LA market’s first $20M home sale of year comes from Pacific Palisades
All-cash deal follows flurry of activity in December for high-priced houses
The first luxury house sale of 2024 came from Pacific Palisades, rather than the typical locales in Malibu, Beverly Hills or Brentwood.
The mansion located at 211 Alma Real Drive traded for $20 million in an all-cash deal on the first business day of the year.
The home was initially listed for $39 million in March 2023. During that year, it was on and off the market and went through a couple of price reductions. Before going under contract, it listed for $25 million.
Based on more than a half-acre of land, the house, which stretches out to about 9,200 square feet, sold for about $2,169 per square foot.
Seller HSP211 LLC, linked to an entity named the Pardee Marital Trust, was represented by Christopher Damon and Joyce Rey of Coldwell Banker Realty, who joined the listing effort in September. The buyer was represented by Harrison Trachman and Andrianna Chakava of Coldwell Banker Realty. The buyer was not identified.
Rey said the New Year deal followed a spurt of activity in December. The market became more active last month when the Federal Reserve signaled it intends to decrease interest rates, she said. According to a report from brokerage Douglas Elliman, there was a 15 percent increase in signed contracts for luxury homes during December for the greater L.A. market.
While buyers have become more confident, concerns remain.
“For sellers, the ULA (wealth transfer tax) remains a major topic and concern. Are they accepting it and not liking it? Yes,” Rey said.
The year’s first mega-deal follows a tough 2023 market across the country and in Pacific Palisades. In a year-over-year comparison, there was a 44 percent drop in sales for Pacific Palisades homes priced over $10 million. In 2023, 18 homes priced at $10 million or higher sold in the Palisades. In 2022, 32 homes priced above that threshold traded, according to research from Amalfi Estates, a luxury agency headquartered in Pacific Palisades.
As for the listing’s price reductions, the high price may have been aspirational, said Anthony Marguleas, founder of Amalfi Estates.
“It is not uncommon for closings to go for 50 percent to 60 percent below the original asking price,” he said.