Blackburne closes in on One Subi sales

Source: Business News

Apartment sales in Perth seem to remain strong as developer Blackburne boasts only three vacant penthouses out of its 236 apartments at its One Subiaco development.

The $300 million apartment block on the former Pavillion Markets side on Rokeby Road is expected to be completed by the end of this year.

The development comprises three buildings, including the six-storey Roberts building, five-storey Rokeby building and the 23-storey Seddon tower.

A single buyer has purchased the entire floor of Level 22, comprising four penthouses, and an apartment on Level 21 which covers about 1,500 square metres over five apartment plans.

Blackburne executive chairman Paul Blackburne said only three of the seven penthouses were still on the market, with the redesigned plans recently released.

Mr Blackburne said construction, with Multiplex, was on track to have everybody move in by Christmas despite the impacts of COVID.

“We’re on schedule to complete by the end of the year and there will be 500 new residents moving into this new project,” he said.

“There’s a real lack of supply of larger higher-end luxury apartments in Perth and I think One Subiaco demonstrated the large demand for local owners and occupiers to move into larger, higher end apartments in the western suburbs.

“There was over $100 million in sales in the first three months of the project 2.5 years ago when we launched and now there’s almost $300 million in sales.

“Despite the cost increases we’ve seen, the project is on schedule and on budget.”

According to the most recent annual data from property consultant Urbis, Perth new apartment market recorded higher sales in the third quarter of 2021 compared to 2019 and the first half of 2020.

Urbis forecasted the supply this year to increase slightly but still be at relatively low levels with about 1,300 apartments still due to be completed.

In response to the apartment sales, Multiplex regional managing director Chris Palandri said the people have “voted with their feet”.

“There was a lot of controversy in this project for a long time, but the project’s here now and there hasn’t been a lot of complaints when we’ve been building it,” he said.

Mr Palandri said this had been the most difficult time for the building industry with all issues appearing at once.

“I’ve been in the industry for 32 years and this is the worst confluence of issues,” he said.

“You generally find that subcontractors and construction workers wanted to work on big long term projects so they have consistent work for a period of time.”

One Subiaco includes luxury or resort-style amenities including swimming pools, gyms, private dining rooms and a concierge.

However, the development will also feature a commercial mix of retail and hospitality on the ground floor, which Mr Blackburne says will be a vibrant community space.

“Within about a month of now, we’ll be able to announce all the new market operators and restaurants, bars, cafes and shops that are going into the ground level that would be open to the public for everyone to enjoy a big opening before Christmas,” he said.