Like any expensive hamlet with both blue blood and blue collar roots, the Hamptons have seen the spectrum of wealth including old and new money. Descendants of old fashioned industrialists have given way in the recent buying boom to Wall Street masters of the universe and hedge fund managers who may be completely self-made. While Southampton may have had the reputation of being old money, and East Hampton that of being new money, the lines have been blurred.
It’s no secret that the high end of the market has held strong with twenty-million-dollar properties being labeled the “sweet spot.” However, now even at the top, there seems to be some wiggle room where the high end has sold for less than asking. According to Newsday, the Philip Johnson Sagaponack oceanfront contemporary and Norman Jaffe Southampton oceanfront sold for $22 and $18 million respectively.
Jamie Johnson, the Johnson & Johnson heir and director of the documentary “Born Rich” has a theory he has developed from his peers, which he posted on the Huffington Post. “Another subject I recently interviewed blamed what he called mere ‘centa-millionaires’ for the breakdown in exclusivity of his elitist
world. For him, the overnight stars of the seven-year bull market not only overcrowded private air travel, but also drove up the price of high-end real estate. Buying a third home in the Hamptons became a burdensome experience for him. As far as he was concerned, there was
just too much urgent demand, and although he could easily afford the asking prices, he found the heightened numbers personally offensive. He did assure me at the end of our conversation, however, that as soon as he sees the recession start to hit people, he’ll be the first to buy.”
Interesting in a market where another Johnson & Johnson heir, Mary Lea Johnson’s former Southampton estate is the subject of the $65 million “Who Bought It?” mystery currently unfolding. According to Newsday, the listing agent Beate Moore claims Tiger Woods is actually not the buyer. Maybe we should ask Jamie if he knows who the buyer is.
Our real estate columnist Heather Buchanan lives in Sag Harbor. Email her with comments and tips and see more of her writing at HamptonsHeather.com
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