Neverland Ranch Remains Controversial, Despite Michael Jackson’s Biopic Success
The singer's former estate houses the legacy of abuse
LOS ANGELES — Michael Jackson’s biopic film has scored $977 million at the worldwide box office to date. But his former estate, Neverland Ranch, hasn’t fared as well.
Empty since 2005, buyers had been loath to bid on the former Jackson home, given the abuse scandal that surrounded it. The devalued estate took more than five years to find a buyer when it hit the market in 2015.
Property values began to plunge in 2008, when Jackson defaulted on a $24.5 million loan for the Neverland Ranch. He had partnered with Colony Capital to save his home in order to cover the debt.
Today, Neverland, Jackson’s residence from 1988 to 2005, has reverted to its original name: Sycamore Valley Ranch. Neverland was named after the fantasy land in “Peter Pan” and turned into a theme park for kids.
Located in Los Olivos, California, in Santa Barbara County, 133 miles northwest of Los Angeles, it housed an amusement park, private zoo and train station.
The King of Pop had purchased the ranch for $17 million in 1988. Former Beatles Paul McCartney introduced him to the property in 1983, having stayed there while filming the “Say Say Say” music video.
Jackson’s kids, Prince, Paris and Bigi, also resided on the ranch before they moved with him to the Los Angeles neighborhood of Holmby Hills in the last years of his life.
The Wall Street Journal reported the property was sold in 2020 for $22 million to billionaire businessman Ron Burkle, an associate of the late pop star and co-founder of the investment firm Yucaipa Companies. Burkle views the 2,700-acre property as a land banking opportunity,
The asking price was $100 million in 2015, but sold for $78 million less.
“Something that’s underestimated often is that luxury real estate is usually sold on aspiration. Neverland came with a reputation problem that outweighed the acreage, architecture and amenities,” said Ali Smith, a PR manager at JCTGrowth. “It wasn’t just Michael Jackson’s forme r home; it was a globally recognizable symbol tied to allegations, investigations, documentaries and years of public debate.”
Neverland will be forever known as the home where Jackson stood accused of sexually abusing children.
The controversy kicked off in 1993. Los Angeles police began investigating Jackson when a family filed a $20 million lawsuit, accusing the singer of sexually abusing their son. Jackson settled for an estimated $23 million, according to NPR.
Ten years later, British journalist Martin Bashir toured Neverland with Jackson. Authorities were alarmed the singer admitted young boys were “staying with him.” The claim resulted in a search warrant of the premises. Jackson was later accused of molesting 13-year-old Gavin Arvizo. Jackson denied the charges, which led to a circus-like, chaotic 2005 trial. He was acquitted on all 10 counts.
The trial ended in 2005; the allegations did not.
In 2019, the “Leaving Neverland” HBO documentary detailed accusations by Wade Robson and James Safechuck. In 2026, the four Cascio siblings also accused Jackson of being a serial child predator. The accusers filed both civil and federal lawsuits against Jackson’s estate.
Four years after the 2009 trial, Jackson died in his Holmby Hills home of acute intoxication that led to cardiac arrest. His former doctor, Conrad Murray, was charged with involuntary manslaughter, having administered propofol, a surgical anesthetic as a sleep aid. He served two years in a county jail.
At the time of Jackson’s death, his estate was $500 million in debt. Over the five years it took to sell Neverland, it was seen as a public risk for realtors, forcing the estate and Colony Capital to slash the asking price.
The $100 million price tag, according to one California realtor, overstated its market value.
“It’s not only the history attached, but it’s the maintenance, staffing, insurance and capital investments to be considered,” said Stefanie Becker, a real-estate broker for the Calabasas, Calif.-based Innovate Realty. “Improvements have to be made and to run an operation like this, you have to invest significant capital.”
Burkle was the lone bidder, and the sale was private.
“It was a reputation management challenge and not a straightforward transaction,” Becker said of the sale. “It was not an easy task for any realtor to take on because of the reservations and reputation.”
The amusement park and zoo were removed from the property. The train, train station and tracks remain. Burkle, however, has not set foot on the site since he purchased the estate.