"Putin's Palace" () is an
Italianate
The Italianate style was a distinct 19th-century phase in the history of Classical architecture. Like Palladianism and Neoclassicism, the Italianate style combined its inspiration from the models and architectural vocabulary of 16th-century It ...
palace complex located on the
Black Sea
The Black Sea is a marginal sea, marginal Mediterranean sea (oceanography), mediterranean sea lying between Europe and Asia, east of the Balkans, south of the East European Plain, west of the Caucasus, and north of Anatolia. It is bound ...
coast near
Gelendzhik,
Krasnodar Krai
Krasnodar Krai (, ) is a federal subjects of Russia, federal subject of Russia (a krai), located in the North Caucasus region in Southern Russia and is administratively a part of the Southern Federal District. Its administrative center is the t ...
, Russia.
The complex first came to public attention in 2010 after whistleblower
Sergei Kolesnikov published an open letter to Russian president
Dmitry Medvedev
Dmitry Anatolyevich Medvedev (born 14 September 1965) is a Russian politician and lawyer who has served as Deputy Chairman of the Security Council of Russia since 2020. Medvedev was also President of Russia between 2008 and 2012 and Prime Mini ...
exposing the construction of the palace. Kolesnikov also stated that the undertaking was run by
Nikolai Shamalov who was acting on behalf of
Vladimir Putin
Vladimir Vladimirovich Putin (born 7 October 1952) is a Russian politician and former intelligence officer who has served as President of Russia since 2012, having previously served from 2000 to 2008. Putin also served as Prime Minister of Ru ...
.
Alexander Ponomarenko was later reported to have ownership.
The complex drew wider public attention in 2021, when Russian opposition leader
Alexei Navalny
Alexei Anatolyevich Navalny (, ; 4 June 197616 February 2024) was a Russian Opposition to Vladimir Putin in Russia, opposition leader, anti-corruption in Russia, corruption activist and political prisoner. He founded the Anti-Corruption Found ...
's
Anti Corruption Foundation (FBK) released an
investigative documentary film about it which detailed a corruption scheme allegedly headed by Putin and claimed that the palace was built for the president's personal use. The FBK investigation estimated the cost of the build to be over 100 billion
rubles
The ruble or rouble (; rus, рубль, p=rublʲ) is a currency unit. Currently, currencies named ''ruble'' in circulation include the Russian ruble (RUB, ₽) in Russia and the Belarusian ruble (BYN, Rbl) in Belarus. These currencies are su ...
(US$956 million) at 2022 prices. Putin denied that the palace belonged to him, with the Kremlin saying that it is a private venture owned by various businessmen whose names cannot be revealed by the state. Following the release of the film,
Arkady Rotenberg, who has close ties to Putin, claimed ownership of the palace.
In 2024, the Russian outlet
Proekt reported that parts of the Palace have been reconverted, reconfiguring various entertainment rooms – such as a casino, pole-dancing room and room for
miniature railroads – into lounging rooms and a chapel with a dedication to
Saint Vladimir.
Location and buildings
The residence is located at on Cape Idokopas, near the village of
Praskoveyevka.
Cape Idokopas () is a promontory on the
Black Sea
The Black Sea is a marginal sea, marginal Mediterranean sea (oceanography), mediterranean sea lying between Europe and Asia, east of the Balkans, south of the East European Plain, west of the Caucasus, and north of Anatolia. It is bound ...
coast of
Russia
Russia, or the Russian Federation, is a country spanning Eastern Europe and North Asia. It is the list of countries and dependencies by area, largest country in the world, and extends across Time in Russia, eleven time zones, sharing Borders ...
near
Gelendzhik,
Krasnodar Krai
Krasnodar Krai (, ) is a federal subjects of Russia, federal subject of Russia (a krai), located in the North Caucasus region in Southern Russia and is administratively a part of the Southern Federal District. Its administrative center is the t ...
. The headland is lined with cliffs but is mostly flat on its summit, which is heavily forested with
Turkish pine
''Pinus brutia'', commonly known as the Turkish pine and Calabrian pine, is a species of pine native to the eastern Mediterranean region. The bulk of its range is in Turkey, but certain varieties are naturalized as far east as Afghanistan. It is ...
trees. It is bordered by a reef that makes offshore navigation hazardous.
