Luxury Real Estate Frank DiMaggio of Compass, just smashed another record in Arizona’s luxury real estate market, closing the state’s largest-ever land deal for a single-family home. DiMaggio represented the buyer for the transaction and has not disclosed his or her name, only to say they are locally based.
The off-market transaction, involving a sprawling five-acre parcel located at 5711 N. Yucca Road in Paradise Valley, sold for a record $12.5 million.
Situated within the coveted community commonly known as “Billionaire’s Row,” the property offers sweeping views of Camelback Mountain and sits among the expansive estates and compounds owned by Arizona’s elite.
“With an influx of buyers from California, Seattle and Portland, the Arizona real estate market is reaching an entirely new level of affluence,” said DiMaggio. “It’s becoming more like markets in Beverly Hills, Aspen and Greenwich, Connecticut, with sales numbers looking more like those you once saw only for waterfront properties or high-rise apartments in Manhattan.”
In Paradise Valley, zoning laws limit construction to just 25-percent of a lot’s total size, so buyers looking to build large-scale homes must find spacious lots to match. With properties of this size rarely hitting the market, DiMaggio notes, such opportunities drive competition and prices, mirroring the demand seen in other exclusive real estate markets like Manhattan and Aspen.
In addition to its large lot size and sought-after address, the land also has a level landscape, with its flat terrain and five continuous acres making it well-suited for construction.
This record-breaking sale is not DiMaggio’s first. The Compass agent, now in his fifth year of practice, also holds the record for the highest-ever price-per-square-foot paid for land in Arizona for a separate, 1.2-acre lot he sold for more than $7 million, or $129 per square foot.
DiMaggio has also averaged more than $100 million in sales annually for the past four years, becoming the first Arizona agent to do so while solidifying his status as one of the highest-producing real estate agents in the state.
Initially listed at $15 million before it was taken off-market, the Yucca Road land deal occurred after DiMaggio introduced the property to a cash buyer who was originally eyeing a different lot.
“Rarely, if ever, do five-acre lots come on the market in this neighborhood,” DiMaggio said, noting that the scarcity of such properties drives demand. “There are people that want to build 20,000, 30,000 or 40,000 square-foot homes, but the only real limitation is the lot size. There aren’t many lots like this that will ever exist in this area.”
While the local cash buyer’s construction plans are not yet finalized, DiMaggio expects the single-family home that will eventually occupy the property to span over 50,000-square-feet.
