Advertisements of The Block Gold Rush homes – being created out of St Kilda’s Oslo Hotel – go live

September 9, 2019September 9, 2019 Marc Pallisco

Agents are expecting the five townhouses, renovated as part of the latest series of The Block, Gold Rush, to sell for between $3 million and $3.3 million.

Advertisements for the four-bedroom homes at 38 Grey Street went live last week.

Producers aren’t publishing home floor plans – however our story from last August – link here – has them from when the redevelopment application was lodged with the City of Port Phillip council.

Five teams of two are competing for the grand prize of $100,000 – awarded to the contestants whose home sells for the most over the reserve.

All teams will pocket any ‘profit’ – deemed for the sake of the TV show as the sale price, less the reserve.

In July, we reported that The Block will be based at Brighton next year.

But could this claim have been left on the cutting room floor?

Curiously, The Block producers – with commentary in this video, by host Scott Cam – make out that year 2018 was “a cause for celebration” in Melbourne’s residential market, and 2019 “is a different story”.

Many agents might consider these dates reversed – with few vendors celebrating last year – as prices fell from their 2017 peak – stalling, in many regions, until May, 2019, when Bill Shorten lost the federal election.

The Block Oslo apartments have arguably hit the market at a time when there is much more buyer and investor confidence than when producers offered The Gatwick flats, also in St Kilda, last October.

This confidence is being evidenced in recent sale results, often well above reserves, and clearance rates, which are at cyclical record highs this quarter.

All that said, the reserve prices of the c460 square metre Grey Street homes circle $3 million – similar to the (half the size) Gatwick apartments which all sold under the hammer in last year’s season.

The building

The Oslo Hotel was created by merging five neighbouring townhouses which were built in 1871.

The complex was originally known as Killeen, then, Westbourne Terrace.

In recent years it became a backpacker hostel with shared rooms available from $17 per night.

The Block producers acquired the Oslo last year, off market, for about $11 million, following the death of its former, long-time owner.

The dwellings

38A Grey Street

Contestants: Mark and Mitch

Agents: Wilson Port Phillip’s Graeme Wilson and Grace Le-francke

The master bedroom of this home was fit out as a lounge room by the contestants – but is being promoted as a fourth suite, online.