Live in a WWII-Era U.S. Embassy in London for £21.5 Million

In the heart of London, a duplex apartment within the city’s former U.S. Embassy, which has been recently transformed into super-prime residences, has hit the market for £21.5 million (US$26.9 million).

The unit, which has been given the presidential moniker of the “Oval Residence,” is within No. 1 Grosvenor Square, and is the last sponsor unit available from developer Lodha UK. The building, on Mayfair’s uber-posh Grosvenor Square, served as the U.S. Embassy from 1938 until 1960, and then as the Canadian High Commission from 1962 until 2013. After being restored brick by brick, quite literally , it reopened as residences in 2022.

Some of the prominent figures of the 20th century have passed through its doors, including John F. Kennedy, who called it home when his father was appointed U.S. Ambassador to the U.K. in the 1930s, Winston Churchill and Eleanor Roosevelt, who was loaned an apartment when she visited London during World War II.

The three-bedroom home spans 4,400 square feet and was designed by Blandine de Navacelle, creative director of Studio Lodha, the developer’s interior design practice.

“No.1 Grosvenor Square is one of the capital’s most iconic addresses, and the design of the Oval Residence needed to reflect this,” de Navacelle said in a news release. “With large, open-plan living spaces and floor to ceiling windows, the residence offered the perfect backdrop for statement artwork and eclectic, sculptural furniture.”

The home also boasts a sleek kitchen, a home theatre, a dining area, wood-panelled walls, fireplaces and a 576-square-foot terrace.

“I regularly visit French galleries and furniture ateliers and am drawn to their art-centric approach to design and interiors,” de Navacelle said. “I wanted to bring a touch of this Parisian eclecticism to No.1 Grosvenor Square, creating a sophisticated and elegant private residence that blends both the classic and the contemporary.”

The turn-key flat is being sold with all of its furnishings.

Future occupants will also have access to the building’s amenities, including an in-house concierge team, a private health club and spa, a pool and a cinema.

Grosvenor Square has been one of London’s most-famed addresses for centuries. Currently in the middle of a dramatic remaking, No.1 Grosvenor Square is just one the enclave’s storied buildings to be undergoing, or to have undergone, a complete transformation.

The former U.S. Naval Building at No. 20, has been transformed into the first solely residential project from the Four Seasons, and the iconic Eero Saarinen-designed U.S. Embassy that spans the entire western side of the square, is set to become the Chancery Rosewood hotel by 2025.

London has no shortage of diplomatic buildings that have been transformed into luxury homes. In February, and for the first time in more than a century, the former Italian Embassy, now a lavish mansion, hit the market for £21.5 million . The former Cypriot Embassy, meanwhile, sold in March for £25 million to a buyer seeking a grand family home in the city.

Australia’s housing crisis will not be solved by first-home buyer incentives or tax changes alone, with leading property figures warning governments must tackle supply constraints if affordability is to improve.

Speaking at the Kanebridge Quarterly Property Leadership Summit in Sydney last week, expert project marketing specialist Sam Elbanna, property investor and fund manager Paul Miron and property consultant Karla McNeice said that a lack of housing supply remained the central issue facing the market.

Elbanna, Director of CPM Realty with more than 30 years’ experience in project sales, argued that successive governments had focused too heavily on stimulating demand rather than addressing the barriers preventing new housing from being delivered.

“The misconception is that politicians think the way to solve the housing crisis is to drive demand,” he said.

“The reality is that’s not the way. This is a supply-side problem, and it needs to be solved on the supply side.”

Drawing on his experience in project sales, Elbanna said policies designed to help first-home buyers often had unintended consequences, pointing to previous grants that ultimately flowed through to higher property prices.

Instead, he said developers were facing increasing red tape, approval delays and rising costs, which were discouraging new housing supply.

“In the absence of stock, demand exceeds supply,” he said.

Miron, a Co-Founder and Fund Manager of Msquared Capital, said the housing debate had become overly focused on tax policy while overlooking broader structural issues.

He argued that affordability challenges stemmed from a combination of factors, including planning constraints, supply shortages, migration levels and interest rates.

“No-one can be 100 per cent certain on the real reason for property prices is going up,” he said.

“The reason why property prices are higher is a combination of interest rates, lack of supply, migration, vacancy rates and maybe taxes play a role.”

Miron was critical of recent federal housing policy changes, warning they could reduce the number of new homes being built and further constrain supply that was even highlighted in the budget.

He also highlighted the importance of the property sector to the broader economy, noting that residential real estate and related industries employed more than one million Australians.

McNeice, who advises developers on sales strategy and market intelligence, said understanding buyers had become increasingly important as affordability pressures intensified.

While affordability remained a major consideration, she said today’s buyers were focused on value rather than simply price.

“People are looking for value for money,” she said.

She said buyers were increasingly evaluating factors such as transport connections, walkability, nearby amenities and flexible living spaces that could accommodate changing family needs.

“What infrastructure is going on? Can I walk to the shops? Can I meet people at the local cafe?” she said.

The panel also discussed the mounting pressures facing developers, with Elbanna arguing that many projects become financially unviable from the moment a site is purchased.

“The viability of a development happens at the moment the site is bought,” he said.

He said rising construction costs, higher interest rates and overly optimistic feasibility assumptions had left some developers exposed as market conditions changed.

While acknowledging the growing number of smaller and first-time developers entering the market, Elbanna said property development required expertise across finance, construction, marketing and legal disciplines.

“It is actually a business that requires a level of expertise,” he said.

Looking ahead, the panel agreed opportunities remained in the market despite current challenges.

Miron said property should continue to be viewed as a long-term investment and cautioned against trying to time short-term market movements.

McNeice said success would increasingly depend on identifying projects that genuinely met changing buyer expectations.

Elbanna said affordable housing remained achievable, but developers needed to deliver more than just homes.

“We can provide affordable housing in this country,” he said.

“But we’ve got to wrap that affordable housing with the things that people want.”

As Australia’s housing affordability debate intensifies, the panellists agreed on one point: without a meaningful increase in housing supply, demand-side measures alone are unlikely to solve the nation’s property challenges.

Live in a WWII-Era U.S. Embassy in London for £21.5 Million

The three-bedroom, duplex apartment in the notable Mayfair building spans 4,400 square feet

Australia’s housing affordability crisis is being fuelled by chronic undersupply, planning delays and rising development costs, as politicians continue to focus on the wrong solutions.