Heron International will seek the highest residential property prices in the history of the City of London for its new 36-storey building.
The London-based developer’s commercial director Lisa Ronson said homes in the Heron apartment tower, which is the tallest to be constructed in the City since 1976, will be available for about £1,600 per sq ft. The price of apartments in the luxury steel and glass building is more than double the average cost of property in the capital, measured at £734 per sq ft by Jones Lang LaSalle
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“We’ve had a good overseas response,” said Ronson, adding that foreign buyers had expressed an interest in apartments in the luxury building. “Buyers are looking for an investment or somewhere for their children to live when they go to university.”
London properties have proven popular with wealthy foreign investors who see the capital’s market as a safe haven from economic and political turmoil elsewhere. Overseas investors now make up approximately 65 per cent of the market for residential properties costing more than £5m, according to a survey by Savills.
Jones Lang LaSalle residential research director Neil Chegwidden said residential property in the City tends to sell for between £650 and £1,350 per sq ft. The price of luxury homes in central London went up by 11.4 per cent in September compared to the same time last year, according to Knight Frank – the largest increase in 11 months.
Ronson said Heron International would be looking for £5.25m for the 3,279 sq ft apartment on the 33rd floor of the building. Heron has already sold over two-thirds of the 285 apartments in the building, which is due to be completed in 2013 and is less than a mile from the Bank of England. The two penthouse apartments in the building have yet to be valued, Ronson confirmed.
Once completed, the property will be 367ft high and will include an arts performance centre. The building is around half a mile from the Heron Tower office building.
The current record for residential property prices stands at around £6,000 per sq ft, set last year by brothers Nick and Christian Candy for six units in their luxury complex One Hyde Park in the Knightsbridge area of London.