Battersea Developer Limits New Home Offering to Buyers in LondonPatrick Gower
More than 200 apartments at Battersea Power Station will be offered only to buyers in London as developers respond to criticism that too many new homes in the British capital are going to overseas investors.
Battersea Power Station Development Co., owned by Malaysian companies including SP Setia Bhd. and Sime Darby Bhd., will start selling 254 homes on the site on May 1, according to a statement today. The unfinished apartments will be offered for as much as 30 million pounds ($50 million) each, the developer said in November.
Investors from Asia have been splurging on London homes following property curbs in their home countries, sparking a jump in luxury-apartment prices. Two-thirds of new homes in the U.K. capital sold before completion were purchased by southeast Asian buyers, Land Securities Group Plc said last year.
“This decision is part of a wider strategy to create a product well-suited for owner occupiers and people who will help us create a real and lasting community here in Battersea,” Rob Tincknell, the developer’s chief executive officer, said in the statement.
This will be the second group of homes to be sold after the Malaysian investors bought the property for 400 million pounds in 2012. In the first phase, about 45 percent of the residences went to U.K. buyers, according to the company.
British homebuilders including Barratt Developments Plc, Taylor Wimpey Plc and Telford Homes Plc agreed on Dec. 18. to stop giving buyers living abroad the first chance to buy London homes sold before they’re built
“It is important that homes are not exclusively marketed abroad before the U.K.,” Mayor of London Boris Johnson said at the time.
The properties being put up for sale will range from studio apartments to five-bedroom penthouses, according to the statement. The penthouses will be built into the existing facades of the western and eastern sides of the derelict power station.