Initial situation
In this scenario, Sophie de Tournay (fictitious) is the third generation of a French-speaking Swiss entrepreneurial family with Swiss-French roots, settled in Cologny for decades. In her mid-30s, after around ten years in impact investing in London, she returns to Switzerland – partly because of changed tax conditions in the United Kingdom.
Trigger in the scenario: the inheritance from her grandfather — Sophie inherits the family villa in Cologny (illustrative order of magnitude approx. CHF 20–25m), a chalet in Verbier (approx. CHF 7–9m) and a securities portfolio. She is married and plans to live in Cologny with her family.
Typical process in this scenario (4 phases)
Phase 1: Taking stock (Months 1–2)
- Joint conversations with Sophie, her grandfather or the family, and the existing family adviser
- Assessment of the properties' energy performance (e.g. GEAK) – in this scenario with significant modernisation needs for both villa and chalet
- Clarifying Sophie's priorities: sustainability, preserving value, transparency, family life
- Agreeing what a gradual generational transition over several years could look like
Phase 2: Property decisions (Months 3–5)
- Cologny villa: in this scenario the villa would be kept as the principal residence (family anchor) and modernised for energy efficiency
- Verbier chalet: a discreet sale without public advertising could be considered, as the emotional attachment is limited
- Search for suitable buyers, including outside public listings; price only as an illustrative order of magnitude of approx. CHF 7–9m
- Any sale proceeds could be earmarked for a values-aligned realignment
Phase 3: Energy modernisation in Cologny (Months 5–18)
- Bringing in an architecture firm specialising in Geneva architecture of 1900–1930
- The building permit (preserving listed façades, more freedom inside) would need to be clarified in advance with the municipality and the competent cantonal authority
- Possible measures: insulation, triple glazing, discreetly integrated solar panels, building automation, controlled ventilation
- Illustrative budget approx. CHF 4–5m (structure, building services, finishes/garden)
- Typical construction period approx. 12 months (illustrative)
- Minergie-A certification could be sought – depending on the project and assessment
Phase 4: Wealth planning and family governance (Months 12–18)
- Released proceeds could – in agreement with the family's financial advisers – be directed into sustainable investments
- Possible adjustment of family governance: Sophie gradually takes on shared responsibility for decisions
- In this scenario the grandfather or the older generation keeps an advisory role
- Banking relationship and investment structure would be clarified with a private bank of the family's choice
- Tax questions (domicile, income) would need to be reviewed by specialists, possibly with an advance enquiry to the Geneva tax administration – no tax or legal advice
Possible outcome in the scenario (illustrative)
Energy modernisation
- Significantly improved energy efficiency of the villa, e.g. towards Minergie-A (project-dependent)
- Noticeably lower energy consumption and running costs (amount depends on the measures)
- Building automation for monitoring and control during absences
- Listed façades preserved within the scope of the permit
- Possible positive effect on value preservation – no guarantee of value
Realigned estate
- Cologny villa as a modernised principal residence
- Verbier chalet possibly sold discreetly (illustrative order of magnitude approx. CHF 7–9m)
- Part of the proceeds for sustainable investments in line with Sophie's values
- Remaining family wealth stays with the family's existing asset management
Family governance
- Sophie: growing shared responsibility, e.g. for sustainable investments
- Older generation: advisory role with regular exchange
- Multi-year transition until responsibility is fully handed over
Quality of life and identity
- The Cologny villa as a family anchor for the next generation
- Modernisation in line with Sophie's personal values
- Architectural heritage preserved for future generations
- Sophie could continue her professional activity in Geneva
What the scenario shows
1. Generational transitions take years, not months. Abrupt handovers can trigger family conflict. A structured dialogue is usually only the start of a multi-year process.
2. Energy modernisation often becomes central for heirs. Unmodernised properties may lose appeal in future; careful modernisation can help preserve value and fit the next generation's values.
3. Selectively selling properties without emotional attachment can free up capital for a realignment. In the scenario, the Verbier chalet has little personal value for Sophie; a sale could release funds for investments in line with her values.
4. Discretion can matter when selling inherited property. For families who wish to avoid publicity, a sale without public advertising can make sense – whether and at what price a sale happens depends on the individual case.