Lapatilla
September 29, 2024, 4:30 pm
The businessman who sold Jeff Bezos his mansion in Miami is suing the real estate company for lowering the price.
The Brazilian who sold Jeff Bezos a $79 million mansion on Indian Creek, an artificial island in Miami often referred to as the “billionaire bunker,” has filed a lawsuit against the real estate agents involved in the sale. Businessman Leo Kryss, the seller of the property, claims that Douglas Elliman agents failed to disclose that the buyer was the founder of Amazon, one of the richest individuals in the world, which could have improved his position by up to $6 million in negotiations, according to the Wall Street Journal.
By The Nation
The transaction was announced in October of last year and featured a “discount” of 7.1% from the property’s May listing price of $85 million. Bezos is estimated to have a fortune of $197.1 billion, according to Forbes’ real-time assessment.
The Brazilian purchased the property in 2014 for $28 million. Last May, he decided to place it on the market for $85 million. In June, he learned that Bezos had acquired the adjacent mansion for $68 million. When he eventually received an offer, Kryss inquired with the brokers about whether it came from the Amazon founder.
Additionally, according to the WSJ, the co-founder of Brazilian toy and electronics firm Tectoy states in the lawsuit that the CEO of Douglas Elliman assured him that Bezos was not the interested buyer. The dispute, filed in Florida state court, alleges that Jay Parker personally called Kryss to inform him that the prospective buyer would not agree to pay more than $79 million.
The sale was facilitated by Dina Goldentayer and Danilo Tavares in collaboration with Douglas Elliman. The listing describes the property as designed in a style that “exudes timeless European glamour,” measuring approximately 1,770 square meters and featuring a pool, theater, library, and wine cellar.
Who is the Brazilian who filed a lawsuit in the US over the sale of the mansion to Jeff Bezos?
At 75, Kryss is still regarded as a “living legend” among select operators in the real estate sector, yet he leads a low-profile life due to the fortune he has amassed. He relocated to Miami in 2013 with his wife and quadruplets. Despite his current discretion, Kryss has been involved in tumultuous events in the business world.
The businessman was born in Germany but moved to Brazil in the late 1950s, where his father established the Evadin electronics factory. Kryss acquired the company in the 1970s after his father’s death, and it was one of the first firms to set up shop in the Manaus Free Trade Zone.
Read more at The Nation
Brazilian Tycoon Leo Kryss Sues over Jeff Bezos Mansion Sale
Lapatilla
September 29, 2024, 4:30 pm
The Case of the Miami Mansion
Businessman Leo Kryss, known for selling a $79 million mansion on Indian Creek, Miami—often referred to as the “billionaire bunker”—has decided to take legal action against the real estate professionals involved in the transaction. The lawsuit stems from alleged misconduct where it is claimed that these agents concealed the identity of the buyer, Amazon founder Jeff Bezos. Kryss asserts that had he known he was negotiating with one of the richest men in the world, he could have significantly improved the sale price by up to $6 million.
Details of the Lawsuit
The lawsuit has brought to light several key arguments regarding the sale’s transparency and the behaviors of the involved real estate agents at Douglas Elliman. According to reports cited by The Nation, Kryss was assured by brokers that Bezos was not the interested buyer, which has become a central point in his claims.
Background of the Sale
The property was initially listed at $85 million in May 2024, but Bezos purchased it slightly later at a 7.1% discount. Interestingly, Kryss had previously purchased the mansion in 2014 for $28 million, indicating a significant upward trajectory in its market value over the past decade.
Key Dates and Figures
| Date | Event | Price |
|---|---|---|
| 2014 | Kryss Purchases Mansion | $28 million |
| May 2024 | Mansion Listed for Sale | $85 million |
| October 2024 | Mansion Sold to Bezos | $79 million |
Who is Leo Kryss?
At the age of 75, Leo Kryss is regarded as a notable figure in the real estate and business sectors, often described as a “living legend.” He moved to Miami in 2013 with his family and has maintained a relatively low profile since. Born in Germany, his family relocated to Brazil in the late 1950s, where they founded the Evadin electronics factory. Kryss later led the company, becoming one of Brazil’s early players in the Manaus Free Trade Zone.
Business Ventures and Background
- Family Business: Kryss took over after his father’s passing and expanded Evadin.
- Real Estate Investments: Over the years, Kryss has also made a name for himself in Miami’s luxury real estate market.
- Public Profile: Despite his wealth, Kryss is known for his discretion and low public visibility.
Understanding the Real Estate Process
The case highlights some critical aspects of high-value real estate transactions, including the ethical responsibilities of real estate agents. Here are essential points to consider in such high-stakes negotiations:
- Transparency: All parties should be made aware of potential buyers’ identities to foster honest negotiating opportunities.
- Market Value Assessment: Sellers should seek comprehensive appraisals to understand the true market value of their properties.
- Buyer Representation: It is imperative for sellers to engage agents who prioritize their best interests and maintain integrity in negotiations.
Implications of the Lawsuit
As the lawsuit unfolds, it could have significant implications for the real estate industry. It raises questions about ethics and transparency in property transactions, especially in luxury markets where the stakes are incredibly high.
Potential Legal Outcomes
- Increased Scrutiny: Real estate agencies may face more stringent regulations and oversight as a result.
- Industry Standards: The outcome could lead to the development of stricter ethical guidelines for real estate transactions.
- Financial Repercussions: Depending on the lawsuit’s outcome, the involved parties could face significant financial liability.
Public Reaction
The lawsuit has sparked considerable attention from the media and the public alike, as it involves high-profile figures and significant sums of money. Many are watching closely to see how the situation evolves, with discussions surrounding both business ethics and real estate practices dominating social media platforms.
For updates and more in-depth coverage, keep following reputable news sources like The Nation.