The Ultra High End’s new story: No longer is ultra high-end real estate in the U.S. just about NYC and LA.
Beverly Hills, Manhattan and Miami, along with one or two other cities, have traditionally been the locus of the most expensive and most exclusive real estate in the U.S. Now, in an increasingly diverse geographic mix from Boston to Boulder, more properties align with what the industry calls the ultra or premier market. Uber prices in these locations might not number in the hundreds of millions of dollars, but they are the highest of that market. And, no matter the ZIP code, it’s likely that properties at the very top share similar attributes.
Worldwide, the number of millionaires and billionaires continues to grow, with the U.S. still accounting for the largest share of mega wealthy. “I think the change we are seeing in the growth in the ultra high-end is directly correlated to the growth of significant wealth in the world. More people have more significant money,” says Stephanie Anton, president of Luxury Portfolio International.
“Interestingly,” she says, “it’s diversifying too. In the U.S., no longer is the story just about NYC and LA. Bottom line, the shift in location is a change that influences the high end of the housing market and the demand for significant properties in a way we have never seen before.”
Photo courtesy iStockPhoto.com / Sean Pavone
Traditionally, the very top of the market in Boston was the purview of the city’s legendary Brahmins. But the revitalization of downtown neighborhoods and growth of tech and finance, along with globally recognized educational institutions, are revamping the high end in both the city and suburbs. In 2018, there were 82-percent more luxury property sales than in 2014. Not only are more properties considered high end, but new luxury towers mix with traditional blue-chip estates.
Photo courtesy of iStockPhoto / MattGush
Jonathan Radford with Coldwell Banker Residential Brokerage in New England is representing the highest priced estate outside Central Boston. Woodland Manor is a $38 million property on more than 7 acres, five miles from the city centerline in Brookline. Photo courtesy of Boston Virtual Imaging.
The highest listing in the city is a $45 million penthouse occupying the entire 60th floor of the new Millennium Tower. Jonathan Radford with Coldwell Banker Residential Brokerage in New England is representing the highest priced estate outside Central Boston. Woodland Manor is a $38 million property on more than 7 acres, five miles from city center in Brookline. “Over the ast 5 years, we have seen consistent growth in the number of luxury property transactions outside of the city of Boston, in the range of 10 percent to 30 percent per year, with the exception of 2016, when a shortage of inventory resulted in a 2.7-percent decline in the number of luxury sales. In 2018, there were 58-percent more luxury property sales than in 2014,” explains Radford. “In the city, growth in the number of luxury transactions has exceeded 25 percent a year.”
Beverly Hills agent Joyce Rey, head of the Estates Division of Coldwell Banker Global Luxury, has brokered a number of record-setting transactions both regionally and nationally. “I never cease to be amazed at the constant ascension of real estate values. Any look in the rearview mirror at real estate values is always surprising because people realize and regret not buying more real estate. And it seems shocking today because when I founded Rodeo Realty in 1979, $1 million was a pretty major property.” The customary benchmark for luxury in many places has been $1 million. Now, in many locales, including Boulder, Colorado, the $1 million home is basically a redo. Boulder agents say luxury doesn’t begin until $2.5 million,
but even then, as Megan Bach with Colorado Landmark Realtors points out, “some homes are not necessarily luxury.” A more reliable gauge in Boulder, she says, is price per square foot, a measure often applied to premier markets in New York and California. She estimates luxury in Boulder begins at approximately $1,000 per square foot. The highest priced home currently on the market is a $9 million property on 15.42 acres outside of town with extensive views and strong indoor/outdoor connections. Having “great indoor views typically price bumps any home in any neighborhood here, as is the case in any view locale,” says Bach, emphasizing what might be a universal truth for uber luxury: No matter the location, the better the views and outdoor connections, the higher the price.
Utah ay seem an unlikely spot for the ultra high-end, but prices now approach $10 million with the highest residential listing $26 million. Photo courtesy of Summit Sotheby’s International Realty.
“Sales over $10 million are very rare, but I think they are coming,” observes Debra Johnston, with Berkshire Hathaway HomeServices Georgia Properties. Photo courtesy of Debra Johnston.
Along Florida’s west coast, values in upscale resort locales traditionally trailed Miami or Palm Beach. Now, “prices for beachfront in Naples begin at $20 million,” says Tade Bua Bell of John R. Wood Properties. The recent sale of a gulf-front property in the exclusive Port Royal for $48 million illustrates how much demand has changed. The home was eventually torn down and replaced with new construction. Another property also in Port Royal and destined for a tear down sold for $28 million. In the ultra-sphere, a $10 million or $20 million tear down is not an anomaly.
