Al Fayed Estate Engaged in Lengthy Legal Battle Over Mayfair Penthouse Issues
A protracted legal dispute, spanning eight years, has emerged between the owners of a luxurious Mayfair penthouse and companies associated with the estate of the late Mohamed Al Fayed. The core of the conflict, detailed in High Court filings, revolves around a series of alleged issues within the prestigious Hyde Park Residence building, including persistent roof leaks, alleged botched refurbishments, and a dispute over the operation of a lift.
The penthouse in question is owned by property developer Alan Hodson and his wife, Rosaleen. Mr. Hodson, who has a history of developing numerous homes in the South East of England, purchased the property in 2004. Upon moving in, he undertook significant renovations, including modifications to the kitchen, enhancements to the roof terraces, and the installation of a new private lift. The legal battle reportedly began when a company owned by the Al Fayed family, Prestige Properties (PP), failed to honor an agreement to legally transfer ownership of this new lift to Mr. Hodson through an updated lease.
The conflict escalated over the years, with Mr. Hodson alleging that PP’s actions, including the operation of a noisy lift at night, were a deliberate attempt to disturb his peace. Court documents suggest that the building’s management agreed to suspend the use of one of the lifts at night in 2015 due to persistent noise complaints. Furthermore, Mr. Hodson has cited issues with leaky roofs and unfinished communal areas, claiming that the poor state of repairs has negatively impacted his property.
The Al Fayed family has owned Hyde Park Residence since the 1980s through Prestige Properties, a company registered in Liechtenstein. Following Mohamed Al Fayed’s death in 2023, the estate and family have continued to hold this ownership. While the building is described on its website as offering an “atmosphere of warmth and calm,” external observations suggest some areas may appear less immaculate, with reports of peeling paint and missing signage.
The legal proceedings have also involved claims and counterclaims regarding contributions to the building’s upkeep. In 2016, PP demanded Mr. Hodson contribute £80,000 towards a payment made years earlier to the Grosvenor Estate, the building’s freeholder. Mr. Hodson’s legal team has argued that PP denied him permission to proceed with a planned extension to his apartment, despite initial encouragement, and has also cited the ongoing lift noise and roof leaks as reasons for damages. In response, PP’s lawyers have stated that the lift noise is within acceptable limits and that they have taken reasonable steps to address water leaks, while also seeking substantial sums for unpaid ground rent and associated costs.
This enduring dispute underscores Mohamed Al Fayed’s reputation for a tenacious approach to business disagreements. His estate’s continued involvement in such a protracted and, in the context of his vast wealth, seemingly minor conflict highlights a characteristic unwillingness to concede ground. The legal battles, involving alleged disturbances and property maintenance issues, continue to be a point of contention, with the latest court filings in March 2024 indicating that the issues remain unresolved. Both parties, including Al Fayed’s widow Heini Wathen-Fayed, Prestige Properties, and the Grosvenor Estate, have reportedly declined to comment on the ongoing matter.