A vacant, graffiti-covered mansion in the Hollywood Hills that spent years overrun by squatters, crime, and heavy neglect has finally received a much-needed face-lift and is back on the market. But behind the fresh exterior paint lies a massive renovation challenge that will require millions of dollars and a heavy dose of vigilance to completely resurrect.
For years, the sprawling six-bedroom, 12-bathroom estate located at 1754 Sunset Plaza Drive sat entirely empty after its owner, Hollywood producer John Powers Middleton, seemingly abandoned the property. The once-grand structure deteriorated into a major neighborhood eyesore and a legitimate public safety hazard, drawing complaints, police raids, and intense media scrutiny to the affluent Los Angeles hillside.
The descent into chaos reached a boiling point over the course of several years as the vacant property became an open haven for unauthorized occupants. In 2022, local law enforcement arrested an armed man and his dog who had been illegally living on the premises. Just a year later, authorities returned to the address and arrested three additional squatters. Neighborhood accounts suggested that at times, up to 20 people were illegally occupying the multi-level house, defacing its interior walls with aggressive "anti-rich" graffiti and causing widespread destruction throughout the sprawling estate.
The property’s high-profile owner added a layer of celebrity intrigue to the local neighborhood saga. Middleton, a Hollywood producer and the son of Philadelphia Phillies baseball team owner John Middleton, originally purchased the mansion in back 2012. Records show he also acquired a second troublesome property on Mullholland Drive that similarly fell into deep disrepair and abandonment.
Facing intense public pressure and mounting neighborhood outrage, Middleton issued a formal mea culpa via Fox News in 2024, expressing deep regret for the state of his abandoned real estate holdings.
"I would like to apologize to the people of Los Angeles and especially to my neighbors. What’s happened to the two properties I own is unacceptable, and no matter what caused it, I own the houses," Middleton stated at the time.
The legal and financial pressures surrounding the Sunset Plaza estate mounted significantly in 2025. A judge ordered Middleton to sell the property to satisfy substantial debts he owed to the Sitrick Group, a high-profile crisis management firm that Middleton had retained as part of an ongoing legal battle against a former producing partner. Court findings revealed that Middleton owed the firm nearly $2 million. However, rather than executing an open market sale to satisfy the judgment, the property ultimately slipped into foreclosure in February of this year.
Now, the estate is bracing for its next chapter. On October 10, the property is scheduled to go up for a high-stakes public auction through Auction.com, carrying an initial reserve bidding price of $2.2 million. At the same time, the property has been listed separately on the traditional market for $4.4 million by listing agents Phil Boroda and Rosa Valencia with Coldwell Banker.
Boroda, who specializes in handling REO (Real Estate Owned) and foreclosed properties, believes the final price could climb higher than the initial auction reserve, though he urges prospective buyers to maintain realistic expectations regarding the sheer amount of work required to make the home habitable. While the exterior has been treated to a fresh splash of paint to improve curb appeal from the street, the interior remains a blank canvas of destruction.
According to Boroda, the property’s interior was systematically vandalized during the years it was left unsecured and occupied by squatters. The damage goes far beyond cosmetic neglect, with extensive structural and functional destruction throughout the four-story footprint.
"Every sink, toilet, and window was sledgehammered, and acid was poured in the pool," Boroda revealed in an interview with Realtor.com.
Describing the massive structure, Boroda noted that the house presents a unique opportunity for a visionary buyer, though he concedes the most likely purchaser will be an experienced investor or developer with deep pockets.
"It’s 9,000 square feet of ugliness," Boroda said, characterizing the unconventional layout. "It’s not a very normal floor plan. It’s got four levels, a lot of stairs. The views are amazing, though."
The estate’s history stretches back long before its recent troubled era. The property was originally constructed by builder Richard Tuil as an elaborate tribute to his late mother. Originally dubbed Villa Allegra, the residence evolved over time into an expansive, sprawling compound featuring three separate swimming pools, multiple sprawling outdoor decks, and even a private helipad perched in the hills.
For longtime residents of the neighborhood, watching the grand estate decay into a magnet for crime and vandalism has been a heartbreaking experience. In a 2024 interview with local news outlet KABC, neighborhood resident Alexis Gorbis described the dramatic and depressing decline of the property as genuinely tragic.
"I (virtually) grew up in that house. I saw it when it was very small, and there wasn’t too much to it. I grew up with the son of the previous builder—and to see how it is now is just beyond words," Gorbis said.
Whoever ultimately wins the upcoming auction or secures the property through the traditional listing will face immediate logistical hurdles beyond just hiring contractors and architects. Given the address’s well-documented history, the new owner will likely need to factor robust security measures and a dedicated 24-hour security detail into their rehabilitation budget to protect the site until major construction begins and the home is made fully liveable once again.
While completely securing a vacant hillside property presents an ongoing challenge in Los Angeles, industry veterans like Boroda emphasize that the right strategy can make a difference.
"You never could monitor a house 24 hours a day, but you can only do the best you can," Boroda noted. "You just have to outsmart the criminals."