The uber market in Atlanta starts around $5 million to $7 million for new construction. “Sales over $10 million are very rare, but I think they are coming,” observes Debra Johnson, with Berkshire Hathaway HomeServices Georgia Properties. “Buckhead is running out of large land lots, which is driving up the cost to build a dream house. The time it takes to build a new luxury home in the $5 million range could take up to 2 years. Many prospective buyers are instead buying the best flat lot they can find in a resale, and renovating the house to their taste level,” observes Johnson. In Atlanta, Los Angeles and other cities, lots suitable for prestige properties are at a premium.
In New York City, ultra luxury starts at $10 million, but Martin Eiden of Compass Real Estate says if you are looking for the “Wow factor” you have to be in the $18 to $40 million range. And anyone considering a trophy — what Eiden calls “I made it big” — property, generally has to look at $60 million and up. In the ultra-sphere, trophy properties often have over-the-top list prices. Greenwich, Connecticut, is a blue-chip bastion for prestige properties. Topping price points is a mid-country European style estate offered at $29.5 million, followed by a $22.5 million property, also in a premier estate setting. Old money locales tend to be timeless. In the Washington, D.C., metropolitan area, uber prices currently do not exceed
the $20 million mark. The exception is a $62 million estate in McLean, Virginia, on 3.2 acres overlooking the Potomac and comprised of a main residence and The Marden House, which was designed and constructed by Frank Lloyd Wright in 1959. Also extraordinary is underground parking for 30 cars, bespoke interiors by Thomas Pheasant and some of the finest views of the river in the region. In the ultra realm, truly singular properties, particularly those with provenance, often merit singular list prices. Parking for dozens of cars might seem over the top, but garage space and parking are both important to high net worth buyers, according to Rey. What else is considered a must-have? Smart home tech, larger closets, a gym, kitchens and great rooms that flow, screening and media rooms. But, Rey emphasizes, “Location is still the number one consideration for buyers.”
The increasing diversity of locations in properties at the highest price points is basically a numbers game: more buyers, greater degrees of wealth, and price appreciation in the overall market. Simply, there are more people in more locations with greater net worth. Utah is an unlikely spot for the ultra high-end, but prices now approach $10 million with the highest residential listing at $26 million. The market changed in 2016, according to Kerry Oman, with Summit Sotheby’s International Realty in Park City, who brokered the sale of a $13.5 million property in Provo Canyon, the highest-priced transaction in recent years. For the ultra market, the $5 million to $7 million range is typical, and $7 million to $10 million is no longer the exception, says Oman. In spite of growing national interest in Park City, demand for uber properties is most likely to come from home-grown wealth. In the ultra-realm, U.S. buyers dominate a majority of locations today.
“A lot of money is coming out of Silicon Valley, and Seattle now. And we’re seeing a great migration of significant wealth to more resort markets like Hawaii, Florida and Texas, due to an aging affluent population and also attractive tax laws,” shares Anton. Taxes are only one driver for a new geographic mix of buyers in Florida and Georgia. Even before the tax law was passed, brokers like Bua Bell were reporting more interest from Colorado and California. Brokers in Naples and other cities are also seeing buyers from New York, New Jersey, Massachusetts and Connecticut. Johnson says there has been a big increase in out-of-state buyers in Georgia in the last year. Ultra-luxury buyers in Greenwich have broadened in terms of their use of these properties and what they are looking for, observes Robin Kencel with Compass Real Estate. Some plan to make Greenwich their fulltime residence. Others are looking for a weekend or a summer retreat. “As people discover Greenwich’s natural beauty, from having four beaches to 600-plus nature trails to a breadth of year-round activities and its sophisticated, diverse and wholesome vibe, it is becoming an attractive alternative to the Hamptons,” she says.
In the Washington D.C., metropolitan area, uber prices currently do not exceed the $20 million mark. The exception is a $62 million estate in McLean, Virginia. Photo courtesy of Gordon Beal.
Sui generis is how some characterize the ultra market, but as distant and disconnected as it may seem, the ultra sector does not exist in a separate vacuum. “Everything’s fluid in luxury real estate,” says Gary Gold with Hilton & Hyland in Beverly Hills, noting it’s not like the stock market where there is a definite price at the closing bell. “It doesn’t work that way. There are so many nuances. In general, when you have record sales, when you have record numbers of sales, when you have lots of positive activity, it has an overall significant effect on everything,” he explains.
