Real Estate: The Malibu Colony is Hot Right Now

Real Estate Agent Michael Gardner

Demand for beach houses in the Malibu Colony ebbs and flows just like the tides. There are periods when there seems to be little demand because other beaches are “hot” or  the nightly news shows clips of storm waves battering the houses during an El Nino. Following any period of bad news, the lower-priced beach homes get scooped up, torn down, and rebuilt into Architectural Digest-worthy show places. With what I’m seeing now, we seem to be heading into the latter period.

In early 2013, the first major sale occurred with house #119 selling for $17 million. It was a spec house that originally came on the market at $23 million and was new from the ground up with almost 6,000 square feet.

Malibu Colony beach house

At the end of 2013, 23726 Malibu Colony Road sold for $17.35 million. This was just outside the gates of the Colony and was on a lot that was considerably larger than most anything inside the gates. This was owned by a well-known actor who appears in movies of “Titanic” proportions. It had three distinct structures making it ideal for soirees where guests may need to chill by the sea after a marathon party. 

Malibu Colony

Now, I’m hearing that the Malibu Colony #42 house went into escrow with an asking price of $18.9 million.

At one point last year there were 9 beach homes for sale in the Malibu Colony and nothing pending. According to the MLS today, there are only 5 active listings in the Colony and I’m hearing that the gate guards are busy letting agents in for appointments almost every day.

There are currently two homes for sale worth considering depending on your taste and budget.

If you want a brand new, amazing home, then Malibu Colony beach house #45 might be for you and is my pick for the best buy on any Malibu beach. It has active plans and permits for a spectacular Douglas Burdge Cape Cod-style beach home. This one is ready to close escrow and start building right away. You could keep the charming original beach cottage, but the real value is in the permit that is ready for a major property that should quickly be in the $17-$20 million range. The current list price is $13.25 million. If you manage to get a discount on that price, plan on putting $5-million-plus into the new home and you are into it for less than $18 million. Having an active permit to build saves you about two years of headaches dealing with the city.Malibu beach house for sale

Now, if you don’t want brand new and like to “collect” iconic architecture, you could go retro with the most unique and famous beach house of all time…The John Lautner currently being offered at $22 million

Call with any questions about Malibu real estate or the beach houses for sale in the Malibu Colony: 310.699.8428. For more on the Malibu Real Estate scene, visit The Malibu Real Estate Blog.