Welcome back to the real estate newsletter. As house prices set record highs, a hedge fund manager sees how far he can go.
Bruce Kovner, an investor who is also chairman of the board of the Juilliard School, launched his Carpinteria complex on the market this week for $ 160 million. This makes it the most expensive property currently available in California. (Well technically, this humble house on one level in the city of Vallejo is listed at $ 400 million as of August 19, but I’ll attribute this to a clerical error – although I respect the ambition.)
If Kovner gets his price, it will be the second-highest home sale the state has ever seen, just behind the $ 165 million space-expert Amazon co-founder Jeff Bezos paid for the famous Warner Estate in Beverly Hills last year.
Meanwhile, Michelle Pfeiffer got her prize in the Palisades. She toppled a French mansion for $ 25 million, which is $ 2.75 million more than what she paid last year.
Another big announcement has surfaced in Lone Star State, where former Rockets star Tracy McGrady is asking $ 8 million for her 24,000 square foot estate. The Texas-sized place features a full-size indoor basketball court, movie theater, game room, hair salon, gym, elevator, and custom pool with a slide.
It continues to be a sellers’ market on all ends of the spectrum, as data for July revealed the median southern California home price hit an all-time high of $ 681,750, barely breaking the previous record high of $ 681,750. $ 680,000 established in June.
An antidote to the housing shortage is currently under discussion in Sacramento, where a housing bill would allow up to four new units on a single property. While important, the bill is a relatively conservative effort in a series of so far unsuccessful attempts by California lawmakers to create greater housing density.
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The most expensive property in California
California’s most expensive residential property isn’t in Los Angeles County or the Bay Area, but in the low-key seaside town of Carpinteria. In the small beachfront community, a 22-acre expanse known as the Sanctuary at Loon Point has just been listed for $ 160 million.
According to the Multiple Listing Service, the titanic price makes it the most expensive property for sale in the state, beating a $ 135 million pension to be won at Woodside and a $ 115 million glass mansion listed in Malibu.
If it gets its award, it will rank second in home sales in California. The current crown belongs to Jeff Bezos, who paid $ 165 million for David Geffen’s famous Warner Estate in Beverly Hills last year.
The Carpinteria complex is owned by Bruce Kovner, an investor and hedge fund manager who is chairman of the board of the Juilliard School. Spanning 22 acres of coastal cliffs, the stunning estate has been assembled over 14 years and consists of five plots.
Power couple return a French mansion
Michelle Pfeiffer’s time at Pacific Palisades was short but successful. A year and a half after buying a French mansion for $ 22.25 million, the actress and her husband, television producer David E. Kelley, sold it for their full asking price of $ 25 million .
Newly built upon purchase, the 10,000 square foot mansion claims a third of an acre overlooking the fairways of the Riviera Country Club golf course.
According to the listing, the three-story home exhibits “old world charm mixed with modern sensibility.” This design palette is best captured in the living room, where rustic beams and a rough stone wall complements a sleek indoor-outdoor space lined with pocket doors.
NBA star tries to walk past a decked out house
Tracy McGrady’s Texas mansion, like her basketball career, is well decorated. The former Rockets star just put the lavish suburban Houston home up for sale for $ 8 million.
McGrady, a seven-time all-star who was inducted into the Basketball Hall of Fame in 2017, has owned the property since his stint with the Rockets. Spanning two acres in the town of Sugar Land, it is home to a main house and guest house that combine for nearly 24,000 square feet.
A natural choice for a 6-foot-8 basketball player, the Texas-sized home features double-height ceilings, oversized closets, and a full-size indoor basketball court with a hair salon and a spa. The list of amenities also includes a games room, cinema room, gym, elevator and a custom pool with a slide.
Home prices hit a new record
Southern California home prices set a new record in July, although the pace of the increase slowed as some home buyers grew weary of the bidding wars that defined the pandemic market, writes Andrew Khouri .
The six-county region’s median selling price – the point at which half of homes sold more and half less – hit $ 681,750 in July. That’s up 17.5% from the previous year, but lower than the more than 20% gains recorded since April.
Sales rose nearly 10%, according to DQNews, the real estate company that released the data on Wednesday.
The housing market has been on fire for the past year as the pandemic unleashed several forces that boosted demand, including the desire for more space and lower interest rates.
Real estate clash in Sacramento
Legislation that would allow new multi-family housing developments in some California communities is shaping up to be the most significant housing bill in Sacramento this year, although its impact on the state’s housing crisis would likely be limited, writes Ari Plachta.
Dubbed the “duplex bill,” Senate Bill 9 marks the most conservative effort in a series of so far unsuccessful measures taken by Sacramento lawmakers in recent years to allow greater density of housing in single-family neighborhoods. According to experts, recent changes to the legislation risk further eroding its residential construction potential.
Despite the political strength of its author, Pro Senate Speaker Tem Toni Atkins (D-San Diego), strong opposition from groups whose retreat has helped scuttle more ambitious past attempts raise questions about the Assembly’s capacity. legislative to deal with the state’s housing shortage if the legislation comes short when lawmakers adjourn for the year on September 10.
SB 9 would allow up to four new housing units on a single property in some neighborhoods currently zoned for stand-alone homes only, but how a homeowner could go from one to four is somewhat complicated.
What we read
Home Depot serves as a barometer for the housing market, as more business means more people are building and renovating homes. The company flourished during the pandemic, but its latest earnings report was well below estimates, which could signal a drop in housing construction. CNN Business has history.
In his latest video titled “How the United States Made Affordable Housing Illegal” Vox examined how exclusionary zoning rules have kept people in need of affordable housing in cities across the country. It is worth watching.