Battersea's Phase 2 sets new record price

Phase two of the Battersea Power Station redevelopment project is being priced at a record level in London’s Nine Elms area, said media reports.

At an average psf price of £2,300 (RM12,627), the price is more than double than the first phase price of £1,100 (RM6,039) psf. Property consultancy Kinleigh Folkard & Hayward noted that it is also 176 percent higher compared to the average price of £832 (RM4,567) psf for newbuilds within the Nine Elms area.

With a gross development value of £1.6 billion (RM8.78 billion), the project’s second phase comprises 254 units and is set to be launched in London next Thursday.

Last year, phase one sold all 861 units within three weeks from launch. Meanwhile, the phase two apartments are considered “hotter property” since they are located at the heart of the power station.

Given the successful preview for said apartments, there is a strong likelihood that they will be fully snapped up “on the day of the launch itself”, noted a Battersea insider.

“The benchmark pricing set by Battersea showcases the success of a Malaysian developer. It puts Malaysia’s name among the list of premium developers such as Ballymore, Barratt Homes and the Berkeley Group in the UK,” commented one observer.

Recent preview of phase two in Singapore showed that prices for studio apartments will start from £800,000 (RM4.39 million), £1 million (RM5.49 million) for one-bedroom unit, £1.5 million (RM8.24 million) for two-bedroom unit, while three- and four-bedroom units will cost from £2.7 million (RM14.82 million) and £4 million (RM21.96 million) respectively. Penthouse prices will be upon application.

Apart from the 254 new homes, the second phase will also include 1.3 million sq ft of commercial space, including three levels of retail. It will also feature a leisure and entertainment zone, which will include cinemas, a 2,000-capacity auditorium, conference spaces, restaurants, a boutique hotel as well as offices for around 10,000 people.

Set for completion in 2022, the redevelopment of the Battersea Power Station is being undertaken by Battersea Project Holdings Co Ltd (BPHC), which is controlled by Malaysian firms Sime Darby Bhd and SP Setia Bhd, with a 40 percent stake each, as well as the Employees Provident Fund with 20 percent.

Source: PropertyGuru