European Stars And Stripes (Newspaper) - September 18, 1978, Darmstadt, Hesse Monday september 18, 1978 the stars and stripes Page 19 where will Rhc to next i by de Blanche associated press arabs who descended on Britain in 1973 to invest and spend their Oil Money Are now look ing with increased interest toward the unite states and Western numbers in Britain and on the Conti nent Are estimated at a million and at least a dozen arabic newspapers have gone into publication to serve them. The British tourist authority says at least 400,000arabs came to London last year and spent an average of $2,740 each displacing americans As the biggest spend ers. Economic experts in London have conservatively estimated that the arabs have pumped at least $1.33 billion into Britain s anaemic Economy since 1974. The arabs mainly invested their new riches in prestige real estate and Industry. Thousands headed for Europe on vacations when Lebanon the arabs traditional play ground became a War zone in 1975. Paris and Geneva also have become Happy Hunting grounds for the High rolling Oil sheiks and their retinue. Now arabs say West Germany appears to be heading for a petrodollar Boom. London has been the focal Point of the Arab least $950 million has been sunk in British companies by arabs who also bought up castles Royal Homes an country estates. But Arab enthusiasm for Britain May be m afraid the Boom Days in Britain Are Over said Abdul Ghani Al Dalli economic adviser to the Arab an International Bank for investment. Arab investment will continue in Britain on a smaller scale because changes in the British Economy have not been As favourable from our Point of View As they were afew years ago. America is now experiencing the kind of conditions Britain did depressed prices and a depreciated As the Dollar declines in value on the world Market the prices of . Goods go Down in terms of Strong Curren cies such As the West German Mark or Swiss associated press Survey showed the same kind of Arab investment that Britain experienced has happen Din other european countries but on a less grandiose is difficult to measure the True scale of the arabs financial stake in British Commerce because they generally keep their shareholdings below 5 percent the level at which they must publicly declare kuwaiti investment office an Agency of Kuwait s finance ministry announced last year it has invested a streets of already a common sight on the London arabs May soon turn up in big numbers elsewhere in Europe and the . $228 million in Blue Chip concerns mainly prestigious financial institutions. These include 5.8 percent of the Bank of Scotland Worth$8.36 million 5.8 percent of the guardian Royal Exchange association Worth $26.2 million and 6.2 percent of Legat and general Assurance Worth $24.7 million. But that figure financial experts stressed is probably Only the tip of the kuwaiti investment iceberg and Only a fraction of the Overall Arab stake in British biggest visible Impact in Europe however has the petrodollar been in real estate. Among the arabs publicly acknowledged acquisitions saudi arabian and persian Gulf interests bought Lon Don s famed Dorchester hotel a Home away from Home of such celebrities As Elizabeth Taylor in 1972for 9 million pounds then Worth $16.2 million. Sheik Sabah Al Salem Al Sabah of Kuwait bought Stmartin s property corp., one of Britain s biggest land lords for $192.6 million. Saudi arabian tycoon Ekram Ojjeh shelled out $15million for the mothballed Ocean liner France once the Pride of the French merchant Fleet. The Emir of Qatar bought a summer estate for an undisclosed amount in Geneva s Versoi Lakeside suburb. He feeds his Falcons raw Mutton on the immaculate lawns. But there Are signs the Bonanza in Britain is slowing Down because investment returns in other parts of Europe and the United states look More attractive an because the arabs Are increasingly sensitive to British resentment of their arabs who British government sources say have been spending up to $50 million a year on doctors Bills i London s elite Harley st., or in Swank private hospitals now Are looking elsewhere. Arab Royalty politicians and businessmen pay their own Bills. But most Arab governments subsidize treatment for their less prestigious nationals in London and a unique Breed of Diplomat has emerged to handle their medical problems the health at tache. The kuwaiti government for instance says it spent$7.6 million on medical care for its citizens in London in 1976. But arabs claim the Boom has sent the fees charged by British doctors and hospitals sky High and made Many arabs feel they Are being ripped s Wellington Hospital the most expensive in Britain last december increased the Price of a single room to 115 pounds $218.50 a Day a 20 percent in crease. We think that s far too expensive even for us said libyan health attache Abdussamed Yunusi. Juma Bilal of the United Arab emirates embassy said that one Arab was charged $19,700 for dental work last year far in excess of Normal re now directing our people to Germany Switzer land and Yugoslavia one Arab Diplomat reported. The germans especially Are picking up a lot of business that used to come to invades by Rafaela Seppala United press International he French Riviera and particularly the sea Side City of Cannes is experiencing a full fledged Renaissance As a playground for the privileged this time under the sign of the petrodollar. Discovered by the English aristocracy in the 19th Century glamorized by european Royalty at the turn of the Century and later enhanced by Rich americans the French Riviera has been fighting a losing Battle Over the past 10 years to maintain its elite image. Then suddenly last summer came the arabs lured by the Balmy climate the proximity of the main business centers in Europe and the old world luxury of the Riviera s hotels. Every Day motorcade of gleaming limousines draw up at the Majestic or Martinez hotels to disgorge jewelled and veiled Oriental women Arab princes in flowing Robes servants of every description and mountains of baggage that promptly disappear into Mammoth hotel suites. According to the traditionally discreet hotel Man agers close to 50 percent of the guests at the main hotels this summer Are arabs. Hotel men also say they Are Ideal guests since they spend their Days in their suites often taking up entire floors of the hotel ordering lavish foods from room service and distributing huge tips. On the streets of Cannes the Arab presence is discreet. In the mornings groups of Arab women roam the High fashion boutiques of la Croisette and the Rue d Antibes purchasing designer clothes and shoes by the dozens and later stopping for an ice Cream in the smartest sidewalk cafes while their chauffeurs and bodyguards wait at a respectful distance. The Arab men prefer to surface after dark usually around the Green tables of Cannes three casinos. Arabs have turned the Palm Beach Casino of Cannes into France s most lucrative gambling House. Many shopkeepers Are going to school at night to learn arabic even Cannes Call girls have remodeler their wardrobes to give themselves distinctive Oriental airs with glittering Gold chains and colourful Chiffon veils. One enterprising Cannes restaurant owner renamed his moby Dick seafood eatery As Firouzeh and hired a lebanese chef. Another opened the Beirut restaurant near the Majestic hotel. Meals Cost a minimum of $50 per guest. The big name jewelry shops such As Cartier report that business has never been better on the Riviera. This summer four major jewellers staged full scale shows in the lobbies of the major hotels. Business also has never been better for the Riviera s cat burglars. Police say thefts have jumped. In a single recent night burglars made off with a total haul of $320, 000 in Cash and jewels from the Villa of a saudi business Man and the apartment of a saudi student. Clients from the Middle East represent Over 50 per cent of my annual turnover says Henri Benveniste who runs a High fashion boutique. I am persuaded however that the percentage is much higher among some of my one Arab sheikh on a Brief visit to the Riviera recently was reported to have declared $200,000 in goods at Nice Airport in order to obtain a refund of the French sales tax which is reimbursed for exported goods. The arabs also Are prepared to spend astronomic sums for real estate. According to the Riviera real estate chamber Arab clients have monopolized the demand for penthouses in the new developments overlooking the Mediterranean. Arabs have bought two thirds of the apartments at a new Marina Complex Between Nice and Cannes
