Double Bay’s Vadalia penthouse and Albert St East penthouse set property records

Unit living has seen a surprise burst in demand as both Sydney and Melbourne set records with $16m penthouse sales in the ritzy eastern suburbs.

An artist’s_impression of the upcoming Hyde Park In which is set to rival New York’s Madison Avenue. Picture: Supplied

Apartment demand is seeing a surprise burst at the beginning of the year with record-setting sales in Sydney’s eastern suburbs and plans for new towers in the heart of the city.

While the broader residential market is dealing with lower clearance rates and the slowing of price growth, at the top end buyers have been swooping, while the gap between house prices and apartments is as wide as it has ever been.

In Sydney’s ritzy eastern suburbs, an area record was set this week with the sale of a $16m penthouse at 16 William St, Double Bay.

Luxury property developer Orchard Piper has just scored a record-breaking, $16m unconditional sale of the penthouse apartment. for their upcoming development in East Melbourne.

The penthouse was the last of nine apartments brought to the market by Josh Allen at JT Allen Real Estate, and the sale broke through the $100,000 per square metre mark for the first time for an apartment in Sydney’s east.

The three-bedroom pad atop the Vedalia complex went to a local downsizer for $107,000 per square metre.

Another record was smashed in Melbourne with the $16m off-the-plan sale of a penthouse at the upcoming 370 Albert St East by developer ­Orchard Piper.

The new $120m luxury development has seen more than $40m worth of sales in recent weeks, signalling that the hunger for luxury apartments is not in short demand. An abode at 370 Albert St East will set a buyer back ­between $2.9m and $7.5m.

Orchard Piper director Luke McKie said the new project was a culmination of years of hard work, careful planning and feedback.

The Orchard Piper project has seen more than $40m worth of sales in recent weeks.

“We’re seeing interest from a broad range of buyers, who ultimately all understand the rare opportunity this development has for an opportunity to own prime real estate in a lucrative area, in an increasing competitive landscape,” Mr McKie said.

Colliers director Sam Nathan said luxury homes in East Melbourne had become a hot commodity.

“There is strong demand not only for prestige property in general given its scarcity but also particularly in East Melbourne, which has historically been – and will remain – among the most exclusive and highly priced housing markets in the city,” he said.

The upcoming apartments are by no means out of line with the luxury trend.

In the Sydney CBD, property developer Central Element has unveiled plans for a new scheme that will front Hyde Park, a fertile hunting ground for luxury apartment buyers.

Central Element, Hyde Park, Sydney. Source: Supplied

The apartments, to be developed at 271 Elizabeth St in the city’s tightly held CBD market, are pitched as rivalling the likes of London’s Grosvenor Square and New York’s 1228 Madison Ave.

The project on the site of the Hyde Park Inn will see 53 world-class residences designed by architectural designers Glen Murcutt and Angelo Candalepas being developed.

Mr Candalepas, who is known for The Point in Pyrmont, The Surry on Elizabeth St, Thomas House, The Hellenic Club and the National Gallery of Australia, said he was excited to be able to shape the future of Sydney.

“Having the opportunity to design a development that will take the city into the future for liveability and lifestyle is exceptional and comes with responsibility,” he said.

Mr Murcutt is known for his work on The Arthur and Yvone Body Education Centre, Donaldson House, Walsh House and the Australian ­Islamic Centre.

Central Element director Nathan Chivas said the new build would challenge Sydney’s design methods.

More young buyers are ­chasing the largest apartments they can, according to developers of luxury projects.

“Elizabeth St represents one of the most important boulevards in the city,” he said.

“With the rare development opportunity to transform the site into a premium mixed-use property, we chose to appoint Glenn Murcutt and Angelo Candalepas, who are some of the most celebrated and important architects in Australia, to challenge the standards of design and redefine benchmarks of design excellence in the Sydney CBD.”

Across the country there appears to be a renewed push that has reignited interest in luxury apartment.

As more wealthy families near retirement, apartments conveniently ­located to suburban high streets and public transport are in hot demand.

And more young buyers are ­chasing the largest apartments they can.

Originally published as Double Bay’s Vadalia penthouse and Albert St East penthouse set property records