Want privacy as a luxury buyer? In info age, don’t count on it, agents say.
Taso Pardalis chats with Inman to provide insight on privacy surrounding high profile real estate deals.
Publicity around celebrities buying and selling homes has long been a given. That doesn't mean they like it. Agents told Inman that protecting clients' privacy has become a full-time job.
It’s long been a given that when a real estate transaction involves someone under the public spotlight — from pro athletes to movie stars to wealthy investors — news of the sale is going to go public.
That doesn’t mean they like it.
In fact, public figures often go to great lengths to conceal their identities when buying and selling real estate, attempting to hide the news of the sale and maintain some semblance of privacy. But it rarely works.
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Those who spoke with Inman said the apparent incentive behind letting the public know about a high-profile transaction might encourage news of the deal to get out.
“A lot of times the brokers obviously want to say they did that deal. It’s like street cred for them,” said Taso Pardalis, partner at Pardalis and Nohavicka Attorneys in New York City. “I don’t know that the broker did that, but that’s a big deal. If you get a high-profile client, you want other high-profile clients to find you.”
Taso Pardalis
Pardalis’ team, which specializes in real estate transactions, said there are ways to attempt to keep deals private, including nondisclosure agreements (NDAs.)
“Immediately we’ll say, ‘If you want to speak about or to this client, you’re signing an NDA out the gate.’”
Taso Pardalis
The tactic of listing ownership under a corporation or two is a common practice when attempting to keep things discreet.
“What you often see is multiple LLCs. And possibly even a trust that those LLCs are sitting in,” Pardalis said. “And then the person signing on behalf of those could be a trust administrator, or someone who has authority to sign by power of attorney or by corporate resolution giving them ownership.”
Taso Pardalis