From a 20,000-pyeong Mansion to an Island... How the Gates Couple's Asset Division Will Proceed

Photo by Reuters

[Asia Economy Reporter Yujin Cho] Bill Gates, the founder of Microsoft (MS) and the world's fourth richest person, announced his divorce from his wife Melinda, drawing attention to how their property division will proceed.

According to the financial magazine Forbes, Gates' net worth is $140 billion, so the assets to be divided between the two are expected to be record-breaking.

The South China Morning Post (SCMP) reported on the 5th (local time) that in addition to 980,000 hectares of farmland involved in the couple's divorce, they own multiple homes across the United States, including in Washington, California, Montana, and Florida.

Bill and Melinda own a mansion worth $130 million in the Medina area of Seattle, Washington. This 20,000-pyeong (approximately 66,115 square meters) mansion has an annual property tax exceeding $1 million.

Nicknamed "Xanadu 2.0," after the mansion in Orson Welles' film "Citizen Kane," this residence boasts 20 bedrooms, a private theater, an 18-meter indoor swimming pool, and a library with a secret door.

To protect privacy, Bill has purchased dozens of properties, including homes near the Xanadu mansion, creating a vast estate.

The mansion located on the Del Mar coast near San Diego features 6 bedrooms, 4 bathrooms, and 2 guesthouses that can be used as guest rooms. It was reportedly purchased last year for $43 million.

All the mansions owned by the couple were acquired after their marriage in 1994, and neither Bill nor Melinda can claim full ownership, according to the media.

A divorce litigation specialist lawyer stated that homes jointly owned by the couple are generally sold during divorce proceedings to divide assets, and many of the most notable mansions in the U.S. could be put on the market.

Additionally, they own assets such as a private island named "Grand Bogue" in the Central American country of Belize, shares in MS and Cascade Investment, and luxury sports cars worth $650,000, including a Porsche 911.

The state of Washington, where the couple resides, recognizes community property. Therefore, both parties have equal rights to assets acquired during the marriage.

Meanwhile, Bloomberg News reported that Cascade Investment, which manages Bill Gates' assets, began the property division by transferring securities worth over $1.8 billion to Melinda.

Cascade Investment, an investment firm established with capital from MS dividends and others, holds securities worth over $50 billion, including Canadian National Railway, AutoNation in the U.S., and British liquor company Diageo.

Shares of Cascade Investment worth $14.1 million have been transferred to Melinda's name.