Billionaire accuses billionaire of using public Malibu beach as ‘personal sandbox’ for $30 million home

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Two fabulously wealthy California neighbors have locked horns over a stretch of pristine beachfront, with one accusing the other of stealing public sand for his own personal use.

Billionaire financier James Kohlberg — whose late father, private equity titan Jerome Kohlberg, co-founded Kohlberg Kravis Roberts & Co. — claims billionaire financier and next-door neighbor Mark Attanasio, chairman and principal owner of the Milwaukee Brewers baseball team and joint majority shareholder of UK football club Norwich City, is using the beach as his “own personal sandbox,” according to a 132-page lawsuit filed August 8 in Los Angeles County Superior Court.

“For the past several weeks, Defendants removed sand from Broad Beach, a Malibu public beach, for one of the Defendants to monopolize and maintain for its exclusive benefit,” the lawsuit states.

This not only prevents the general public from accessing and enjoying the beach, but also endangers marine life, contends the lawsuit.

Kohlberg “has observed and videotaped [Attanasio’s] repeated bad acts,” according to the suit, which says Kohlberg is trying to prevent the “potential destruction” of a coveted natural resource. The civil suit, brought under the 1976 California Coastal Act, further demands that Attanasio replace the sand already taken and repair the damage incurred thus far.

In a statement provided Wednesday to The Independent, Attanasio’s attorney, Kenneth Ehrlich, said he “will aggressively defend our client’s rights in this legal process.”

Attanasio and the corporate entity through which he owns the home “have owned property on this beach for decades and have served as stewards for beach restoration and preservation of natural resources,” according to Erlich, who added that the project is a “fully-permitted emergency repair of the property to protect it from ocean forces.”

“It has secured all permits necessary for the repairs from the City of Malibu and LA County as well as thoroughly vetted all contractors and sub-contractors involved in the project,” Ehrlich said. “It has acted in 100 percent compliance with all of its permits.”

Kohlberg’s legal team did not immediately respond to a request for comment.

Kohlberg’s suit describes Broad Beach as “a long narrow public beach in front of beautiful Malibu homes,” popular with surfers, windsurfers, and bodyboarders. But while Broad Beach is “undoubtedly scenic,” the lawsuit says residents “have become increasingly worried about the sustainability of the beach’s sand.” In 2015, residents along Broad Beach, including Dustin Hoffman and Ray Romano, signed onto a $31 million restoration plan to combat sand loss of up to 60,000 cubic yards annually, according to the Los Angeles Times, which first reported on Kohlberg’s lawsuit.

In March, Attanasio began repairing the crumbling seawall protecting his $30 million property, according to the suit. Kohlberg’s spread, which he bought for $16 million, is directly next door. Since then, Kohlberg allleges Attanasio’s contractors are utilizing a fleet of “enormous excavators in tidal zones in the ocean, dragging along any materials, oils, and other pollutants the excavators carry or discharge.”

The excavators are also being used to “scoop significant amounts of sand from Broad Beach… only to be placed on [Attanasio’s private property],” the suit contends. “[Kohlberg], a next door neighbor to the offending actions, has observed and videotaped [Attanasio’s] repeated bad acts.”

When the city issued permits for the work, it explicitly laid out specific environmental prohibitions against “any materials or mechanized equipment… located within the tidal zone,” according to the suit.

Kohlberg’s attorneys contacted Ehrlich in mid-July to ask him to have Attanasio “immediately cease and desist all unlawful construction practices,” the lawsuit continues. Yet, while Ehrlich acknowledged the request and agreed to Kohlberg’s stipulations, Attanasio’s dredging and alleged sand theft has continued apace, the suit claims.

And although the suit says the California Coastal Commission is now investigating Attanasio’s activities, it says neither the commission nor the city have taken any official action to halt the allegedly illegal work.

Kohlberg wants Attanasio to pay $30,000 for each violation, plus $15,000 a day until they are fixed. As the lawsuit states, “[C]ivil fines alone will not remedy the wrongs about which Plaintiff complains.”

He is seeking “immediate relief from the recurring depletion, exposure, and potential destruction of natural resources” by the Brewers owner, and wants authorities to force him to replace the “misappopriated” sand in question.