New-builds overtake period homes in London's most famous postcode

Mayfair, London’s most famous address, is in a state of radical metamorphosis, a local agency brand claims.

A new report from Mayfair agent Wetherell reveals that sales of homes in high-end newly built developments – many offering Dubai-style “seven star” facilities – outstripped those of the traditional period stock last year, accounting for more than two-thirds of sales.

In the £5m-plus category, with a total of just over £793m of sales in Mayfair during 2022, 70% was for new-build homes. 

The £10m-plus market in Mayfair also saw the dominance of this sector last year, out of a total value of £634.7m, new homes accounted for 80% of sales.

Wetherell say that the shift from period home sales to new homes reflects a pattern that has been emerging since 2018, when sales of new homes first began to outstrip those of more traditional period housing stock. 

Prior to 2018 the private sale housing stock in Mayfair was dominated by unmodernised period or refurbished homes, since 2018 the supply of new homes has risen dramatically, with new luxury developments now lining Grosvenor Square and surrounding streets.

The Wetherell report adds that apartment living in Mayfair across all styles of property, however, has seen a post-Covid resurgence, both in sales volume, values and lets. 

The Wetherell analysis shows that in 2022 only 7% of sales were houses. 

Achieved prices for flats have risen by 6% over the past five years: the average price per sq. ft. for a two-bedroom flat was £2,071, for a three-bedder £2,367 per sq. ft. and for a four-bedder-plus, £3,478. The average price per sq. ft. for a house was £2,692. 

Wetherell say that three distinct private residential property sectors are now emerging in Mayfair, historic unmodernised character homes, refurbished period properties and modern new-builds.

Peter Wetherell, founder and executive chairman of Wetherell, said: “Mayfair has got its mojo back.

“Mayfair has always been the best area to live, work and play in London, but as our new survey reveals historic Mayfair has been replaced by a new modern Mayfair. “Alongside new homes the area now attracts all the A-listers and celebrities and boasts re-imagined flagship hotels, revived luxury retail, new clubs, modern HQ offices and vastly improved public realms, it’s no surprise there has been a huge demand for the area’s new prime residential developments, with all the facilities you could ever want on tap.”

“Buyers have leapt at a ‘once in a lifetime’ opportunity to be part of a residential development boom not seen in nearly 100 years: a dozen new developments in and around the area are now providing nearly 500 new homes, the housing market in Mayfair has changed beyond all recognition.”