The residence overlooks Russia's
Black Sea
The Black Sea is a marginal sea, marginal Mediterranean sea (oceanography), mediterranean sea lying between Europe and Asia, east of the Balkans, south of the East European Plain, west of the Caucasus, and north of Anatolia. It is bound ...
coast, and is built on a block of land with a total area of .
The airspace around the palace (see image) is regulated as
Prohibited Special Use Airspace P116 (i.e. a no-fly zone), which the Russian
Federal Security Service
The Federal Security Service of the Russian Federation �СБ, ФСБ России (FSB) is the principal security agency of Russia and the main successor agency to the Soviet Union's KGB; its immediate predecessor was the Federal Counterin ...
(FSB) stated was to protect an FSB border-post in the area from increased foreign intelligence activity.
There are a vast number of buildings on the palace complex, including a house with an area of , an arboretum, a greenhouse, a helipad, an ice palace, a church, an amphitheater, a "tea house" (guest house), a gas station, an bridge, and a special tunnel inside the mountain with a tasting room.
The main building boasts a large indoor swimming pool, aquadiskotheque arrangement, spa, saunas, Turkish baths, meat and fish shops, vegetable and dessert shops, a warehouse, a reading room, a music lounge, a hookah bar, a theater, a cinema, a wine cellar, a casino, and about a dozen guest bedrooms. The master bedroom is in size.
The house was designed by the Italian architect
Lanfranco Cirillo, who has designed properties for many of Russia's elite.
Ownership
Russian government official Vladimir Kozhin told reporters from the Russian daily ''
Kommersant
(, , ''The Businessman'' or Commerce Man, often shortened to Ъ) is a nationally distributed daily newspaper published in Russia mostly devoted to politics and business. The TNS Media and NRS Russia certified July 2013 circulation of the daily ...
'' that the Russian government had approved the construction of the estate by the Lirus group, and that the government maintained a stake in the project until 2008, when it sold its share.
In March 2011, it was reported that
Alexander Ponomarenko, a businessman and billionaire who made his money in sea ports, banking, commercial real estate and airport construction, acquired the company "Idokopas" which owned the palace.
[Friendly Oligarch Buys 'Putin' Palace](_blank)
, themoscowtimes.com, 4 March 2011 At the time of the purchase, Idokopas owned around 67 hectares of recreational land near the settlement of Praskoveyeka, including a guesthouse complex amounting to 26,000 square meters.
[
Ponomarenko said he had bought a second company, the Azure Berry Company (), which owned 60 hectares of agricultural land near Divnomorsk, a settlement 13 kilometers from Praskoveyevka. Ponomarenko bought the unfinished complex from Shamalov and his partners.] At the time of the purchase, Ponomarenko did not disclose the value of the deal, but hinted he had been able to purchase the property for a very good price – the asset was heavily encumbered with debts and the developers had run out of money to complete the project.
When asked about the projected value of the complex once complete, he conceded that suggestions it could be as much as $350 million "were close to the truth". According to Vedomosti, experts estimated the value of the property at $20 million. In July 2011, the Azure Berry Company was sold to SVL Group, controlled by Boris Titov, the owner of sparkling wine factory "Abrau-Durso". Ponomarenko's media representatives told Forbes in 2021 that Ponomarenko had withdrawn from the project in 2016.
On 11 May 2016, RBC reported that Alexei Vasilyuk (), through his ownership of the Moscow registered LLC “Southern citadel” (), has exclusive rights since 25 March 2016 to the water along the coastline between Cape Idokopas and Divnomorskoye for the production of mussels and oysters and that on 20 April 2016 “Southern citadel” has received a 25-year lease to two land plots totaling along the Black Sea next to “Putin's Palace”.
The RBC article stated that Ponomarenko is the owner of “Putin's Palace” through his Complex LLC () which is the owner of the land under “Putin's Palace” since May 2013 and the owner of the structure “Putin's Palace” since March 2015 and that the British Virgin Islands firm Savoyan Investments Limited has been the owner of Complex LLC since September 2013.[
According to a 13 May 2016 '']The Moscow Times
''The Moscow Times'' (''MT'') is an Amsterdam-based independent English-language and Russian-language online newspaper. It was in print in Russia from 1992 until 2017 and was distributed free of charge at places frequented by English-speaking to ...
