"As long as affluent clientele regard Florida as a haven for lifestyle and tax benefits, the ultra luxury real estate market will flourish," listing broker Senada Adzem told CNBC.
Over the past five years, the Delray Beach market has more than flourished — it has skyrocketed. Since 2018, the average price per square foot of a luxury home — representing the top 10% of sales — in Delray Beach has more than doubled from $416 to almost $840, according to the Elliman Report.
The 102% rise in Delray Beach is even more impressive when you consider it outperformed both the Miami coastal mainland, which saw an 86% increase in luxury price per square foot, and the Manhattan, New York, market where the average price per square foot of a luxury home declined 2%.
The average luxury home sale in Delray Beach has also seen a dramatic rise, increasing 90% from $2 million in 2018 to $3.8 million in the last quarter of 2023.
"People tend to think of Miami and Palm Beach when the subject turns to high-end South Florida real estate," Adzem told CNBC. "But Delray Beach is, without question, one of the region's premier luxury residential markets."
Many of the town's high-net-worth residents have been drawn to an exclusive enclave called Stone Creek Ranch. The gated community is home to billionaire hedge fund manager Steve Cohen; National Football League star Khalil Mack; Gerry Smith, CEO of ODP, the parent company of Office Depot; and singer-songwriter Romeo Santos, to name a few.
Hewlett Packard Enterprise CEO Antonio Neri purchased a home here back in 2019 for $7.5 million. He sold it in 2022 for $14 million, an almost 87% increase in under three years. Both deals were brokered by Adzem.
"I purchased the home because I loved it and the neighborhood. It also turned out to be an extraordinary investment," Neri told CNBC.
Just last year, the 37-residence community saw its priciest sale to date when a 17,800 square-foot mansion at 9200 Rockybrook traded for $26 million, or about $1,460 per square foot, in a deal that was also brokered by Adzem.
While her latest listing, 9303 Hawk Shadow Lane, isn't the most expensive home to hit the market here, at almost $2,100 a square foot, it would be the highest price per square foot ever achieved in Stone Creek Ranch, surpassing the previous record by more than 40%.
"Trophy properties have gained momentum in the South Florida market over the past three years — for tax benefits, for safety reasons and because of the pandemic," Adzem told CNBC.
The real estate agent knows this high-end neighborhood well. Over the past four years, she has sold five properties here, twice each, and brokered more than $136 million in transactions — all of them within just 500 meters of her latest listing.
While buyers-turned-sellers, like Neri, have turned hefty profits in a short time, Adzem believes the market is still trending in the right direction. Limited supply helps.
"The high demand for estates within Stone Creek Ranch, with only 37 multimillion-dollar properties available, further underscores this market dynamic," said Adzem.
The one-story residence sits on 2.5 acres surrounded by a man-made lake.
Missing from the property's lush green landscape are Florida's ubiquitous palm trees. There's not a single one on the estate. Instead, the land is peppered with towering Italian Cypress trees, bougainvillea, rose bushes, pines and vegetation chosen for its resemblance to olive trees.
Adzem tells CNBC that landscape architect Krent Wieland and the owners opted for greenery that would make the residence feel less like a Florida mansion and more like a luxurious villa in the Italian countryside.
"Every detail of their surroundings was meticulously curated, inspired by the awe-inspiring vistas of southern Italy's countryside," said Adzem.
According to Adzem, Villa Ananda's primary suite spans more than 3,500 square feet, with two home offices, two walk-in closets, a pair of baths and a wellness area with an infrared sauna and massage table.
Interiors are designed by Inson Dubois Wood with bespoke furniture by Studio Liaigre, Adzem tells CNBC, and while the furnishings are not included in the asking price, they are negotiable.
Custom chandeliers in the living room, formal dining room, baths and even closets are crafted from a pearly-white rock called Selenite, a crystal that's formed when calcium-rich saltwater evaporates.
There's dining for twelve off the kitchen, plus a separate formal dining room that can accommodate 10 guests.
The kitchen's waterfall countertops are crafted from a white Calacatta Crema marble, and the wood floors are washed in a soft gray hue that resembles weathered drift wood.
Outside, there's a saltwater pool, 20-person hot tub, zen garden, fire features, a fruit tree orchard and rose garden.
The stone driveway leads to a parking courtyard flanked by air-conditioned garage areas for nine cars.
