Picture: Financial Mail

MELROSE Arch and Warner Projects have unveiled the next phase of the Melrose Arch residential component following the runaway success of the first apartments, which fetched prices up to R7,5m.

The move reflects the confidence the market has in the Melrose Arch development and expansion, and was driven by increasing demand for residential space in the area.

It is the first newly planned development within a precinct that will include a fully accessible retail component to complement the urban lifestyle attraction.

In a joint venture between Melrose Arch and Warner Projects, announced last week, work on the Melrose Square on Oak Lane residential development will begin early next year.

Phase one has already seen 34 of the 47 apartments in the complex acquired for prices between R2,5m and R7,5m.

The first owners will take occupation in mid-October.

Warner Projects director Mark Warner says the new development will appeal to a similar market in terms of style and design standards, but will be built within “a more affordable” size range.

Quality finishes will remain a top priority, but unit sizes will be smaller than in phase one.

The developers have set a 15-month target for the 62-unit complex, which will cover a total area of 6000m². Unit sizes will vary between 65m² and 140m² priced between R1,1m and R3,8m.

Pam Golding Properties agent Peet Strauss says: “This makes it an excellent opportunity for newcomers to the property investment market, and an attractive residential option for the trendy professional market who want to take advantage of the complete lifestyle option offered at Melrose Arch, but at a lower entry level.”

He says the residential development is already attracting corporate interest, with rental leases running between one and three years. This creates another opportunity for property investors seeking stable returns.

Warner says Cape Town and Durban business people requiring a Johannesburg base have taken an interest in the first development, and he is confident this trend will continue.

Melrose Arch Development Company director Nicholas Stopforth says the units will complement the future plans for the precinct. “The demand shows that the neourban trend is growing in popularity,” he says.

The international city-within-a-city style of living, with easy access to urban luxuries, has inspired Osmond Lange Architects to use New York loft-living as an influence in the design of the new apartments.

“This is a big step in realising the vision behind Melrose Arch and the creation of a complete lifestyle within an exciting urban context … (that) offers prospective buyers the next step in practical living within a big city,” says Stopforth.