A star-studded secret beach enclave hidden behind a verdant façade in California has emerged as one of America's most coveted real estate hotspots.
Dubbed 'Billionaires' Bluff' by local realtors, Paradise Cove in Malibu is a mile-long stretch of beach that is considered by many to be a coastalcounterpart to New York City's exclusive Billionaires Row near Central Park.
Located just 35 miles from downtown Los Angeles, this ultra-private community ishome to some of the world's most famous celebrities and business moguls - and regularly breaks records for the most expensive properties ever sold in the state.
Venture capitalist and tech titan Marc Andreessen, who recently threw his weight behindDonald Trump's presidential campaign, once held the record for the area's priciest home sale after paying $177 million or a seven-acre compound in 2021.
Meanwhile, Steve Jobs' widow Laurene Powell Jobs - a close ally of Vice PresidentKamala Harris- hasamassed a $170 million property empire in the cove through four purchases since 2015, including a recent $94 million acquisition.
'Rich people like to congregate and they’ve congregated here,' local agent Leonard Rabinowitz told theWall Street Journal.
Paradise Cove, a secluded stretch of Malibu coastline, has become the ultimate luxury real estate destination
Paradise Cove boasts a star-studded community including Beyoncé and Jay-Z, Marc Andreessen, Powell Jobs, Jan Koum, Edward H. Hamm Jr., Byron Allen, John McEnroe, Mark Burnett, and Leonardo DiCaprio (to be)
Recent years have seen a flurry of high-stakes real estate deals, solidifying this stretch of coastline asCalifornia's most coveted star-studded beachfront address.
Since 2020, three homes have sold for over $100 million in the area, accounting for a third of all such deals in the Los Angeles area during that period, the Wall Street Journal reported.
In 2023, music power duo Beyoncé and Jay-Z bought a 42,000 square foot compound for $190 million in cash.
This May 2023 transaction briefly held the title of California's most expensive home sale until June of this year,
Prior to Beyonce's purchase, venture capitalist Marc Andreessen, who has thrown his support behind Republican presidential nominee Donald Trump, and his wife, Laura Arrillaga-Andreessen, held the record for the most expensive home sale in the area.
In 2021, they acquired a seven-acre estate formerly owned by fashion titans Serge and Florence Azria for $177 million.
The property boasts a 10,000-square-foot main house, along with two guest homes, a theater, and a spa.
In 2023, music power duo Beyoncé and Jay-Z bought a 42,000 square foot compound for $190 million (pictured) in cash. The May 2023 transaction briefly held the title of California's most expensive home sale until June of this year
Prior to Beyonce's purchase, venture capitalist Marc Andreessen and his wife, Laura Arrillaga-Andreessen, held the record for the most expensive home sale in the area. In 2021, they acquired a 7-acre estate for $177 million. The property boasts a 10,000-square-foot main house, along with two guest homes, a theater, and a spa
Located just 35 miles from downtown Los Angeles , this ultra-private community is home to some of the world's most famous celebrities and business moguls
The area has also attracted other high-profile buyers.
WhatsApp co-founder Jan Koum assembled two neighboring estates for a total of $187 million between 2020 and 2021.
In 2023, film producer Edward H. Hamm Jr. known for Get Out (2017), The Box (2009), and God Bless America (2011), bought a home from gaming industry figureheads Jonathan and Helen Musk for $91 million.
And in 2022, media mogul and founder of Entertainment Studios Byron Allen purchased a Malibu estate from the heiress of Public Storage Tammy Hughes Gustavson for $100 million.
These newcomers join an exclusive club of established celebrities already residing on the bluff - including tennis great John McEnroe, The Apprentice creator Mark Burnett, and Kari Clark, widow of legendary TV host Dick Clark.
A number of celebrities already have resided on the bluff for years, including tennis great John McEnroe (whose house is pictured), The Apprentice creator Mark Burnett, and Kari Clark, widow of legendary TV host Dick Clark
Pictured: A map of Malibu, CA, pin pointing the exclusive enclave that is Paradise Cove Bluff
Pictured: Barbara Streisand's mansion, which her and her husband purchased for $16.5 million
Adding to the star power of the neighborhood, Leonardo DiCaprio is currently building a home on Paradise Cove.
He acquired Burnett's property for $23 million in 2016. The land was previously owned by acclaimed director Ridley Scott, best known for his part in Alien (1979), Gladiator (2000), and other science fiction and historical dramas.
But why Paradise Cove?
John McNicholas, a real estate agent with Compass in Los Angeles, told DailyMail.com that the name of the game is total seclusion while also offering enough multi-acre lots for moneymakers to enjoy the fruits of their labor.
'The bluffs of paradise cove are the only place where a celebrity or high performance billionaire businessperson could have this time of oceanfront privacy while still being less than 35 mins to the west side of Los Angeles,' said McNicholas.
Powell Jobs (pictured), widow of late Apple founder Steve Jobs and head of Emerson Collective, expanded her Paradise Cove compound with a $94 million purchase. This latest acquisition brings her total investment in the cove to over $170 million, assembled through four separate transactions between 2015 and 2024
The allure of Paradise Cove lies in its exclusivity, large property sizes, and direct beach access without excessive visibility
Paradise Cove's property values have skyrocketed due largely to an extreme shortage of homes on the market in Malibu, he added.
'The inventory is already limited, but it's becoming more limited as super compounds are being combined together across multiple lot'.
The exorbitant price tags typically deter most buyers. In fact, many homeowners in the cove are so affluent that selling is rarely a necessity.
This, in turn, creates a dynamic where these ultra-luxury estates often become 'hand-me-down mansions' passed among the super-rich.
'Due to the extremely elite and desirable nature of the property of this caliber, many of these properties are sold in off market deals before ever becoming publicly available,' said McNicholas.
One of the few properties currently available is a $85 million Greek-inspired estate owned by former Los Angeles Dodgers owner Peter O'Malley.
O'Malley has owned the 2.5-acre property since 2000 and is selling following the death of his wife, Annette, last year.
Paradise Cove and Malibu are exempt from the newly enacted Mansion Tax, formally known as Measure ULA.
John McNicholas (pictured), a real estate agent with Compass in Los Angeles, told DailyMail.com that the name of the game is total seclusion while also offering enough multi-acre lots for moneymakers to enjoy the fruits of their labor.
This tax applies exclusively to property sales within Los Angeles city limits. The surcharge is imposed on residential and commercial properties valued at over $5 million, with rates escalating to 5.5 percent for sales exceeding $10 million.
As the seller bears this added cost, it has significantly impacted high-end property transactions in the city.
'This is a game-changer for property owners in Paradise Cove, where homes routinely sell for over $100 million,' said McNicholas. 'Compared to similarly priced estates in Bel-Air, within Los Angeles city limits, property owners in Paradise Cove could save over $6 million in taxes per transaction.'
