoor public swimming pools is located in the area, which was built in  Soviet times. There are no private schools in the neighborhood, but several prestigious municipal schools are located within a short commute.

Oleg Konovalov, Vice President of Moscow Sotheby’s International Realty adds that, "Several art galleries, including RuArts, Our Artists, and In Artibus Foundation are in the neighborhood." Luxury brand boutiques, on the other hand, "are located mostly in other areas of Moscow, for instance Nikolskaya Street and Tretyakovsky Proyezd," he says.

Who lives there?  

Mr. Bobkov describes the typical buyer as "top managers in business, celebrities, and state officials who value their privacy. The buyers are primarily local, because due to the Russian laws, direct real estate investment by non-tax residents is heavily taxed in Russia, so there are very little foreign investors in the Russian property market at the moment."

Notable residents

A haven for artists, past residents include Mikhail Bulgakov, a physician, playwright and the author of "Master and Margarita;" the Soviet poet Vladimir Mayakovsky; and the opera singer Feodor Chaliapin. Current residents care very much about their privacy, but it is safe to say that there are many prominent businessmen living in the area.

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Outlook   

Fancy a plush pied-à-terre in Moscow? Mr. Bobkov reports that, "The United States dollar- denominated prices are currently at about 50% of their peak values. While we don’t expect the market to recover to peak values in USD, there is potential for the market to recover to about 80% of its peak values, giving it about 60% growth potential from the current values in the medium to long term."

Despite fluctuations, Ostozhenka remains in the limelight as Mr. Bobkov notes, "It is the most prestigious and expensive district of the city, and supply and demand are currently balanced."

More:Click here to view over 1,000 Moscow luxury properties for sale on Mansion Global

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