While in other places like New York and London the luxury real estate market is in the middle of a downturn, go west to Los Angeles and you won't be able to get your hands on a fine, premium, custom-built property without dropping south of $30 million (€28.2 million).
Los Angeles' market for spec homes is getting hotter by the day as developers and architects compete to build the fanciest, biggest, widest, most extravagant, most opulent and most expensive homes. Why? Because surprisingly, there's a lot of demand. "There is unprecedented action in this market. There's a lot of money chasing very few products, and the special properties command these premium prices. They sell quickly," said real-estate agent David Parnes. Paul Habibi, professor of real estate at UCLA, has another explanation: foreigners. "There's a lot of offshore money looking for a safe haven. Putting it in U.S. real estate is a way to park those extra fund," he says.
As you can imagine, most of these outrageously expensive and exclusive properties are in Bel Air, the most exclusive neighborhood of Los Angeles, which is home to the priciest property in the U.S.-- a $250 million (€235.7 million) mega-mansion with 21 baths, three kitchens, a car collection worth $30 million (€28.3 million), a helipad and seven-person staff among other things.
But this property is poised to be toppled as America's most expensive by a new project currently under construction in Bel Air which will carry an eye-watering $500 million (€471 million) price tag. Sounds like too much? It is, but when you find out that it will span over no less than 100,000 square feet and will feature a 5,000-foot master foot, a 30-car collection, a 45-seat IMAX theater, a jellyfish lounge, a four-lane bowling alley as well as a moat that will make the residence look like it's floating on water, you'll realize that it will probably be worth every penny.
Source: Architectural Digest
Photo: © William Maccollum / Art Grey Photography