A Sydney developer is pushing ahead with plans for a 14-storey apartment tower next to Newcastle Interchange, defying a year-long slide in property prices.
Subscribe now for unlimited access.
$0/
(min cost $0)
or signup to continue reading
State planning authorities approved the 14-storey development late last month, and Multipart Property has confirmed it will launch a sales campaign for the apartments in July.
The Newcastle Herald reported in October that the $52 million building, which will replace the McCarroll's car showroom on Hannell Street, includes 97 units, 197 parking spots and 5400 square metres of office space.
The developer will need to sell a proportion of the units before gaining finance approval to start construction.
Multipart Property's development manager, David Desson, said the development would be called "Bowline", playing on a maritime theme due to its proximity to the harbour.
The company's co-founder, Matt Zappia, said on Sunday that the "high-end" project's location, views and apartment sizes would appeal to buyers, especially owner-occupiers.
He acknowledged the market had been "cooling" but was hopeful more relaxed bank lending and the end of the federal election campaign would revive sales in the next few months.
Property research firm CoreLogic said last week that Newcastle unit prices had fallen 10.1 per cent in 12 months, and the Herald reported in March that slow sales had forced developer Warwick Miller to shelve plans for a 15-storey unit block on the former Empire Hotel site in Hunter Street.
Multipart has a range of apartment projects completed or under way in Sydney, including at Surry Hills, Waterloo, Ryde, Roseville and Cronulla.
The Hunter and Central Coast Joint Regional Planning Panel approved Bowline after City of Newcastle planners gave it the green light.
If built, Bowline will join a cluster of neighbouring developments near the interchange at Wickham, including Thirdi Group's West End, Eaton on Union and Stella and Doma Group's Bishopsgate.
On the southern side of the interchange, Doma is starting work on what will be the city's largest office building.
Meanwhile, the developer behind the massive Hunter Street mall redevelopment has bought Manly's landmark Hotel Steyne from ad man John Singleton for a reported $60 million-plus figure.
The Manly buy adds to Iris Capital's expanding hospitality portfolio, which includes the Gunyah, Argenton and Sydney Junction hotels, the Shaft Tavern, Pedens Hotel in Cessnock, Hunter vineyards Dalwood and Hungerford Hill and 13 Sydney hotels.
READ MORE