Addison Lee Founder Sells Regent's Park Mansion at Nearly 50% Loss Amidst London Property Slump

John Griffin, the founder of the renowned London taxi company Addison Lee, has recently sold a prestigious mansion situated overlooking Regent’s Park. The sale price was significantly lower than the original purchase price, marking a substantial loss of nearly 50% after 13 years of ownership. This transaction underscores the current challenges in London's prime property market, which is experiencing a notable slowdown.

Griffin, who previously sold his business to the Carlyle Group for approximately £300 million in 2013, offloaded the six-bedroom property on the western edge of Regent’s Park for £11.5 million in early October. Official filings reveal that Griffin had acquired the mansion in 2013 for £20.7 million. The property, a distinguished part of a Regency-era terrace designed by the celebrated architect John Nash, has been on and off the market for several years.

In 2021, the home was listed with a price tag of £32 million, described at the time as one of London's most grand and prestigious residences. Following a series of price reductions, the property was withdrawn from the market, only to be re-listed this year for £13.5 million. This recent sale at £11.5 million represents a considerable markdown from its last asking price.

The sale of Griffin's mansion comes at a time when the prime London real estate market is facing significant headwinds. Savills forecasts that nominal price growth for the most expensive properties in London is unlikely to recover until 2028. Data from estate agent JLL indicates a 7.2% decrease in prime London property prices over the past 12 months, with the most expensive homes in the UK capital having lost a quarter of their value since their peak in 2014. Between July and September, the number of homes sold for over £5 million in central London decreased by 11% compared to the previous quarter.

Property analysts LonRes reported a summer slowdown in the prime London market, with average sale prices in July being 7.9% lower than the previous year. Transactions for properties exceeding £5 million were down 20% in July compared to the same month last year. New listings in this segment decreased by 30.3% during the same period, indicating a subdued market with fewer new properties coming onto the market.

Nick Gregori, head of research at LonRes, commented on the market conditions, attributing the slowdown to the appointment of a new prime minister and ongoing global uncertainties. He noted that the super-prime segment is particularly affected, with low transaction numbers relative to available stock and a lack of urgency among buyers due to low expectations of future price growth.

John Griffin has also been involved in a protracted legal dispute with UK tax authorities, His Majesty’s Revenue and Customs (HMRC), concerning his tax residency status. The entrepreneur had argued for non-domiciled status between 2013 and 2020, which would have exempted overseas earnings from UK tax. Non-dom status has since been abolished by the government. A provisional agreement for the Regent’s Park property sale was reached in the summer, prior to a tribunal ruling in September. The sale was finalized shortly after the tribunal’s verdict, though it remains unclear if the decision to accept a lower offer was directly influenced by the tax ruling. A representative for Mr. Griffin declined to comment on the matter.