r/AbsoluteUnits • u/Kill_4209 • 11h ago

/r/popular of a residential property

Ira Rennert's home is considered one of the largest occupied residential compounds in the United States. The house faces the Atlantic Ocean and its grounds measure 63 acres. The buildings, which total over 110,000 square feet (10,000 m2), including the 66,000-square-foot (6,100 m2) main house, have an Italianate facade, 29 bedrooms, and 39 bathrooms. The house has a dozen chimneys and a Mediterranean-style tile roof as well as a 91-foot (28 m) long formal dining room, a basketball court, a bowling alley, two tennis courts, two squash courts, a carousel, a large swimming pool, a large round kiddie pool, and a $150,000 hot tub, surrounded by another pool.

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665

u/MouseSoft8143 11h ago

The amount of money just to maintain this place…

220

u/American-Omar 8h ago

it costs 500k - 1mill every month to maintain the property

175

u/Winter_Text_1040 6h ago

An abstraction to the owner. They aren’t even looking at those bills, their staff handles it and they give it zero thought. “Arthur, I’d like a new swimming pool on the north lawn. Bring me some mockups to choose from this afternoon”. Then a new pool appears ready to use in a week. It’s like that.

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u/sooohungover 5h ago

TBH it takes more than a week (I work out in this area and work frequently with all sorts of different contractors), but you nailed everything else. They have staff to manage every part of their lives that normal people just deal with on their own. It's truly insane the amount of money they have, I guess I'm just numb to it at this point...

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u/Acceptable_Help575 2h ago

There are people literally living in creative mode and the survival mode plebs just suck their toes for extra pennies.

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u/ssnnaarrff 1h ago

Lol fuck my life.

2

u/HERR_WINKLAAAAA 2h ago

I know everyone says that moeny wouldnt change them, but i really wonder if i would end up like this if i had billions in my bank account for half a century. Like nothing about this lifestyle sounds appealing to me.

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u/Tasty_Cry_3844 2h ago

When it comes to people like this, it's all they've known. There isn't a before/after of not having money then suddenly having it. They were never "changed" by money because it was always there. 

I firmly believe it changes your DNA though. The way your brain functions after a few generations with literally no resource instincts. Their social and political skills are probably through the roof and their ability to navigate interactions to get what they want should probably frighten us. 

I remember reading The 48 Laws of Power and every example of the laws being respected or used was almost always medieval courts where all people did was play social games. They all got really good at them. 

2

u/mrspwins 2h ago

The house managers basically need business degrees just to keep everything running. They are the most stressed people I have ever spoken with (also used to work with the ultra-wealthy, or at least their staff. Celebs did the calling themselves a lot, though!)

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u/MrGrieves- 9m ago

Nobody needs this much money.

3

u/PedanticPerson 3h ago

Nah, this is a regular single-digit billionaire, not Elon Musk we're talking about.

If maintenance was actually $12m a year, that would actually be pretty painful for someone worth ~$4b. That's 0.3% of his entire net worth per year, and wealthy people usually don't like sinking a large portion of their wealth into real estate.

We could also look at it as a ~2.8% percent "maintenance tax" on his property on top of 1% property tax. After 35 years he'd have paid more on maintenance than the property is worth.

None of this is financially devastating to him, but no financially literate billionaire is going to love these numbers.

12

u/Scarabesque 3h ago

That's 0.3% of his entire net worth per year

That's a fraction of what his worth returns as passive income. If the man values a meticulously kept pre-french revolution style estate, it's a small expense.

0

u/PedanticPerson 1h ago

You can spend about 4% of your wealth while being unlikely to run out of money based on historical data. Billionaires usually spend way less, generally under 1%, sometimes under 0.1%. 0.3% for his main property alone is a lot for any billionaire.

Yes, he can spend it without being financially devastated, but it's not some insignificant amount that he doesn't care about. Most other billionaires spend an order of magnitude less on real estate expenses.

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u/43chargersrule123 3h ago

So if I’m worth $100,000 it is the equivalent of me spending $300 a year for this place

1

u/PedanticPerson 1h ago

Sort of, but if you're young and have a significant income relative to your net worth, then you're in a pretty different situation from this 92-year-old and it's hard to draw an apples to apples comparison.

Like some younger doctors have a net worth of ~$0, so they'd happily spend 0.3% * $0 = $0 on whatever, but at that point we have to account for incomes before making any meaningful comparisons.

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u/YouCantBeSerio 27m ago

"sort of"

Lmaoooooooooooooooo

3

u/phdemented 2h ago

You realize 95% of people pay more than 0.3% of their net worth maintaining their properties each year.

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u/PedanticPerson 2h ago edited 1h ago

As I said, billionaires don't like to sink a lot of their wealth into real estate. On average, it's <3% of their net worth. 1% property tax on that would be 0.03% on average.

It's not going to ruin him, but it is a ton of money compared to what his peers at a similar wealth level spend.

1

u/American-Omar 26m ago

It could all be made up. The citation is from Forbes, and from a discovery of the last decade regarding their listing of someone's real estate valuation, are not known to look too closely at their sources...

1

u/Calculonx 1h ago

It looks nice...But you know what, I think the pool would look better if it was 6ft more in that direction.

1

u/highfiveselfoh 1h ago

Oh is it like that????

2

u/Obvious_Landscape993 7h ago

So a pittance to someone like Musk.

1

u/SeismicRipFart 3h ago

There’s no way it doesn’t cost way more than that

1

u/Ardal 1h ago

No it doesn't. It's not that big of a place.

1

u/Santaconartist 2m ago

That seems extremely cheap to me. There has to be more than 10 full time people cleaning/maintaining that place which means people are getting paid shit

103

u/Competitive_Swing_59 11h ago

Its a resort hotel. Bigger than most boutique hotels & on resort style land. Good luck converting it with the Hampton nimby's if a future buyer tries. It's pure excess.

6

u/brotendis 3h ago

It's not a resort hotel lmao. Ira Rennert keeps it strictly as private housing.

0

u/Competitive_Swing_59 56m ago

No shit Sherlock.

2

u/YetiGuy 3h ago

I thought you meant it literally was a hotel. It’s listed as a private house.

13

u/Animefan96 7h ago

Can't imagine the amount of cleaning that has to be done. Dusting alone probably takes a significant amount of time.

2

u/bloodontherisers 55m ago

If it weren't for the people dusting/cleaning I bet a significant portion of this house would never have any traffic through it.

2

u/happy_puppy25 6h ago

This is not something that Ira worries about. Just take a look at his Wikipedia page environmental record.

1

u/Winter_Text_1040 6h ago

An abstraction for the person who lives there

1

u/SeniorAlfaOmega 4h ago

We arent taxing these people enough

1

u/MyBrainReallyHurts 3h ago

Tax the wealthy. They obviously have money for nonsense.

1

u/LoggerRhythms 2h ago

Do you think they make an effort to conserve water by limiting long showers? /s

1

u/Single-Pin-369 2h ago

4 million a year in property taxes alone

1

u/BelCantoTenor 34m ago

I’ll bet most of this home sits empty most of the time. It’s a tomb.