You’ve heard of Miami’s “Billionaire Bunker” and Star Island, playgrounds for the ultra-rich like Jeff Bezos and Ken Griffin.
But what about Fort Lauderdale?
Once famous for its frenzied spring break, “Fort Liquordale” is now a haven for millionaires driven out of Miami and Palm Beach – by billionaires.
Fort Lauderdale is experiencing a real estate boom, with home prices reaching historic highs. Case in point: a mansion in 733 Middle Riverwith a pool deck covered in synthetic turf, is on the market for $47.9 million. It is represented by Rick Teed and Daniel Tzinker of The Agency Miami.
That’s a 60% increase on its purchase price just 16 months ago. Another local gem is on the market for $50 million, while a beachfront home that sold for a record $40 million last year is now on the market for $47.5 million.
Teed is amazed by the transformation of the market.
“Believe me, I thought Fort Lauderdale wouldn’t attract these kinds of prices,” he said. Bloombergwho reported on this migration trend in Fort Lauderdale. “I was equally surprised, but the market is changing.”
Nestled between the glitz of Miami and the glamour of Palm Beach, Fort Lauderdale is becoming a haven for millionaires seeking more affordable luxury. The trend is part of a larger trend affecting real estate markets in Texas, Tennessee and especially South Florida.
The influx of wealthy buyers, including Griffin and Bezos, has driven up home prices across Florida. As a result, many wealthy buyers are turning to suburban areas like Palm Beach Gardens and Boca Raton, as well as the often-overlooked Fort Lauderdale.
Even the Florida region is seeing strong growth. Earlier this month, CoStar Group founder Andy Florance sold a beachfront home there for $28.5 million, breaking records.
Before the pandemic, the most expensive home in Fort Lauderdale sold for $17 million. Today, 18 homes in the area are listed for more than that, according to Zillow. The average home price has climbed 59% since 2019, to $530,000.
“When someone comes and starts looking in Palm Beach, they realize the market is out of price,” Teed said. “In Miami, they’ll see the prices are crazy, too. So they’ll decide to save $10 million and move to Fort Lauderdale.”
High-profile buyers include football superstar Lionel Messi, who found an $11 million house be close to the Inter Miami CF arena and training facilities.
Teed represents Anthony DeGradi, owner of Surgicore surgery centers in New York. DeGradi bought his Fort Lauderdale home last year for $29.5 million. He invested an additional $100,000 in landscaping, and the property is now listed at a price more than 60 percent higher due to high demand.
The property at 733 Middle River boasts lavish extras, like a black and gold motorcycle parked under a staircase (included with the home), a third-floor putting green, and a helipad. It even has a superyacht dock, befitting a city known for its vast inland waterways.
Fort Lauderdale is undergoing a transformation. A Michelin-starred chef recently opened a restaurant in the Four Seasons Hotel, and Pier Sixty Six, a luxury beachfront hotel and residences currently undergoing a billion-dollar redevelopment, is selling a penthouse for $15.5 million, which would set a city record for condo sales.
Yet the spirit of spring break remains intact. The town’s main street still draws crowds of college students, where bikini-clad waitresses hand out tequila shots in test tubes.
Fredrik Eklund, famous for finding homes for the super-rich in New York and Los Angeles, recently moved to South Florida.
“People can’t afford to live in Miami and Palm Beach,” Eklund told the outlet. “It’s a very popular market for people from the Northeast who want to get a foot in the door in South Florida, but don’t necessarily want something super big or super expensive. The market is maturing in a way that I’m excited about.”
