The £3 billion ($4 billion) transformation of Queensway, the high street rubbing up against Hyde Park in central London, has moved to the next chapter with the launch of a new residential development.
Vabel Townhouse, comprising 28 homes and two ground-floor commercial units, is in the heart of the rapidly evolving neighbourhood of Bayswater and will be accompanied by the overhaul of neighbouring shops.
Bayswater is well known for its grand white Victorian stucco terraces and leafy garden squares, and has been popular with Middle Eastern buyers for decades.
A £15 million three-floor apartment that was once the home of bookseller, businessman and statesman William Henry Smith, of WH Smith retail fame, is currently for sale.
But Queensway had become tired and dilapidated after decades of underinvestment and changing retail habits. Acquisitions of the varied properties by just a few developers has led to its new lease of life.
Vabel Townhouse is the third major development on the street, following the resurrection of department store Whiteleys by developer Valouran as a luxury apartment complex, The Whiteley, featuring a Six Senses hotel, and the completion of the upscale residences at Park Modern, overlooking Hyde Park.
The penthouse of Park Modern, developed by Fenton Whelan, was bought by AI pioneer Igor Babuschkin earlier this year in a deal worth around £60 million, while a £40 million sub-penthouse is still available.
Vibrant
The Vabel design and development studio is working with investment and leisure group Bourne Capital on a long-term strategy to turn the southern end of Queensway into one of central London's most vibrant neighbourhoods, with companies signing up including coffee brand WatchHouse, Whole Foods Market inside the leisure arcade, Barry’s gym, and several restaurants and wellness studios.
The redevelopment is expected to draw people from the Gulf looking to live near the centre of the capital.
Daniel Daggers, founder of super-prime estate agent DDRE Global, said Middle Eastern buyers have always understood the value of “buying into locations before they reach full maturity”.
“Queensway sits in a unique position,” he told The National. “It has all the fundamentals of a prime central London address, including Hyde Park, luxury hotels, health care, education and excellent connectivity, but it's now undergoing a transformation that is redefining the neighbourhood.
“Some have even started referring to Bayswater as 'The Bay', reflecting the growing confidence and identity the area is beginning to establish.”
He has seen interest from buyers “who want more than a prestigious postcode”, where investment does not “lose the characteristics that made the area attractive in the first place”.
“In many ways, this area feels reminiscent of the Upper West Side in New York before its rise, where the fundamentals geographically were always there, but the housing supply and amenities had yet to catch up.
“That is now changing.”
Nina Coulter, Head of Residential Development Sales at Savills, said Middle Eastern buyers were attracted to the “lively, vibrant but still prime location, a sense of destination and a long-term capital growth upside” of the neighbourhood. “Buying Queensway now is being part of London’s newest chapter,” she said.
Prices at Vabel Townhouse start from £1,750,000 for a one-bedroom apartment, £3,500,000 for a two bedroom and £5,850,000 for a three bedroom. Pricing for the development's two penthouses will be announced later this year. Almost a third of the development is furnished, reflecting the studio's belief that buyers should be able to “fully immerse themselves in the living experience”.
Daniel Baliti, managing director and co-founder of Vabel, said: “We've gone far beyond the traditional show apartment model. This allows buyers to experience the breadth of the scheme and understand how different apartment types, layouts and spaces can support different ways of living.”
There is also a private gym and wellness space, landscaped gardens, secure underground parking, 24-hour concierge and security services.
Vabel Townhouse is the first of two major projects the developer is delivering in Queensway. The studio recently secured planning consent for Queensway Parade, a 200,000 sq ft mixed-use regeneration project that will deliver 94 new homes alongside shops and cafes. Together, the two schemes represent a combined gross development value of about £400 million.
To date, Vabel has delivered more than 300 homes across London, from boutique developments in Fitzrovia and Mayfair to larger regeneration projects in Kentish Town and Kensal Green.
Mr Baliti said: “Queensway is undergoing one of the most significant transformations in prime central London. We have been working closely with local landowners to actively shape the placemaking strategy for the southern end of the street and what is emerging is genuinely exciting.”
Living history
A few streets away is the property on Hyde Park Street, showing that Bayswater has history as well as new developments.
The grand property was originally three apartments and has been converted and extensively refurbished into a single 4,400 sq ft residence, complete with a blue heritage plaque commemorating its former owner WH Smith, courtyard and landscaped gardens.
William Henry Smith was a celebrated bookseller, newsagent and politician. He was the head of the family retail business, WH Smith, which his grandparents founded in 1792, and he transformed it into a household name. He introduced the sale of books and newspapers, and secured a contract with the railway network to be the exclusive retail store at train stations across the UK.
He was elected a member of parliament in 1868 and rose to the position of First Lord of the Admiralty less than a decade later. Because of his lack of naval experience, he was perceived as a model for the character Sir Joseph Porter in the comic stage show HMS Pinafore and was consequently nicknamed Pinafore Smith.
Martin Bikhit, founder and c heif executive of UK Forbes Global Properties, said: “The most desirable homes in London tend to share one characteristic: they are impossible to replicate. Buyers are not simply acquiring a remarkable residence. They are becoming custodians of a small piece of London’s history.”
