When we talk about luxury real estate in South Florida, we aren’t just talking about homes; we are discussing monuments to success. One of the most talked-about recent additions to Miami’s high-stakes real estate scene is the Michael Arougheti house, a stunning waterfront estate on the exclusive Sunset Islands. For those following the financial markets, Michael Arougheti is a known titan—the co-founder and CEO of Ares Management. But in 2022, he made headlines for a different reason: the acquisition of a breathtaking property that perfectly encapsulates the billionaire lifestyle.
Purchased for a staggering $31.5 million (often rounded to $32 million in real estate circles), this home isn’t just a place to sleep; it is a masterclass in modern design and architectural brilliance. The seller was none other than Randy Frankel, part-owner of the Tampa Bay Rays, adding a layer of sports-elite history to the property.
Property Overview: The Numbers Behind the Luxury
To truly appreciate the scale of the Michael Arougheti house, we first need to look at the raw data. In the world of ultra-luxury real estate, the specifications of a home tell a story of exclusivity and grandeur. Located at 1635 West 22nd Street on Sunset Island IV, this estate is a modern fortress of comfort.
The Vital Statistics
The residence spans a massive 8,533 square feet of living space. In a city where space is at a Premium, commanding this kind of square footage on a waterfront lot is a significant flex. The home features seven bedrooms and nine bathrooms, ensuring that guests and family members alike have ample privacy and comfort.
The structure is a two-story masterpiece built in 2020, featuring the latest construction technology and hurricane-proof standards—a necessity for the Florida coast. When Arougheti purchased the home in 2022, the transaction was financed via a substantial $21.1 million loan from J.P. Morgan. This financial structuring is typical for high-net-worth individuals who prefer to keep their capital liquid even when buying trophy assets.
A History of Value
The property’s history is as interesting as its architecture. Before it became the Michael Arougheti house, it was owned by Randy Frankel. What is shocking to market analysts is the home’s appreciation; Frankel had purchased it just a few years prior for significantly less. The sale to Arougheti represented a 120% markup, highlighting the explosive growth of the Miami Beach luxury market post-2020.
The home was originally a “spec” mansion (speculative build), constructed by the renowned developer Todd Michael Glaser and former NBA star-turned-DJ Rony Seikaly. This duo is famous in Miami for creating homes that sell before the paint dries. The architectural vision was executed by Domo Architecture + Design, with interior finishes curated by House of One. This collaboration ensured that the home wasn’t just big, but artistically significant.
Exterior and Grounds: Where Water Meets Sky
The true value of the Michael Arougheti house lies in its connection to the outdoors. In Miami Beach, the land—specifically, waterfront land—is the ultimate currency. This estate sits on a prime lot on Sunset Island IV, one of the four exclusive islands that make up the Sunset Islands community.
Waterfront Living
The backyard is an entertainer’s paradise. It features direct bay access, a non-negotiable for buyers at this price point. The property includes a private dock, capable of hosting a significant vessel, offering immediate access to Biscayne Bay and the Atlantic Ocean beyond. For a CEO like Arougheti, this offers a quick escape or a leisurely way to entertain clients on the water.
Dominating the outdoor aesthetic is a massive infinity-edge pool. The design creates a visual trick in which the pool water seems to merge seamlessly with the bay, forming a horizon of blue. Adjacent to the pool is a fully equipped cabana and a separate guest house. This setup allows long-term guests to stay on the property without encroaching on the privacy of the main residence.
Landscaping and Privacy
Privacy is the ultimate luxury for public figures. The Michael Arougheti house utilizes lush, tropical landscaping to create a natural barrier from the street and neighbors. Tall palms, manicured hedges, and architectural foliage frame the house, making it feel like a secluded resort rather than a suburban home.
The location on Sunset Islands also adds a layer of security. It is a gated community with 24-hour guarded entry, meaning unwanted visitors cannot simply drive by to gawk at the Ares CEO’s mansion.
Exterior Features at a Glance
Feature Details Luxury Appeal
Lot Size Expansive Waterfront Lot Offers rare privacy and direct ocean access.
Pool: Infinity-edge design creates a resort-style atmosphere, blurring the line between the pool and the bay.
Dockage Private deep-water dock Yacht-ready convenience for the nautical lifestyle.
Guest House: A detached structure that provides autonomy for guests or staff.
Security: Gated Island and Private Gates ensure the safety of high-profile residents.
Interior Highlights: A Masterclass in Design
Stepping inside the Michael Arougheti house, one is immediately struck by the volume of the space. The interiors, designed by House of One, focus on a “tropical modern” aesthetic. This style blends the clean lines of modernism with the warmth of natural materials, preventing the house from feeling like a cold museum.
Living Areas
The ground floor is dedicated to social spaces. It features an open-concept floor plan where the living room, dining area, and kitchen flow into one another. This flow is accentuated by floor-to-ceiling glass walls that slide open, effectively erasing the wall between the living room and the pool deck. This “indoor-outdoor” living capability is the hallmark of high-end Miami architecture.
The kitchen is a chef’s dream, likely outfitted with dual islands, top-tier appliances (think Wolf and Sub-Zero), and hidden pantry spaces to keep the counters clutter-free during parties.
The Primary Suite
Upstairs, the primary bedroom serves as a sanctuary. In homes of this caliber, the primary suite usually spans the entire width of the house to maximize water views. We can expect dual walk-in closets that rival high-end boutiques in size, and a bathroom that functions as a private spa, complete with a soaking tub overlooking the bay.