'' article, the exclusive ownership of the nearby coastline is to prevent ships from approaching the coastline near “Putin's Palace”.[ On 3 March 2017, Alexander Ponomarenko obtained a 100% stake in “South Citadel” and obtained an additional two plots of land next to “Putin's Palace” and had the exclusive rights to the water along the coastline near “Putin's Palace”.
On 30 January 2021, the billionaire Arkady Rotenberg, who has close links to Putin, said that he had purchased the estate "a few years ago." He also said that the property when completed would become an apartment hotel.]
Corruption claims
Kolesnikov letter
In 2010, Russian businessman Sergei Kolesnikov wrote an open letter to Dmitry Medvedev
Dmitry Anatolyevich Medvedev (born 14 September 1965) is a Russian politician and lawyer who has served as Deputy Chairman of the Security Council of Russia since 2020. Medvedev was also President of Russia between 2008 and 2012 and Prime Mini ...
, at that time the Russian President, stating that a dentist named Nikolai Shamalov was building a grand Black Sea estate for Putin[Reuters Investigates]
, retrieved 16 October 2014 or Medvedev. Kolesnikov said the construction of the estate was draining funds available for his work, which included the state-commissioned renovations of hospitals in collaboration with Shamalov and businessman Dmitry Gorelov. Kolesnikov further said that he had worked on the estate project until he was removed because he voiced concerns about corruption, that the estate was still under construction, and the cost was one billion dollars, funded by bribery and theft.
In 2011, the ''Novaya Gazeta
''Novaya Gazeta'' (, ) is an independent Russian newspaper. It is known for its critical and investigative coverage of Russian political and social affairs, the Chechen wars, corruption among the ruling elite, and increasing authoritarianism i ...
'' wrote that it had obtained a contract for the palace signed by the presidential property manager in 2005, when Putin was the Russian president. A website called the "Russian Wikileaks," RuLeaks.Ru, posted photographs of the estate, but could not confirm its ownership. Medvedev replied that neither he nor Putin had any relationship to the property.
Speaking to the BBC in 2012, Kolesnikov said that the estate was still under construction, and that the project was being organized sometimes by Shamalov, or sometimes by a deputy of the president, Igor Sechin
Igor Ivanovich Sechin (; born 7 September 1960) is a Russian entrepreneur and a government official, considered a close ally and "de facto deputy" of Vladimir Putin.
Sechin has been a confidant of Russian leader Vladimir Putin since the early ...
. Kolesnikov said that Shamalov never questioned his role, adding, "There was a tsar - and there were slaves, who didn't have their own opinion." According to the BBC, the estate was owned by a company Shamalov partly owned, and it was unclear if Putin had any relationship to the property.
Financing claims
In Kolesnikov's initial letter and in subsequent media interviews, including to ''Novaya Gazeta
''Novaya Gazeta'' (, ) is an independent Russian newspaper. It is known for its critical and investigative coverage of Russian political and social affairs, the Chechen wars, corruption among the ruling elite, and increasing authoritarianism i ...
'', David Ignatius of ''The Washington Post
''The Washington Post'', locally known as ''The'' ''Post'' and, informally, ''WaPo'' or ''WP'', is an American daily newspaper published in Washington, D.C., the national capital. It is the most widely circulated newspaper in the Washington m ...
'', and Masha Gessen of Snob.ru, Kolesnikov provided an account of how the construction of the estate was financed by corruption. Kolesnikov said that in early 2000, Nikolai Terentievich Shamalov, a representative of the multinational company Siemens AG
Siemens AG ( ) is a German multinational technology conglomerate. It is focused on industrial automation, building automation, rail transport and health technology. Siemens is the largest engineering company in Europe, and holds the posit ...
in North West Russia and somebody thought close to Russia's new President Vladimir Putin
Vladimir Vladimirovich Putin (born 7 October 1952) is a Russian politician and former intelligence officer who has served as President of Russia since 2012, having previously served from 2000 to 2008. Putin also served as Prime Minister of Ru ...
