James Cagney's Beverly Hills Estate Hits Market for $38.5 Million

The world’s changing fast ... but here’s a real slice of old-school Hollywood that’s still standing strong -- the iconic James Cagney estate is officially up for grabs.

The gated Beverly Hills compound sits on more than 5 acres, and is listed for a jaw-dropping $38.5 mil ... and TBH, it earns the price tag, seeing as it was designed by Welton Becket of Welton Becket & Associates -- one of L.A.’s most influential architecture firms back when they were building for Hollywood royalty in 1939.

Calling it an estate almost feels wrong ... it’s basically a private village. There’s a restored main villa, the legendary Boathouse guest residence, and a separate creative studio ... all linked by hand-laid stone paths winding through tiered citrus gardens. Casual.

There have only been two owners in its 87-year history -- the current family purchased the property directly from Mrs. Cagney back in 1986.