“The rise in significant prices is a reflection of demand but also is consistent with the rise we’re seeing in luxury prices across the board,” says Anton. “According to Realtor.com, in Q4 of 2018, prices in the top 5 percent of markets in 1,000 U.S. cities closed at an increase of 4.7 percent year over year. It’s a bit of that old saying, ‘a rising tide lifts all boats.’” With pricing heading into the stratosphere, an ultra purchase might seem capricious — a product of desire rather than a well thought
out choice. Instead, no matter the price, it’s still a question of value. Every once in a while a buyer might make a crazy purchase, but agents say that’s a very rare occurrence. Even though prices might be well into the tens of millions, Gold says, “It’s not about the money. It’s about how everyone wants to make a smart purchase, and no one wants to be a chump. For the most part, when they make that purchase, people want to feel they have made a prudent, valuable purchase. People who are worth a lot of money are very used to making very very expensive acquisitions, whether it’s in business or personal.
They know how to wrap their head around these very large purchases.” “These buyers are highly sophisticated consumers and active in multiple luxury asset classes, from cars to art to jewelry. They want to know that beyond enjoying their property, they have made a sound business decision,” says Kencel. Ultra properties might be extravgent and indulgent, but the ultra buyer’s focus is still value and investment. When there are several properties on the market at the highest prices, agents often say, “When one sells, the others will to.” Surprisingly, experience does validate this claim. “If you see homes that are setting new precedent, I think it definitely is an endorsement in an area and a price range,” says Gold. Several years ago, Gold broke the $100 million price point in Los Angeles with the sale of the Playboy Mansion. “No one ever sold something well over a $100 million. Since then, we’ve seen more really big sales than ever before. It’s definitely a validation of an area, and people get more comfortable spending more money, so it’s a good sign.” And the impact trickles down. “The second I sold something for $100 million, all of a sudden the $5 million listings are now worth more.”
This editorial originally appeared in Unique Homes Ultimate ’19 Issue.
Although the interior design trends are headed toward bolder, more vibrant colors, neutral greys and tans are always in style. ‘Neutral’ doesn’t necessarily mean boring: here are three different ways to make a room with less vibrant colors still have a bold impact.
1. Dynamic Lighting
Although rooms with neutral colors can be warm and inviting, it can also end up being boring and dull. To prevent this from happening, look toward dynamic light fixtures. Avant-garde light fixtures like the chandeliers in this space offer a bright and eye-catching design. The additional brass fixtures diversify the textures in the space. Although almost all of the colors are neutral, the design of the room is anything but dull.
Photo courtesy of Sweetpea Willow
Photo courtesy of Brabbu Design
Don’t count out natural lighting, however. Bright sunshine can bring the neutral colors to life. The high glass doors allow for the natural light to shine through, and create a more lively and vibrant room in the process.
2. Contrast of Colors
The trick with designing rooms with neutral colors is a variation of those hues. Too much of one shade can make the entire space blend together, creating a boring look. Different shades of the same tones, however, can create a more vibrant style while also keeping a calm and comfortable atmosphere.
Although keeping with the neutral tones, this room stays bright and lively with its variation of those colors. The dark gray cabinets and chairs against the white brick walls creates a striking composition that’s both comfortable and eye-catching.
Photo courtesy of DelightFULL
Photo courtesy of Wallsauce
3. Varied Textures
To allow more variation in a space without getting too busy with the colors, look to diversifying the textures. Include different fabrics, tiles, stones, wood and more to add a more attractive style. The leather couch, painted mural on the wall and glossy wooden floors add variation to this space. But no matter which are used, the diversity of the textures will always give the room a beautiful, elegant design.
Photo courtesy of DelightFULL
W. Terry Potts
Country Club Properties
183 West Main Street, Highlands, NC 28741
828.526.2520 | ccp4terry@gmail.com | www.ccphighlandsnc.com
Country Club Properties is a fully independent real estate brokerage firm serving the country club market in the Highlands-Cashiers area. Completely independent from any developers, speculators or sales programs, Country Club Properties offers an untethered relationship. Area country clubs include Highlands, Wildcat Cliffs, Old Edwards Club, Mountaintop Club, Trillium Links Club, Cullasaja Club and Highlands Falls. Whether your interest is buying or selling real estate in the Highlands area, give Country Club Properties a call.
