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Kensington continues to see steady residential growth, with several apartment developments reshaping parts of the suburb as the year draws to a close. Among the most advanced is The Kensington, a major project on Anzac Parade that is set to add 142 new homes to the area when it is completed in early 2026.

The eight-storey building recently passed a key construction milestone, marking visible progress after months of groundwork and early building stages. While not the only project underway in Kensington, it has become a clear marker of the suburb’s ongoing transition.

A Suburb in Transition

Apartment development has been a growing feature of Kensington in recent years, particularly along major corridors such as Anzac Parade. Proximity to public transport, education precincts and employment hubs has made the suburb a focus for medium-density housing.

Planning approvals across Kensington have aimed to balance increased housing supply with existing neighbourhood character, a conversation that has continued as more projects move from approval into construction.

The Kensington Project

The Kensington development illustrates the scale of change taking place. Once complete, the project will deliver 142 apartments in a single building, making it one of the larger recent additions to the local housing stock.

Construction reached an important stage earlier in the spring, allowing work to progress beyond early structural phases. As of mid-December, activity on site remains ongoing as the project moves toward internal works and finishing stages. Move-in is projected in mid-2026.

What This Means for Locals

The increase in apartment living is expected to bring more residents into Kensington, with flow-on effects for local shops, transport services and public spaces. For long-term residents, the changes are part of a broader pattern of infill development across Sydney’s inner suburbs.

At the same time, council and planners have acknowledged the importance of managing construction impacts and infrastructure demand as population density increases.

Looking Ahead

With projects like The Kensington progressing toward completion in early 2026, further changes to the suburb’s streetscape are expected over the coming year. While individual developments come and go, together they reflect a continuing shift in how Kensington grows and adapts to housing demand.

Published 10-Dec-2025

A $250 million mixed-use development in Kensington has reached its structural milestone, marking progress toward the completion of 142 new apartments and retail spaces along Anzac Parade.

Major Milestone for The Kensington

Construction of The Kensington, developed by TOGA, has reached its topping-out stage, signifying the completion of the building’s main structure. The project is scheduled for completion in early 2026 and will feature a mix of one-, two-, and three-bedroom apartments, along with dual-level SOHO residences that integrate workspace and home living.

The eight-storey development includes ground-floor retail and hospitality tenancies designed to activate Anzac Parade and contribute to the suburb’s growing high-density character.

Expanding Housing Options in Kensington

Kensington continues to evolve into a higher-density, transit-oriented precinct following major infrastructure and commercial upgrades along the light rail corridor. The suburb has attracted over $1 billion in public and private investment, strengthening its role in addressing Sydney’s increasing housing demand.

Under the NSW Housing Accord, Randwick Council has set a target of 4000 additional dwellings by 2029. Kensington, currently home to about 59,000 residences, contributes to this growth as new developments increase local housing availability.

Sydney apartments — *Photo Credit: The Kensington*

Design and Amenities

The Kensington will offer a range of shared amenities including co-working spaces, social lounges, a games room, library, and a rooftop terrace with city views. Residents will also have access to landscaped communal areas designed to encourage connection and flexibility in modern urban living.

The building’s design was led by Turner Architects, with interiors by Richards Stanisich. Both firms focused on functionality, open layouts, and a seamless transition between indoor and outdoor spaces.

Market Conditions and Demand

Colliers has identified Kensington as one of Sydney’s most supply-constrained apartment markets, with vacancy rates sitting below 2 per cent. Market data varies across sources, with one report noting a 15.4 per cent decline in rents since late 2024, while another recorded a 20 per cent rise over the past year, reflecting differing market snapshots.

Despite this, interest remains high among investors, downsizers, and young professionals drawn to the suburb’s proximity to UNSW, the Randwick Health Precinct, and nearby beaches.

From Hotel Site to Residential Precinct

The site previously operated as the Addison Hotel before being repurposed as a temporary homeless shelter and later as an OzHarvest supermarket. Its redevelopment into The Kensington marks the site’s transformation into a long-term residential and commercial precinct aligned with the suburb’s broader renewal.

Next Steps

Construction is approaching completion, with apartments expected to be ready for occupancy by early 2026. Once finished, The Kensington will add to the suburb’s growing housing stock and strengthen Kensington’s position as a key growth hub within Sydney’s eastern suburbs.

Published 28-Oct-2025

Tag: The Kensington

Kensington Sees Ongoing Apartment Growth as New Projects Take Shape