In several prominent luxury real estate markets, affluent buyers are increasingly acquiring multiple adjacent properties to assemble expansive private compounds. This trend persists despite broader housing market vulnerabilities linked to higher interest rates and economic uncertainties, with luxury real estate driven by lifestyle preferences and significant wealth accumulation.
Mary Lee Blaylock, president of Coldwell Banker Affiliates, emphasized that buyers with available cash continue to make moves in the market. From January through May, sales volume for single-family luxury homes rose by 2.8% year-over-year, while median prices increased 4.7% to $1.83 million.
In Miami, brokers report a growing appetite for compound-style estates as wealthy individuals seek not only lifestyle amenities but also portfolio diversification through real estate. Danny Hertzberg, a local agent, noted that privacy, security, and inflation hedging are important factors motivating buyers to purchase multiple neighboring properties rather than a single large house. High-profile buyers have engaged in such assemblages, including Ken Griffin, who has spent over $450 million on a 27-acre compound in Palm Beach; Jeff Bezos, with more than $230 million invested in Miami’s Indian Creek Island; and Larry Ellison, who has bought extensively in Malibu, Incline Village, and Manalapan.
On Miami Beach’s Palm Island, agent Chad Carroll highlighted the premium placed on waterfront property, with many super-wealthy clients seeking 200 to 300 feet of private water frontage—often requiring acquisition of multiple lots. Carroll recently facilitated the sale of a double lot for $40 million to venture capitalist Benjamin Ling, who purchased the adjacent waterfront home for $27.9 million in 2021. The previous owner, home builder Pedro Adrian, had previously combined two parcels to build an 11,600-square-foot residence that includes a tennis court.
Hibiscus Island in Miami Beach offers another example, where investor Ibrahim Al-Rashid transformed land formerly hosting the Miami Beach Rod & Reel Club into a sizable compound. He initially acquired the property for $3 million in 2010 and expanded his holdings by purchasing two neighboring homes for $12.5 million combined during 2020 and 2021. His estate now features amenities such as a guesthouse, gym, spa, and man-made pond. Hertzberg observed that some buyers use adjacent properties for staff housing, gardening, or recreational purposes such as boating.
In Snowmass, Colorado, businessman Patrick Dovigi has bought multiple parcels for a total of $48.5 million, including a waterfront house and adjacent lots. He plans to expand his compound with additional facilities like a gym, spa, and padel court. Similarly, Dace Brown Stubbs, heir to the Jack Daniel’s company, acquired land initially to protect property views from development and later expanded her holdings by purchasing an additional 40 acres.
Where land is scarce, premiums for assembled parcels have become significant. In Manalapan, Florida, WeatherTech founder David MacNeil purchased two lots for nearly $93.5 million in 2024 and 2025 and has spent over $100 million on neighboring properties, with plans to acquire an additional parcel for $36 million. His consolidated holdings now cover approximately 5.5 acres, forming a compound that market experts describe as nearly impossible to replicate.
Al-Rashid estimates his Miami Beach compound’s value at approximately $100 million after about $45 million in investments. Meanwhile, the Stubbs family has listed 40 acres of their Snowmass ranch for $12.25 million. According to listing agent Carrie Wells, large private compounds remain uncommon in Aspen, as many landowners prefer to retain their properties rather than sell.