Penthouses now account for sales worth more than £1billion a year and represent a booming sector of London’s property market, according to research by a leading international property advisor.
Penthouses are being developed across London, but vary dramatically in price, although it is now impossible to buy a penthouse in the capital for less than £1million, the same research by CBRE showed. While it is possible to find penthouses priced between £1.5million and £3million in Islington and Camden for example, in prime Central London the starting point for penthouses is closer to £4million. In the most desirable boroughs prices average £13million and can easily top £4,000 per square foot.
On average, penthouses sell for a 60 per cent premium over the rest of a development, and can account for 20 per cent of a project’s gross development value.
Mark Collins, CBRE head of residential, commented: “Penthouses of the quality on sale in London now cement our capital’s new status as a home-from-home for the super-rich as well as providing an invaluable store for their wealth. With the burgeoning volume of billionaires in the world and the increasingly international appeal of prime London real estate we anticipate that the penthouse market will continue to be a very exciting and elusive space going forward.
Other findings from the research showed that penthouses these days have a range of features, including a private entrance or lift, a library or office space and additional suites for guests or staff. It’s not unusual for buyers to demand strong security measures, such as bullet-proof windows, a panic room and even retina recognition systems.
The most requested features by penthouse buyers in London are: high floor-to-ceiling heights, with glass wrap-around; generous outdoor space – up to 20 per cent of the floor area; luxury specification, notably better than the rest of scheme; being at the top of an iconic tower and designed by a leading architect; top appliances with ground-breaking technology; a broad range of facilities and additional amenities in development; state of the art security; spectacular views over the city or a park; location, location, location!