Tech Tycoons pays $15 million for Palm Beach vacation rentals
Tech moguls Chad and Doug Clark made their first real estate investment in South Florida, paying $14.7 million for a vacation rental property in Palm Beach.
The brothers purchased the six-unit apartment building at 106 Hammon Avenue in an off-market transaction, according to broker Sabra Kirkpatrick. The property is one lot from the ocean and one block from Worth Avenue.
Kirkpatrick and Richard Berman of Brown Harris Stevens represented the seller and the buyer.
The Clarks are the founders of Splikity software, which logs customers’ passwords, syncs the data across their devices, and inputs it to various websites. Splikity is based in the Greater Phoenix area.
An entity run by real estate investor Jean Bernard Pierre Louis sold the two-story building. He paid $5.6 million for it in 2016, records show.
The units, fully furnished and each with two bedrooms and two bathrooms, are currently all rented on a monthly basis, Kirkpatrick said. The building was renovated about 15 years ago.
It was built in 1940, according to property records.
Monthly rents are around $12,500, according to Doug Clark.
They’re planning renovations, including new furniture and decor that show off the Palm Beach style, but also give it “a bit of modern flair,” Chad Clark said.
The property’s small, intimate style offers Palm Beach vacationers an alternative to other options on the island, Doug Clark said.
“Typically it’s in large, high-rise condominiums, which gives residents a boutique feel and also kind of like a unique family feel,” he said. “That’s what I would want if I rented accommodation on the island.”
The Clarks said they also have real estate investments in Arizona and California.
Palm Beach, home to renowned shops and restaurants on Worth Avenue, isn’t known as a vacation rental hotspot. The barrier island is best known for its mansions, owned by celebrities, royalty and big bosses from various industries.
In recent months, mansions have traded at exorbitant prices.
This month, Jordanian Princess Alia Bint Hussein, the daughter of former King Hussein bin Talal, sold her waterfront home at 1330 North Lake Way for $45.4 million.
Also this month, fashion designer Tommy Hilfiger and his wife, Dee Ocleppo Hilfiger, flipped their non-waterfront home for $12 million, up 33% from a year ago. Fox News host and political correspondent Bret Baier and his wife, Amy Baier, were the buyers.