As Miami Beach cements its reputation as a playground for the rich, with pied-a-terre priced in the tens of millions, one of its nearby, tony private islands is getting down to serious business.
Tucked off the shores of Surfside in Biscayne Bay, Indian Creek Island has become known as a “billionaire bunker.” Its 86 residents include four of America’s top 500 richest people, according to Forbes: activist investor Carl Icahn; hedge fund manager Eddie Lampert; car dealership owner Norman Braman. and mutual fund mogul Charles Johnson. Add to that Colombian Jaime Galinski, who has recently landed on Forbes’ world billionaires list.
No need to feel sorry for the island’s other residents, though, who include crooner Julio Iglesias, retired Dolphins coach Don Shula, Turnberry Associates co-CEOs Jackie Soffer and brother Jeffrey, who is married to supermodel Elle MacPherson. Others with Indian Creek addresses include Spanish-language TV personality “Don Francisco,” whose real name is Mario Kreutzberger; Hotels.com co-founder Bob Diener and industrialist Gilbert Bigio, considered one of the wealthiest people in Haiti. Even music magnates Jay-Z and Beyonce were once homeowners.
Island home sales have been selling at whopping — and often record — prices, such as the $47 million paid by a Russian billionaire in 2012 for a newly constructed, 30,000-square-foot mansion. Earlier this summer, steel tycoon Leroy Schecter sold his 22,686-square-foot house for $28 million to an undisclosed buyer.
Where the island used to be filled mostly with vacation houses for the wealthy, now families are constructing extravagant dream homes to live in. All 35 properties have waterfront views, with an exclusive golf course and country club taking up the center of the 294-acre island.
With the economy improving and adjacent neighborhood Surfside adding entertainment and dining options, potential buyers are warming up to Indian Creek, said Klepach, who also serves as mayor of the incorporated Indian Creek Village. The island is protected by a 10-officer police force, including 24-hour marine patrol. That has led to property taxes that are among the highest in Miami-Dade County, at a 8.3782 millage rate for city taxes, alone.
Indian Creek Village was established in 1939, and a few of the properties still date back to the ’50s and ’60s. But for the most part, the smaller houses of that era are making way for sprawling mansions.
The resurgence of entertainment options in Surfside plays a role in drawing young people to Indian Creek, Alexander said. For example, the new Four Seasons Private Residences now under construction on the site of the nearby Surf Club will give Indian Creek residents an opportunity to buy a beach apartment for guests, he said.
As Indian Creek Island becomes known for its space, security and location, home prices will continue to skyrocket, prices will increase 20 to 25 percent in the next few years.
