Nightmare on Nine Elms: £3bn development’s struggle to find buyers

·2-min read
Nine Elms (One Thames City)
Nine Elms (One Thames City)

Fears are growing that much of a multi-billion pound development at the heart of the Nine Elms regeneration project will lie empty with developers selling just one third of apartments.

The first phase of the £3 billion Thames City development is due to completed in 2023 and will boast 300 luxury apartments.

However, two thirds of the current crop of expensive homes are yet to sell, with more still to come to market.

Prices of flats in the expensive high-rise range from £997,500 for a one-bed to £1.385 million for three-bedroom apartments.

According to the Daily Telegraph, only £120 million of revenue has been reported since pre-sales began nearly two years ago.

Developers R&F have denied claims made in the newspaper that more than half (47) of the 90 flats sold last year were sold to its friends or employees.

Thames City lies next to the Sky Pool, the US Embassy and the new Apple offices which are due to open soon.

It is hoped potential buyers will also be attracted by the Northern Line extension, which is expected to raise house prices around Nine Elms by 25 per cent over the next five years.

Rents are set to climb by 14 per cent too with developers also looking to provide more office space at the expense of some residential units.

R&F said it had decided to scale up its office offering after seeing strong demand from occupiers in the media, tech and creative sectors.

An R&F spokesman said: "We have exchanged contracts to sell almost £100 million of property in the United Kingdom in 2021, which is a strong performance by anyone’s standards. Sales continue to be strong, with a good pipeline of transactions due to also complete before the end of the year and we look forward to welcoming our first residents to Thames City next summer.

"As of November 2021, it is categorically untrue to state that more than half of our UK sales are related party transactions."

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