Fort Lauderdale is currently experiencing a rapid increase in property prices as wealthy buyers, outbid by the super-rich in other desirable locations, seek new opportunities here. The city, once known for its wild Spring Break scene, is now becoming a home for millionaires looking for more affordable places to dock their superyachts.
An example of the boom is the villa "733 Middle River", which has come onto the market with an AstroTurf-covered pool deck for $47.9 million. This represents an increase of over 60 percent compared to the purchase price 16 months ago. Another property in the area is being offered for $50 million, and a beachfront house that sold last year for a local record of $40 million is now for sale for $47.5 million.
I never thought Fort Lauderdale would fetch such prices," said Rick Teed, the luxury realtor who sold "733 Middle River" and had worked as a realtor in San Francisco for 17 years before moving to Miami in 2021. "I was just as surprised, but the market is changing.
Situated between the glitz of Miami and the glamour of Palm Beach, Fort Lauderdale is developing into a preferred destination for wealthy buyers seeking more affordable alternatives. The influx of affluent newcomers, including prominent billionaires like Jeff Bezos and Ken Griffin, has driven up real estate prices across Florida, pushing other affluent buyers into more suburban areas like Palm Beach Gardens and Boca Raton, as well as overlooked cities like Fort Lauderdale.
Before the pandemic, the most expensive property in Fort Lauderdale was sold for $17 million. Today, 18 houses are listed for more than that amount, according to Zillow. The average house price in the area is $530,000, reflecting a 59 percent increase since 2019.
If someone comes to Palm Beach and realizes they can't afford the market," Teed said, "they decide to save $10 million and stay in Fort Lauderdale.
Among the prominent buyers is also soccer star Lionel Messi, who last year bought a nearly 11 million dollar house in Fort Lauderdale to be close to the Inter Miami CF stadium and training facilities.
Teed Also Represents Anthony DeGradi, Owner of the Surgical Network Surgicore in the Greater New York Area, Who Purchased His Home in Fort Lauderdale Last Year for $29.5 Million. DeGradi Acquired the Property "733 Middle River" Before Completion and Invested an Additional $100,000 in Landscaping Before Relisting it at a Price More Than 60 Percent Higher Due to Increased Demand in the Area.
The villa with five bedrooms features AstroTurf terraces, a black and gold motorcycle under a stairway (which comes with the house), a putting green on the third floor, and a helipad. It also has a superyacht dock, which becomes attractive due to the many inland waterways of Fort Lauderdale.
The 13,000-square-foot, L-shaped house represents the contrast between old and new in the city. Located in a gated community, it is surrounded by ranch houses and pastel-colored villas from the 1980s, as well as newer, modern homes that are mostly still under construction.
There are further changes in Fort Lauderdale. A Michelin-starred chef has recently opened a restaurant in the elegant Four Seasons Hotel. A luxury residential and hotel complex on the waterfront is offering its newly renovated penthouse for $15.5 million, which would set a record for a home price in the city.
Nevertheless, a part of the wild Spring Break past remains. One of the city's main streets continues to attract thousands of college students who party in bars with bikini servers offering tequila shots in test tubes.
Fredrik Eklund, known for real estate searches for the super-rich in New York and Los Angeles and recently moved to South Florida, says: "People are being pushed out of Miami and Palm Beach." Fort Lauderdale is popular with Northeastern Americans who want to set foot in South Florida but may not be looking for something super large or expensive. "The market is maturing in a way that excites me," said Eklund.
