As Iglesias Rebuilds,He Buys House Nearby

The Spanish performer plans to live in the 6,300- square-foot Mediterranean-style house while he builds a new Spanish-style hacienda on his existing four-acre property, according to a person familiar with the deal.

Mr. Iglesias''''s latest house, built in 1976, has four bedrooms and staff quarters on a 1.2-acre landscaped lot with 145 feet on the water. It was listed in August for $8.75 million. Records show it last sold in 1988 for $1.1 million to a trust.

Both properties are in Indian Creek Village, an island community with a few dozen homes located on the Intracoastal Waterway just north of Miami Beach. (The gated development includes the Miami area''''s most expensive listing, a $52 million spec house.) Indian Creek, with a private country club and golf course, is Mr. Iglesias''''s longtime U.S. home. The 64-year-old singer also owns houses in Punta Cana, Dominican Republic, and in southern Spain. Brokers Jill Eber and Jill Hertzberg, of The Jills of Coldwell Banker, handled the deal and have the spec-house listing.

Mr. Iglesias most recently was asking $25 million for his other Indian Creek house before he decided to replace it.