Squishmallows Creator Asks $37.995 Million for Bel-Air Mansion

Jonathan Kelly made a fortune selling Squishmallows, the ultrasoft, marshmallowlike plush toys that became a TikTok sensation during the pandemic. Now, he’s betting some of that money on Los Angeles real estate.

Kelly is listing his Bel-Air mansion for $37.995 million, significantly more than the $26 million he paid in 2023. He said he bought the 2022 property at a relatively low price—it had originally listed for $47.5 million—right before L.A.’s “mansion tax” on homes priced above $5 million took effect.

He is hoping to reap the reward by selling now that the market has stabilized.

Set above the fourth green of the golf course at Bel-Air Country Club, the property spans three levels.

Kelly’s family company, Kelly Toys, created and launched Squishmallows in 2017, and it quickly became a fast-growing part of the business. They sold the company across two transactions in 2020 and 2022.

Armed with capital from the sale, Kelly said he bought the Bel-Air property as an investment and never lived there. “It’s an asset, and it’s time to exit,” he said.

Listing agent Marc Noah of Sotheby’s International Realty said that Kelly has rented the property out for a substantial amount of money, though both he and Kelly declined to comment on exact numbers.

The house is located on a street populated by sprawling nine-figure estates. Developer Ardie Tavangarian is listing an eight-bedroom spec house there for $135 million. Less than half a mile away, a storied estate known as Casa Encantada recently sold to a company tied to billionaire tech titan Peter Thiel for $130 million.

The price of Kelly’s property could be considered an “entry point” for the neighborhood, Noah said. The L.A. mansion tax did slow down the high-end market, he said, but “like anything, people have gotten accustomed to it.”

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