Israeli Defense Minister and former Prime Minister Ehud Barak can now add another title to his resume: real estate mogul. On Sunday, it was reported that Barak had sold his notoriously luxurious Tel Aviv apartment in the Akirov Towers, a five-room compound on the 31st floor whose amenities include a gym, outdoor pool, spa, and breathtaking views, for $7 million. In 2003, he paid a mere $3.87 million for the 450-square-foot space.
Naturally, Barak took to Facebook to explain his decision:
"My wife Nili and I decided that the sale was inevitable faced with the recognition that this place of residence created a sense of alienation and detachment from vast sectors of the public."
In true Ehud Barak fashion, the apartment was sold to a foreign company. The veteran kibbutznik, who was raised in a 12-by-9 foot room with no running water or toilets and described his childhood as "happy" and "warm," entered the private sector after stepping down from a failed premiership in 2001. His business ventures included oil shale rock in Jordan, a stint as president of Satcom Systems, Ltd., a mobile communications company with ties to repressive African regimes, a post on the advisory board of venture capital firm Tamir Fishman & Co., and a network of parking lots in Istanbul (which failed). All of these expeditions, though, were peas and carrots compared to his passion for working with international hedge funds. According to son-in-law Zvi Lotenberg, "the bulk of Barak’s activity takes place abroad, for a number of the world’s largest hedge funds and investment firms, whose names he declined to reveal."
Barak may maintain that he has been transparent regarding his business transactions, and that he has paid his taxes, but in 2006 he put away some money in a favorite tax haven, using "an account of 38 million Japanese yen (the equivalent of $380,000) in the Cayman Islands branch of Mizrahi-Tefahot Bank as collateral to obtain a loan from the bank."
Compared with the corrupt financial escapades of Israeli leaders like former prime minister Ehud Olmert, this is pretty vanilla, but there are certainly more than enough former government officials with extensive tastes in the world. Prince Bandar bin Sultan, the former Saudi ambassador to the United States, built the 95-acre estate of Hala Ranch in 1991 just miles from Aspen, which was the "most expensive single-family residential property in the nation on the market" when it was listed for $135 million in 2007. Former British prime minister Tony Blair bought a house in London’s posh and swanky Connaught Square for 3.5 million pounds. When Jacques Chirac stepped down from the French presidency in May 2007, he rented an apartment overlooking the Seine on Paris’ Quai Voltaire. What makes Barak notable is that he’s still on the government payroll.
So where will Barak end up next? Perhaps the David Promenade? Or maybe he’ll downsize to this four-bedroom stunner on Atzuk Beach? Wherever he ends up, the next home for this cigar-chomping pol promises to be far from the kibbutz.
Josh Rogin covers national security and foreign policy and writes the daily Web column The Cable. His column appears bi-weekly in the print edition of The Washington Post. He can be reached for comments or tips at firstname.lastname@example.org.
Previously, Josh covered defense and foreign policy as a staff writer for Congressional Quarterly, writing extensively on Iraq, Afghanistan, Guantánamo Bay, U.S.-Asia relations, defense budgeting and appropriations, and the defense lobbying and contracting industries. Prior to that, he covered military modernization, cyber warfare, space, and missile defense for Federal Computer Week Magazine. He has also served as Pentagon Staff Reporter for the Asahi Shimbun, Japan's leading daily newspaper, in its Washington, D.C., bureau, where he reported on U.S.-Japan relations, Chinese military modernization, the North Korean nuclear crisis, and more.
A graduate of George Washington University's Elliott School of International Affairs, Josh lived in Yokohama, Japan, and studied at Tokyo's Sophia University. He speaks conversational Japanese and has reported from the region. He has also worked at the House International Relations Committee, the Embassy of Japan, and the Brookings Institution.
Josh's reporting has been featured on CNN, MSNBC, C-Span, CBS, ABC, NPR, WTOP, and several other outlets. He was a 2008-2009 National Press Foundation's Paul Miller Washington Reporting Fellow, 2009 military reporting fellow with the Knight Center for Specialized Journalism and the 2011 recipient of the InterAction Award for Excellence in International Reporting. He hails from Philadelphia and lives in Washington, D.C.| The Cable |
Kevin Baron is a national security reporter for Foreign Policy, covering defense and military issues in Washington. He is also vice president of the Pentagon Press Association. Baron previously was a national security staff writer for National Journal, covering the "business of war." Prior to that, Baron worked in the resident daily Pentagon press corps as a reporter/photographer for Stars and Stripes. For three years with Stripes, Baron covered the building and traveled overseas extensively with the secretary of defense and chairman of the Joint Chiefs of Staff, covering official visits to Afghanistan and Iraq, the Middle East and Europe, China, Japan and South Korea, in more than a dozen countries. From 2004 to 2009, Baron was the Boston Globe Washington bureau's investigative projects reporter, covering defense, international affairs, lobbying and other issues. Before that, he muckraked at the Center for Public Integrity. Baron has reported on assignment from Asia, Africa, Australia, Europe, the Middle East and the South Pacific. He was won two Polk Awards, among other honors. He has a B.A. in international studies from the University of Richmond and M.A. in media and public affairs from George Washington University. Originally from Orlando, Fla., Baron has lived in the Washington area since 1998 and currently resides in Northern Virginia with his wife, three sons, and the family dog, The Edge.| Dispatch |