11 of the most massive real-estate price cuts we've seen in the past year, from the 70% discount on Michael Jackson's ranch to a $350 million price drop on an LA hilltop

Marissa Perino

Mar 7, 2019, 23:43 IST

11 of the most massive real-estate price cuts we've seen in the past year, from the 70% discount on Michael Jackson's ranch to a $350 million price drop on an LA hilltop

Courtesy of Concierge Auctions

The downstairs of a Florida mansion, which received a $115 million price cut in January.

In the past year, several notable million-dollar properties have received massive price cuts.
As luxury mansions and penthouses sit on the market for months - sometimes years - owners have opted to chop prices.
These discounts on expensive properties, such as Michael Jackson's ranch, can be as high as 70% reductions over time.

Recent price cuts to multi-million-dollar properties include Michael Jackson's Neverland and an empty Beverly Hills plot, but they are not alone.

In the past year, Business Insider has reported almost a dozen massive price reductions on mega-mansions and penthouses. The latter sometimes results in the sale of separate apartment units, which are more marketable than the full complex.

One such home is Shaquille O'Neal's Florida mansion, which has an indoor basketball court and has seen a $6 million price chop since it was listed in 2018. Business Insider's Lina Batarags previously reported that the hidden dangers of customization in luxury homes is that over-customization makes some properties hard to sell.

While some homes listed below still remain on the market, others successfully sold after their price chops, such as a $159 million mansion in Hillsboro Beach. The mansion sold in January after three years on the market and a whopping $100 million reduction.

Keep reading for a look at some of the most expensive real-estate cuts over the past year, from lived-in celebrity homes to brand-new apartments.

1. Michael Jackson's infamous Neverland Ranch is back on the market for $31 million.

Originally listed for $100 million in 2015, the property was reduced to $65 million in 2017. Its most recent cut reflects a 70% drop from its initial asking price.

2. Meanwhile, in Los Angeles, a 4-level mega-mansion once listed for $250 million ...

... got a $100 million price cut in January and is now on the market for $150 million. The property includes an in-house bowling alley, along with a movie theater, luxury car gallery, and five bars.

3. Nearby in Beverly Hills, an empty hilltop plot nicknamed "The Mountain" was initially listed for a whopping $1 billion ...

... but received a $350 million price chop in February, lowering its asking price to $650 million. Despite this massive cut, the property is still the most expensive listing in LA.

4. Even further south on the California coastline, business mogul Warren Buffett's Laguna Beach vacation home finally sold for around $7.5 million after two years on the market ...

... but not before receiving a $3.5 million price cut from his original $11 million asking price, representing a hefty 30% discount.

5. In New York, a SoHo penthouse initially listed for $65 million received a $5.5 million price cut ...

... reducing its asking price to $59.5 million. However, like the LA hilltop, this property will still break records if it sells for this asking price. If purchased for $59.5 million, it will be the most expensive apartment ever sold in downtown NYC.

6. Farther uptown, a Central Park penthouse in New York City's tallest residential building received a $21 million price total price cut before selling in February. The penthouse's initial asking price was $82 million.

After sitting on the market for two years, the penthouse was split into two luxury apartments. The separate units sold for $30.7 million and $30.2 million.

7. Nearby, a luxury townhouse dubbed "Versailles in Manhattan" has been on and off the market for over a decade.

Now listed for $19.75 million, the home's highest asking price was for $35 million in 2007. This represents a $15.25 million price drop over the course of 12 years.

8. Meanwhile, a mansion modeled after the Palace of Versailles in Florida received a much heftier $115 million price cut ...

... bringing its asking price down from $159 million to $42.5 million at an auction in January. The 11-bedroom and 22-bathroom mansion is located on "Millionaire's Mile" in Hillsboro Beach.

9. In Windermere, Florida, famed NBA player Shaquille O'Neal is selling his $22 million mansion.

The mansion has gotten a $7 million price chop: When the mansion first appeared on the market in 2018, it asked for $28 million.

10. In Michigan, the world's largest cabin sits on 5,000 acres of wooded property and includes its own private marina.

The owner of the "Granot Loma" discounted the property by 50% discount, reducing its $40 million price to $20 million last July.

11. Finally, news broke overseas that billionaire Ken Griffin purchased a luxury London house for £95 million, or $123 million.

While the sale was still one of the most expensive home purchases recently, the mansion once had an asking price of £125 million, or $165 million.

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