Malaysian developer SP Setia says 80 percent units sold in luxury Melbourne tower

Malaysian developer SP Setia says 80 percent units sold in luxury Melbourne tower
Malaysian developer SP Setia says 80 percent units sold in luxury Melbourne tower

Malaysian developer SP Setia has sold 80 per cent of the apartments in its luxury twin-Tower Melbourne project on Exhibition Street, contrary to concerns of a slowing in the apartment market.

The developer paid a record $101 million for the former Telstra Exchange site at 308 Exhibition Street in 2016.

SP Setia’s mixed-use development project, which will also feature a five-star hotel, is estimated at $640 million.

The developer did not say how many of the roughly 280 apartments in Sapphire by the Gardens sold so far were to overseas buyers, but according to The Australian Financial Review, foreigners made up a high proportion of buyers.

Recent reports from Chinese-based real estate agents suggested a sharp fall in interest from offshore buyers for Australian apartments due to restrictions on capital outflows imposed by Beijing, new stamp duty surcharges and a tighter lending market in Australia.

Jon Ellis, who runs off-the-plan marketplace Investorist, recently said demand was down 40 per cent, but that developers of quality projects were still making sales in Asia.

Last year, the developer also bought an 850 sqm development site in Melbourne’s Prahran.

"Quality high-rise developments in Victoria, like Sapphire by the Gardens, will continue to attract a healthy mix of offshore, interstate and local interest" said Tim Storey of Colliers International Residential, the lead selling agent on the project.

The project has a residential tower with 345 apartments and a second tower that will be house a five-star hotel Shangri-La hotel with about 500 rooms. Overlooking Carlton Gardens, the project is expected to be complete by 2021.

The project includes a $29 million penthouse with the remaining apartments priced from $1.085 million, to just under $1.9 million.

The developer is holding events to launch the sale of the remaining 20 per cent apartments in the coming weeks in Sydney and Melbourne.

Tags: 
Melbourne Apartment Sales

Comments

Be the first one to comment on this article
What would you like to say about this project?