, approached Kolesnikov with a business proposition.[
The two men had known each other through business since 1993–1994, when Kolesnikov was deputy director general of Petromed, a St. Petersburg-based firm that specialised in the procurement of medical supplies. It was also through Petromed that Kolesnikov had gotten to know Putin, on whose behalf Shamalov said he made the approach. Putin had been head of the St. Petersburg Council on External Economic affairs, which held a 51% stake when Petromed became a private company in 1992.][
Kolesnikov told Masha Gessen that Putin held 94% of shares in Rosinvest, with Kolesnikov, Shamalov, and Dmitry Vladimirovich Gorelov (director of Petromed and another friend of Putin from his time in Saint Petersburg) taking 2% each. Rosinvest's interests included shipbuilding, construction, and lumber/timber processing.][ Kolesnikov is reported as saying that ]Roman Abramovich
Roman Arkadyevich Abramovich (born 24 October 1966) is a business oligarch and politician. He is the former owner of Chelsea F.C., Chelsea, a Premier League football club in London, England, and is the primary owner of the private investment com ...
and the other donors to health projects acted 'nobly', implying they were unaware that a significant proportion of their donations was being diverted into an investment vehicle allegedly run for the benefit of the President and his partners in Rosinvest. This is despite the huge sums involved and disputed claims that the relationship between Putin and Abramovich has been very close.
The chart above shows the scheme of interaction between companies and cash flows involved in financing of the construction, according to Kolesnikov.
Investigations
In February 2011, members of the group "Environmental Watch for the North Caucasus" and a journalist visited the site to investigate concerns that the construction violated laws protecting the area's ecology. They said that they were harassed and detained by members of the Federal Protective Service (FSO), the agency responsible for guarding state property and high-ranking officials.
Despite the confiscation of their equipment they were able to publish additional photographs of the site. Activists made another sortie into the property in June 2011, when they claimed to have found an illegally constructed marina.
Metro Style
Metro Style () published diagrams of its underground tunnel system.
RBC investigation
The 11 May 2016 RBC article "Oyster farming will begin in front of the "Putin's palace" near Gelendzhik" () revealed that Ponomarenko is the owner of "Putin's Palace".[ The publishing of the RBC article contributed to the firing by ]Mikhail Prokhorov
Mikhail Dmitrievich Prokhorov (; born 3 May 1965) is a Russian-Israeli oligarch and politician. He was also an owner of the Brooklyn Nets.
After the collapse of the Soviet Union, Prokhorov obtained Russian state-owned metals assets at prices ...
, who has the majority ownership of the RBK Group after he purchased a 51% stake in it in 2009, of Maxim Solus, the editor-in-chief of RBC newspaper, which further resulted in the resignations of both Roman Badanin, rbc.ru's chief editor, and Yelizaveta Osetinskaya, RBC's chief editor.[
]
FBK investigation
On 19 January 2021, two days after Alexei Navalny was detained by Russian authorities upon his return to Russia, an investigation by him and his Anti-Corruption Foundation
The Anti-Corruption Foundation (ACF or FBK; ; ) is a non-profit organization established in 2011 by the Russian opposition figure Alexei Navalny. The FBK published investigations into alleged corruption by high-ranking Russian government official ...
(FBK) was published accusing President Vladimir Putin
Vladimir Vladimirovich Putin (born 7 October 1952) is a Russian politician and former intelligence officer who has served as President of Russia since 2012, having previously served from 2000 to 2008. Putin also served as Prime Minister of Ru ...
of using fraudulently obtained funds to build the estate for himself in what he called "the world's biggest bribe." Navalny said that the estate is 39 times the size of Monaco
Monaco, officially the Principality of Monaco, is a Sovereign state, sovereign city-state and European microstates, microstate on the French Riviera a few kilometres west of the Regions of Italy, Italian region of Liguria, in Western Europe, ...
and cost over 100 billion rubles ($1.35 billion) to construct. His video showed aerial footage of the estate via a drone and a detailed floorplan of the palace that Navalny said was given by a contractor, which he compared to photographs from inside the palace that were leaked onto the Internet in 2011. He also detailed an elaborate corruption scheme allegedly involving Putin's inner circle that allowed Putin to hide billions of dollars to build the estate.