Listing by W. Terry Potts
Highlands, NC
Browery Road
One of the finest estates available in Highlands! Highrocks features gated access to a large private 3.6-acre lot with stunning views of Whiteside, and the valley vistas beyond. Featuring multiple stone fireplaces, water features, a custom dream kitchen, and Carolina room with a fireplace.
www.ccphighlandsnc.com.
$4,499,000.
W. Terry Potts originally appeared as an Elite Agent in the Unique Homes Spring ’19: Elite edition. See his page here.
No other property would be better suited for an issue devoted to prestige properties than the palatial waterfront mansion in Coral Gables, Florida, featured on our cover. It’s not often family, Miami and a palatial residence are mentioned in this same sentence, but that’s what makes this property is so spectacular.
The gated community of Gables Estates offers the ultimate in security, including patrols on the water. It’s not unusual to see children out on bikes and neighbors walking dogs here. Nearby are some of the best schools in the Miami. That’s one of many reasons why those who know the area see Gables Estates as one of the best neighborhoods, explains Sandra Fiorenza with ONE Sotheby’s International Realty, who is representing the property.
The 14,443 square foot residence itself offers a huge measure of security with concrete construction and windows that exceed hurricane standards. The exterior is clad with marble, and the same stone — all from a single source — is used on covered balconies and lanais that overlook an infi nity pool and the blue of the wide lagoon. Inside, light dances throughout the home. A neutral palate becomes an ideal backdrop to showcase exquisite details such as Venetian plaster and carved plaster moldings, marble columns and stone carvings. The overall effect is elegant and restrained.
An extensive master suite with his and her bathrooms occupies one wing of the second floor with an additional four en-suite bedrooms in an opposite wing. The home also has two offices, private staff quarters and a wine cellar. The site on the largest lagoon in Gables Estates also offers access to deep water and the ocean. With a new seawall and 140-foot dock, this could be the ultimate Miami home, as well as a perfect family compound. It’s easy to see why those who know the area see Gables Estates as one of the best places to call home. This Ultimate compound is priced at $25.9 million.
This editorial appeared in the Unique Homes Ultimate ’19 Issue.
With clean, sleek and modern furniture being the current trend, those with different styles can feel left out. But if your preference is furniture that’s more antique, you can have it both ways. These pieces can add beautiful conversation pieces for each and every space, while also staying on-trend.
This antique table adds so much character and charm to the space. With a unique design and intricate detail, the table adds a pop of color and a one-of-a-kind piece to bring the room together. Benches on the side create clean lines that add a subtle modern twist. Add a decorative lamp and some miscellaneous decorations on top to complete the look.
Photo courtesy of Covet House
Photo courtesy of Wallsauce
For more of a juxtaposition between the antique and modern styles, look toward bold representations of each. The mural on the wall is of Michelangelo’s painting on the ceiling of the Sistine Chapel. As one of the most famous pieces of classical art in the world, it adds a beautiful antique look to the space. Pair it with a modern couch and coffee table for a beautiful composition of both styles.
For a more antique look with less modern accents, look to rustic furniture, walls and floors. This space has an old world charm, and the cabinet’s bold yet faded color add to this style. The rugged wooden floors consisting of different hues contribute to the rustic charm as well. Add greenery and a beautiful mirror to bring the space fully together. The cabinet below has more modern accents to balance the antique style. The bold, retro lamps and decorative wallpaper create an eccentric character to the room.
Photo courtesy of Orchid Furniture
Photo courtesy of Orchid Furniture
This home in Bellevue, Washington, is redefining what it means to live in luxury. This stunning new construction is the perfect modern home for an individual or family.
Walk into through the solid mahogany doors to the foyer and see the unique and custom-made staircase to your right. The 5-bed, 6-bath home has the master suite on the main level and four en suite bedrooms on the upper level as well.
On the main level is also a home office, patio with a built-in barbecue and heaters a chef’s kitchen and so much more. Meanwhile, the upper level features an entertainment room with all the bells and whistles, convenient laundry room and cozy reading nook.
The chef’s kitchen with quartz countertops & backsplash, 14-foot island, a Wolf stove and Miele appliances.
This home has been thoughtfully designed with luxury and efficiency in mind, and is the ultimate form of luxury for its owner.
Candy Swick
Candy Swick & Company
2063 Main Street, Sarasota, FL 34237
941.954.9000 | www.candyswick.com
Listing by Candy Swick
Sarasota, Florida
18TH FLOOR SWEEPING BAY VIEWS! Unobstructed water views will forever grace this residence poised directly on Sarasota Bay. With only one floor above, this prime location lies beneath the protection of the penthouse and is high enough to see the Gulf of Mexico. This is the only double unit in the building with two garage parking spaces and over 3,000 square feet of interior living space plus two balconies. The combined Van Gogh & Renoir layout has three bedrooms, three baths, a study, dining, living and family rooms. Sensational water views set the stage in the main living area, perfect for entertaining. Located in a secure, 24-hour guard gated, Downtown Sarasota building with amenities.
www.candyswick.com.
