Bill Gates is shrinking his $132 million Xanadu compound amid sudden public withdrawal and Epstein revelations

Fortune

by Nick Lichtenberg

February 19, 2026

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Bill Gates is significantly reducing his real estate holdings near his iconic Xanadu 2.0 estate in Medina, Washington, listing a nearby $4.8 million home for sale. This move marks a notable shift from his previous stance of maintaining a sprawling residential footprint. The decision comes amid heightened scrutiny over his past associations with Jeffrey Epstein, who has recently had thousands of pages of investigative files made public. While Gates has acknowledged meeting Epstein between 2011 and 2013, he described these encounters as a "serious error in judgment" and expressed regret. This downsizing reflects a broader reevaluation of his public profile, including his absence from high-profile events like the India AI Impact Summit, where he had been scheduled to speak. Xanadu 2.0, a 66,000-square-foot mansion with extensive amenities, has long been a symbol of Gates' personal tastes and ambitions. Purchased for $2 million in land in 1988 and completed in the early '90s after a $63 million investment, the estate includes multiple garages, an indoor pool, a private theater, and advanced technology features. Melinda French Gates曾 commented on the property's opulence, calling it "a bachelor’s dream and a bride’s nightmare" during its construction. The couple initially considered not moving into the home due to its lavish nature. Gates' decision to sell one of the smaller buffer homes adjacent to Xanadu 2.0 is seen as a modest step toward reducing the layers of privacy-protected properties surrounding his main estate. While this sale represents only a fraction of Gates' $300 million in residential real estate holdings, including luxury homes in California, Florida, and other

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Originally published on Fortune on 2/19/2026