After Navalny's arrest and the release of his video, protests in support of Navalny began on 23 January 2021. In response to the claims, Putin said that the palace had never belonged either to him or his family.
The BBC Russian Service spoke to several construction workers who said they worked on the palace between 2005 and 2020, confirming several of the allegations made in the FBK investigation, including that the palace was being rebuilt due to mould.
In January 2022, the FBK leaked 479 photographs of the palace while it was under construction. The photographs show the exterior and interior of the house including photographs of rooms that were described as a strip club and a hookah lounge.
''Meduza'' investigation
Journalists from the online newspaper ''Meduza
''Meduza'' (Russian: Медуза, named after the Greek goddess Medusa) is a Russian- and English-language independent news website, headquartered in Riga, Latvia. It was founded in 2014 by a group of former employees of the then-independent ...
'' interviewed people who were involved in the construction of the residence. Many interviewees said the residence is connected with Putin and is guarded by the FSO, who also supervise construction. ''Meduza'' had documents with the names and signatures of the FSO employees, including Colonel Oleg Kuznetsov. The article described vast and extravagant luxuries in the estate.
Mash channel
On 29 January 2021, the pro-Kremlin Mash Telegram
Telegraphy is the long-distance transmission of messages where the sender uses symbolic codes, known to the recipient, rather than a physical exchange of an object bearing the message. Thus flag semaphore is a method of telegraphy, whereas pi ...
channel gained access to the palace, which showed that the palace was under construction. While it attempted to contradict Navalny's claims, Navalny's team said that it supported their previous reporting that the palace had to be redone due to mould issues.
BBC investigation
On 13 May 2021, BBC News Russian published its own investigation based on official documents of the sale and meeting notes.
Gallery
Putin's Palace.jpg, Exterior, November 2010
Putin palace lawn.jpg, Gardens
Putin palace interior1.jpg, Main hall
Putin palace interior4.jpg, Main hall
Putin palace interior2.jpg, One of the bedrooms
Putin palace interior3.jpg, One of the bathrooms
Putin_palace_courtyard.jpg, Courtyard (Curtains and chandeliers are visible in all windows.)
Putin_palace_main_pool_2622.jpg, Swimming pool near the aqua-discotheque
See also
* 2021 Russian protests
* Mezhyhirya Residence, the residence of Viktor Yanukovych
Viktor Fedorovych Yanukovych (born 9 July 1950) is a Ukrainian politician who served as the fourth president of Ukraine from 2010 to 2014. He also served as the prime minister of Ukraine several times between 2002 and 2007 and was a member of t ...
, former Prime Minister
A prime minister or chief of cabinet is the head of the cabinet and the leader of the ministers in the executive branch of government, often in a parliamentary or semi-presidential system. A prime minister is not the head of state, but r ...
and President of Ukraine
The president of Ukraine (, ) is the head of state of Ukraine. The president represents the nation in international relations, administers the foreign political activity of the state, conducts negotiations and concludes international treaties. ...
* Millerhof
* Novo-Ogaryovo, the official residence of the President of Russia
The president of Russia, officially the president of the Russian Federation (), is the executive head of state of Russia. The president is the chair of the State Council (Russia), Federal State Council and the President of Russia#Commander-in-ch ...
* Hatvanpuszta, Hungarian estate and country houses tied to the family of Hungary’s Prime Minister
A prime minister or chief of cabinet is the head of the cabinet and the leader of the ministers in the executive branch of government, often in a parliamentary or semi-presidential system. A prime minister is not the head of state, but r ...
, Viktor Orbán
Viktor Mihály Orbán (; born 31 May 1963) is a Hungarian lawyer and politician who has been the 56th prime minister of Hungary since 2010, previously holding the office from 1998 to 2002. He has also led the Fidesz political party since 200 ...
References
External links
*
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{{Vladimir Putin
2005 establishments in Russia
Buildings and structures in Krasnodar Krai
Corruption in Russia
Political controversies in Russia
Hotels in Russia
Italianate architecture in Russia
Palaces in Russia
Vladimir Putin
Buildings and structures completed in 2005
Arkady Rotenberg