$2,500,000
Candy Swick originally appeared as an Elite Agent in the
Unique Homes Spring ’19: Elite edition.
See her page here.
Chris Loffreno
Loffreno Real Estate, Inc
2100 Estero Boulevard, Fort Myers Beach, Florida 33931
239.463.2999 | 800.741.2986 | chris@loffreno.com | FortMyersBeachRealEstate.com | Loffreno.com
Fort Myers Beach is a laid back casual beach town on Estero Island, off the Southwest Florida coast. A long, sandy beach faces the Gulf of Mexico, and offers the bay on the other side of the Island featuring fresh seafood off the docks. Boating and fishing are boundless from the island or its offshore Gulf waters. A short drive brings you to neighboring communities of Naples, Sanibel and Captiva. There are numerous stores and shopping centers, waterfront dining and an array of water sports and activities. There is always something to do in this active beach town!
Listings by Chris Loffreno
Classic Florida Beachfront Enclave
Your island estate located in a secluded and private setting just off road. An extended driveway greets you to this outstanding gulf-front property of two attached homes. Upper $2 million.
Chris Loffreno originally appeared as an Elite agent in the Unique Homes Spring ’19: Elite edition.
Slanted ceilings have made their way outside of the attic, now in living, dining and bedrooms. Designing under these slopes can be tricky, but there are ways to get around it — and even use them to make the room more elegant and spacious. Here’s how:
1. Light and Airy
Whenever you’re tight on space, adding a coat of white paint to the ceilings and walls can make all the difference. Not only does it add a simple and natural tone, but it’s malleable to design the room to your style.
Photo courtesy of English Blinds
Photo courtesy of Oak Furnitureland
The blank canvas that comes with white walls and ceilings allows for limitless creativity. Create a nautical look for a more relaxed vibe, or add bold colors to make the space stand out. With a white canvas, slanted ceilings can do no harm.
Photo courtesy of Melody Maison
2. Lighting the Room
Lighting a room can be the most difficult challenge when designing a space under slanted ceilings. Many don’t think they can use any overhead lighting, since the ceiling is on a slope. In reality, however, it isn’t impossible — it’s all a matter of picking the right light fixtures.
This is a simple yet elegant style for light fixtures that work perfectly on slanted ceilings. The wires can slightly slightly bend, so that they hang naturally.
Another great way to add natural light under slanted ceilings is with skylights. They flood the room with natural light in the daytime and add a unique and stylish look to the space.
3. A More Natural Look
Sometimes, however, it’s better to let the slanted ceilings add a unique design to the room, rather than hide them with an all-white hue. Adding wooden beams can do just the trick. When the ceilings aren’t too low, wooden beams won’t emphasize the height, but add a beautiful finish to the room instead. Light or dark browns for the wooden beams create a beautiful, natural look that goes with any style.
Photo courtesy of Covet Valley
Photo courtesy of Covet Valley
Investment is a great way to grow wealth over time and can be a game-changer for most people. It can help you generate cash, providing you an additional source of income and even have you covered with regard to retirement. Either way, if done right, investment builds wealth. Naturally, investing your hard-earned money can be an overwhelming challenge since there are a wide range of investment options to choose from. At this point, assessing your personal risk tolerance and time horizon helps you to decide where and how to allocate your investments.
Condominiums
As with any investment, there are several variables that can influence the outcome of your investments. Condos are in high demand among millennials, and so, investing in them can be a great move if you make smart decisions and purchases. Unlike most housing options, the management of the condominium tends to its maintenance and upkeep, meaning you save time, energy and money. Condos typically come with premium amenities such as swimming pools and gym, yet the purchase price is generally cheaper than single-family homes. When it comes to investing to provide future income, investing condominiums tend to be a safe bet. Head on over to get a listing in this location.
Photo courtesy of Unsplash
Dividend Stocks
If you’re open to taking on a little more risk, dividend stocks may be an option for you. Including both common and preferred stocks, the equity market can provide great possibilities for future income. Invest in companies that have safe dividend payout ratios and, in return, the portion of profit for shareholders is distributed among the shareholders. Generate income on the basis of the number of shares you own.