"Fleeing Dubai After Middle East War Erupts"...Switzerland Becomes a Refuge for the Rich

According to Financial News, the small Swiss city of Zug is emerging as a refuge for wealthy people leaving the Persian Gulf region because of the war in the Middle East.
On the 12th local time, the Financial Times (FT) reported that, with no sign of a resolution to the Middle East conflict, foreign residents who had been living in places such as Dubai in the United Arab Emirates (UAE) are flocking to Zug, near Zurich, in search of a safe haven away from the fighting.
Heinz Tännler, the finance director of Zug city hall, said, "Since the outbreak of war between the United States and Israel and the Islamic Republic of Iran, interest in Zug from wealthy individuals and companies has been growing." He added, "We are seeing more inquiries about relocation," and noted, "The war situation is regrettable, but in practical terms Zug is benefiting."
Zug, a city of 135,000 people surrounded by mountains and lakes, is also well known as a hub for commodities trading and cryptocurrency firms. According to asset managers and bankers, clients working in commodities and finance who had been based in Dubai are now looking for a stable foothold in Europe, and Zug is being considered their top choice.
Pierre Gabris, chief executive officer of Swiss asset management firm Alpen Partners, remarked, "Even if you have never been to Zug, it is a place everyone has heard of," adding, "The first request from clients is almost always Zug." A representative at a Swiss private bank also said, "Since the Middle East war began, the number of résumés from relationship managers at U.S. banks who want to transfer to our Zug branch has surged fourfold."
As relocation requests pour in, competition to secure housing in Zug has intensified. Supply is limited while demand keeps rising, so properties are said to disappear from the market almost as soon as they are listed. One finance professional recalled, "I recently went to an open house to find a tenant for a two-bedroom rental apartment," and said, "The line of people waiting to get in wrapped around the apartment block." The person added, "The man standing behind me in line had just arrived from Dubai that very morning."
Because it has become so difficult to find a place to live in German-speaking Zug, inquiries are also increasing about cities such as Lugano in the Italian-speaking Canton of Ticino. Real estate firm Engel & Völkers said, "Since the Middle East war, we have seen more inquiries from Italians, French, Swiss and British residents of Dubai," and noted, "Unlike Zug, there is still some availability of properties in Lugano."
whywani@fnnews.com Hong Chae-wan Reporter