Real estate industry is hungry for good news and the latest news of a Woodside, California home fetching an astronomical $117.5 million has boosted the sentiment of the market. The significant transaction came to light much after the sale had taken place as the property was never listed officially for sale. Some people were not willing to buy the story because just sometime back even the prized 92 acre Flood Estate was sold for only $85 million. However after checking of all the county records it was confirmed that the transaction was valued at $117.5 million making it the most expensive home sale in US history. According to the records the CEO of Friedman, Fleischer and Lowe, Tully Friedman had sold the hilltop estate to SV Projects LLC which is basically a straw buyer entity attached to a Los Angeles law form. This process was adopted to maintain the privacy of the buyer though unconfirmed rumors suggest that the buyer is an Asian billionaire.
The Buyer is Rumored to be Japan’s Second Richest Man Masayoshi Son
Los Angeles Times has also carried a report on the sale and has alleged that the buyer is none other than Japan’s second richest man Masayoshi Son. He is estimated to be worth $7.2 billion by Forbes. Son has a strong connection with Silicon Valley as he has received both high school and university education in the area. He heads telecom giant Softbank which is planning to acquire 70% of Sprint Nextel for $20.1 billion. Even if the identity of the buyer is not certain it can be safely said about the transaction that it is the highest price on record ever paid for a single family home in US ever. The other transactions that came close to it are the Los Altos Hills mansion and the 40 acre East Hampton , N.Y. land parcel that were sold in 2011 and 2007 respectively for $100 million and $103 million.
Real Estate Prices in Silicon Valley are Expected to Keep Up the Rising Trend
The Woodside, California home is located on top of a hill that affords it a 360 degree view of the surrounding Woodside Mountains. The home is a kind of a complex that includes a 9,000 square foot neo-classical style house, a 1,117-square foot colonnaded pool house, a detached library, a “retreat” building, a swimming pool, a tennis court and formal gardens. It has been designed by architect Allan Greenberg who is based in East Coast. The home located in one of the most exclusive neighborhoods in Silicon Valley was completed in 2005. The neighbors include several tech billionaires like Gordon Moore, Jeffrey Skoll, John Doerr and Oracle chief executive Larry Ellison. The neighborhood’s median home price is a hefty $3,074,909 and has been rising steadily since 2011. Important industry experts of the area believe that the Silicon Valley real estate has seen a consistent upward trend because of a liberal flow of capital from Chinese investors and strong earnings recorded by the high profile tech firms like Google, LinkedIn and Facebook. The region is expected to witness more big-ticket sales this year. This most expensive home might even inspire current sellers to turn overly optimistic and hike their prices. In any case the real estate industry in the region is in a happy situation and is upbeat about the immediate future.