Technology and Amenities
As the home of a finance tech-savvy CEO, the Michael Arougheti house is undoubtedly a “smart home.” This includes integrated systems for lighting, climate control, security, and audio-visual entertainment, all controllable from a smartphone. Other likely amenities in a house of this stature include a home theater, a wine cellar, and a gym—essential for maintaining the high-performance lifestyle of a CEO.
Architectural Design: The Domo Touch
The architecture of the Michael Arougheti house deserves its own section. Designed by Domo Architecture + Design, the structure is a testament to contemporary geometry.
Modern Geometry
The house features a flat roofline and sharp, rectangular forms. However, these harsh lines are softened by warm woods and stone cladding on the exterior. The architects used a lot of glass, not just for views, but also to let natural light flood the house’s core during the day, reducing the need for artificial lighting.
Sustainable Luxury
Modern builds in Miami are increasingly focused on sustainability. While specific eco-specs of the Arougheti home aren’t public, homes built by Todd Michael Glaser in this era typically feature energy-efficient impact glass (to resist heat and hurricanes) and advanced insulation. The orientation of the house is likely calculated to minimize solar heat gain while maximizing the breeze off the bay.
The collaboration between the builder and architect resulted in a home that feels substantial and permanent—a fortress against the elements that still feels open and airy.
Location Value: Why Sunset Islands?
Location is the golden rule of real estate, and the Michael Arougheti house checks this box emphatically. The Sunset Islands are a group of four islands in Biscayne Bay, located just north of the Venetian Islands.
The Exclusivity Factor
Living on Sunset Island IV means you are part of a very small, elite club. The islands are strictly residential, with no commercial traffic. It is quiet, safe, and manicured. However, it is also incredibly central. Residents are just minutes away from the vibrant nightlife of South Beach and the high-end shopping of Bal Harbour.
Investment Potential
From an investment standpoint, Arougheti’s purchase was a strategic move. Waterfront property in Miami Beach is a finite resource—they aren’t making any more of it. As global wealth continues to migrate to Florida for its tax benefits and lifestyle, the demand for turnkey estates on the water continues to outpace supply.
Even at $32 million, the property holds its value. We have seen neighbors and similar properties in the area listed for even higher amounts as the market matures. The proximity to the Sunset Harbour neighborhood, which has become a hub for trendy dining and boutique fitness, adds to the walkable appeal of the location—a rarity in Miami.
Michael Arougheti Profile: The Man Behind the Mansion
To understand the house, you have to understand the owner. Michael Arougheti is a heavy hitter in the world of alternative asset management. As the co-founder, CEO, and President of Ares Management, he oversees a firm that manages hundreds of billions of dollars in assets.
The Ares Connection
Ares Management is a global leader in credit, private equity, and real estate. Arougheti’s career has been defined by spotting value where others don’t. His purchase of this home reflects that same mindset; he bought a tangible asset in a high-growth market.
Sports and Lifestyle
Interestingly, Arougheti’s connection to Miami goes beyond real estate. Ares Management has made significant investments in Inter Miami CF, the Major League Soccer club famously associated with David Beckham and Lionel Messi.
Owning a home in Miami Beach allows Arougheti to be close to this major investment. It facilitates face-to-face meetings with team ownership and allows him to host partners and potential investors in a setting that exudes success—the Michael Arougheti house functions as a secondary HQ for his Florida-based business interests.
Lifestyle Fit: A Day in the Life
What does life look like inside the Michael Arougheti house? It is a blend of high-octane business and deep relaxation.
Morning Views
Imagine waking up in the primary suite. The motorized shades rise to reveal a panoramic view of Biscayne Bay. A morning workout in the home gym follows, perhaps followed by a swim in the infinity pool. The environment is designed to recharge the batteries of a man who makes billion-dollar decisions daily.
Entertaining the Elite
As the sun sets, the house transforms. The lighting design highlights the home’s architectural features, turning it into a dramatic backdrop for social gatherings. With the open layout, Arougheti can host charity fundraisers, business dinners, or casual gatherings for friends and family. The catering team can utilize the chef’s kitchen while guests mingle on the pool deck, enjoying the cool breeze off the water.
The Weekend Routine
Weekends involve taking a boat out from the private dock for a cruise around the bay or a short drive to watch an Inter Miami game. The location offers the perfect balance: total seclusion when you want it, and instant access to the action when you don’t.
Market Insights: The 2026 Perspective
Looking at the real estate landscape in early 2026, the purchase of the Michael Arougheti house back in 2022 looks prescient.
Post-Reelection Boom
With the political and economic landscape shifting under the presidency, Florida has continued to solidify its reputation as a haven for wealth. The state’s pro-business environment attracts executives from New York, California, and Chicago. This migration keeps the pressure on the luxury housing market.
Scarcity Drives Prices
For buyers looking for a “Michael Arougheti house” of their own, the options are slim. Inventory for move-in-ready, modern waterfront homes is historically low. This scarcity protects the value of Arougheti’s asset. If he were to sell today, the property would likely command a Premium over the $31.5 million purchase price, cementing his reputation as a savvy investor not just in corporate equity but also in real estate.
Frequently Asked Questions
Where is Michael Arougheti’s house located? The house is located on Sunset Island IV in Miami Beach, specifically at 1635 West 22nd Street.
How much did Michael Arougheti pay for his Miami house? Michael Arougheti purchased the waterfront estate for $31.5 million in 2022.
Who sold the house to Michael Arougheti? The seller was Randy Frankel, a part-owner of the Tampa Bay Rays MLB team.
Where Does Michael Arougheti Currently Live?
Michael Arougheti resides in Nyack, New York.
Michael Arougheti’s House Photos
