California’s Hillsborough saw its home-sale record jump from $35 million to $70 million as an AI industry buyer purchased a 12,400-square-foot estate
A $70 million estate sale in California has set a new property record in the town of Hillsborough, with the buyer reportedly working in the artificial intelligence industry. The sale has also been described as the highest home sale in Northern California in 2026.The 12-acre estate is located in Hillsborough, an affluent town about 20 miles from San Francisco, ABC 7 reported. The property covers roughly 12,000 to 12,400 square feet and includes six bedrooms and 12 bathrooms, along with several other structures and extensive outdoor facilities.The $70 million deal is twice the previous home-sale record in Hillsborough. That record was set in 2022, when another estate sold for $35 million, according to listing agent Jennifer ‘Jenn’ Gilson of Golden Gate Sotheby’s International Realty.The property had been offered privately before it officially entered the market in February 2026. It was initially listed for $88 million. Gilson didn’t identify the buyer but said the person works in the artificial intelligence industry.
Estate took six years to build
The estate was built in the early 2000s by private-equity investor and philanthropist Ted Kruttschnitt and his wife, Alexia Kruttschnitt. The couple had spent around six years designing and building the property.They later decided to sell the home because they were spending most of the year in Palm Desert, California. The couple had also told The Wall Street Journal last year about their decision to sell.The property took six years to develop, with 110 subcontractors involved in the work before it was ready for sale.The estate has three main structures, including the main residence, a sports pavilion and a guest-house structure. It also has an amphitheatre, a swimming pool and a belvedere overlooking a reflecting pond.The sports facilities are among the property’s major features. The compound has a sunken tennis court described as Olympic-size, along with courts for pickleball, volleyball, badminton, bocce ball, horseshoes and shuffleboard.
Gardens inspired by Lake Como
The main house stretches across three levels and has views over San Francisco Bay. The grounds include gardens designed in a style inspired by Lake Como in Italy, as well as a redwood grove and a reflecting pond.
A columned terrace overlooks the estate’s landscaped grounds
The property also features fountains inspired by the Bellagio Hotel & Casino in Las Vegas. Other facilities include a gym and a 2,100-gallon saltwater aquarium. The estate’s outdoor spaces add to its size and range of facilities. Along with the sports pavilion and pool, the property has landscaped gardens, a reflecting pond and several areas designed for recreation.
AI wealth drives home sales
The sale comes as the luxury housing market around San Francisco is seeing more activity from buyers connected to the artificial intelligence industry.According to Gilson, the increase was not limited to the buyer of this particular property. Hillsborough had seen more activity at the very high end of the market and that trend is expected to continue.“Not just with this buyer but we definitely have seen a lot more activity in the super end in Hillsborough and it will continue,” she said as quoted by ABC 7. “I definitely think it’s a connection in the AI world and foresee a lot more sales in the high end that will continue,” she added.Gilson also said the buyer was attracted partly by the estate’s location, which offered access to San Francisco, San Francisco International Airport and Silicon Valley.The location is also part of what makes Hillsborough attractive in the luxury housing market. The town is known for expensive homes and is situated close to San Francisco and Silicon Valley.
Sale sets new Hillsborough record
The $70 million transaction is a major jump from the previous Hillsborough record of $35 million. That earlier record was set only four years ago, in 2022.The new sale also stands out in the wider Northern California property market. According to Gilson, it is the highest home sale in Northern California in 2026. The property had entered the market at $88 million in February, but ultimately sold for $70 million.When asked whether the transaction could be considered a once-in-a-lifetime event, Gilson did not rule out another major sale in the future.“I would say probably but you never know what happens I’m always surprised at the real estate market so we will continue to see what happens,” she said.
