I've written about 1130 Summit Drive before. It is a newer modern house with ocean views but no ocean access. A rumor posted by a reader on this blog indicate that it has been sold for $2.38 million. If true, this represents a huge reduction from its original list price, which was $5,000,000 in 2007. According to the prior link, it was Lee Ann Canaday trying to get that price from someone. Didn't work.
The sale price would be more than a 50% reduction from the $5,000,000 price that turned out to be completely unrealistic.
All in all, once the sale is confirmed, this will be a comp for Laguna Beach at $496 per square foot. There are a lot of houses out there priced way above that at $700 or $800 or $1000 per square foot. I'd advise a healthy dose of caution when dealing with listing agents claiming homes can be valued at these prices, especially homes with views, but no ocean access. I personally think the buyer paid a little too much, but everyone has their own way to value things.