Manhattan Developer Lists $125 Million Hamptons Estate
Luxury property developer Ben Ashkenazy and his wife Debra have put their 76-acre equestrian estate in Water Mill on the market for $125 million, setting a new record for the highest-priced coastal vacation home listing in New York. The property boasts a 20,000-square-foot residence with eight bedrooms, nine fireplaces, and upscale amenities, all acquired for $26.7 million between 2015 and 2016. Additionally, the estate features Pinnacle Farm, a horse-training facility complete with a 16-stall barn and riding arenas. Despite this sale, the Ashkenazys plan to retain their beachfront home in Southampton, demonstrating their continued presence in the prime real estate of the Hamptons.
The Hamptons real estate market has experienced a significant upturn, with sales doubling in the second quarter and reaching a median price of $5.7 million. This listing occurs at a time when Ashkenazy faces public financial challenges, including the foreclosure of two properties on Madison Avenue. If the estate is sold at the asking price, it will surpass the previous record set by Marcia Riklis, who sold her eight-acre property for $112.5 million the year before. Notably, the Hamptons has captured the interest of high-profile buyers this summer, such as Ann Tenenbaum, widow of the late financier Thomas Lee, and Vornado CEO Steve Roth.
Key Takeaways
- Ben Ashkenazy lists 76-acre Hamptons estate for $125 million, making it NY's priciest coastal listing.
- The 20,000-sq-ft property features eight bedrooms, nine fireplaces, and luxury amenities like hand-carved bathtubs.
- Includes Pinnacle Farm with a 16-stall barn, eleven paddocks, and both indoor and outdoor riding arenas.
- Hamptons real estate sales surged in Q2, with the median sale price hitting $5.7 million.
- Ashkenazy faces financial challenges, including foreclosure on two Madison Avenue properties.
Analysis
The decision to list the $125 million Hamptons estate amid financial struggles reflects a potential strategic divestment strategy to alleviate debt. While this move could help stabilize Ashkenazy's portfolio, it might also signal a broader retreat from high-stakes real estate ventures. The Hamptons market, fueled by affluent buyers, could witness further increases in property values due to limited supply and growing demand. However, this trend may lead to market saturation in the long run, affecting affordability and investment returns. Financial instruments linked to luxury real estate might see short-term gains, but could face volatility if the market becomes overheated.
Did You Know?
- Ben Ashkenazy: A prominent Manhattan-based real estate developer with a focus on upscale real estate markets.
- The Hamptons: Part of Long Island, NY, known for its upscale lifestyle and luxury real estate, attracting high-net-worth individuals and celebrities.
- Foreclosure: The legal process of a lender taking ownership of a property due to the borrower's failure to make mortgage payments, reflecting financial challenges in managing debt obligations.