Sydney's Crown Group steps into Southbank, Melbourne residential market

Sydney developer Crown Group has entered Melbourne residential market, partnering with with Melbourne developer G3 for a 170-apartment project in Southbank.

The 175 Sturt Street site spans 2,070 sqm.

It is close to Crown Melbourne casino and hotel complex.

It will accommodate a mixed-use luxury resort-style development with ground floor retail, the Australian Financial Review reported.

"We've been strategic in our expansion interstate and this is the right time to expand to Melbourne. I would not be surprised if this is the first of a number of successful developments outside Sydney," said Crown Group chairman and chief executive Iwan Sunito.

"We hope we can set a new benchmark in apartment living in Melbourne and in other states, like we have in Sydney."

He set aside concerns about off-the-plan sales in Melbourne slowing, saying the right location would always sell.

"Depending on the location, Melbourne is still a very promising market, particularly the arts precinct, there is strong demand but not enough supply in that area," he said.

"While we continue to see enormous potential in Sydney, Melbourne is carving its own place among the top international cities in the world. Melbourne is highly regarded internationally for its liveability and we foresee a strong local demand for high-quality apartments with resort-style amenities in Melbourne."

The developer unveiled its $400 million development Waterfall in Sydney late in 2016, and said it had received strong expressions of interest ahead of its launch.

The development is scheduled for completion in 2019. 

"I would not be surprised if stage one of Waterfall sold out as there is a strong demand from local buyers wanting to live closer to amenities," he added.