Layered double hydroxides (LDHs) exhibit unparalleled anion exchange properties and the ability to be exfoliated into 2D nanosheets, which can be used as a building block to fabricate a wide variety of hybrid functional nanostructured materials. Still, if one wants to use LDHs as a magnetic building blocks in the design of complex architectures, the role played by the dipolar magnetic interactions in these layered materials needs to be understood. In this work, we synthesized and characterized a five-membered CoAl-LDH series with basal spacing ranging from 7.5 to 34 Å. A detailed experimental characterization allows us to conclude that the main factor governing the dipolar interactions between magnetic layers cannot be the interlayer spacing. Supporting theoretical modeling suggests instead a relevant role for spin correlation size, which, in the limit, is related to the lateral dimension of the layer. These results highlight the importance of cation ordering in the magnetic behavior of LDHs, and underpin the differences with homometallic-layered hydroxides.Layered double hydroxides (LDHs) exhibit unparalleled anion exchange properties and the ability to be exfoliated into 2D nanosheets, which can be used as a building block to fabricate a wide variety of hybrid functional nanostructured materials. Still, if one wants to use LDHs as a magnetic building blocks in the design of complex architectures, the role played by the dipolar magnetic interactions in these layered materials needs to be understood. In this work, we synthesized and characterized a five-membered CoAl-LDH series with basal spacing ranging from 7.5 to 34 Å. A detailed experimental characterization allows us to conclude that the main factor governing the dipolar interactions between magnetic layers cannot be the interlayer spacing. Supporting theoretical modeling suggests instead a relevant role for spin correlation size, which, in the limit, is related to the lateral dimension of the layer. These results highlight the importance of cation ordering in the magnetic behavior of LDHs, and underpin the differences with homometallic-layered hydroxides.