Record price tag for house in celeb street millionaire's row

If the unglamorous name were any guide, Gilston Road could be a row of two-up-two-down terraces or perhaps the title of a failed soap opera or a Paul Weller album.

But this small street in London SW10 has recently joined the Upper East Side in New York, the Sydney Harbour area and Monaco as one of the world's most desirable – and expensive – addresses. The street in South Kensington was anointed as one of the planet's premier locations after George Michael put on the market his Gilston Road house for £8.25m this week.

The six-bedroom Victorian residence, which has a tower and walled garden, has few rivals among the prominent and attractive houses on the street. In terms of pounds per square foot it is the most expensive property in Britain.

The house achieved notoriety last year when the media mogul Chris Evans bought it for £6.7m then – without moving in – sold it to George Michael for £7.25m, which is £1,700 per square foot.

Estate agents fully expect Michael to achieve the asking price, setting a new record of £1,940 per square foot. At 4,250 square feet it is not particularly big but, in the parlance of estate agents, the house has enormous pavement appeal.

David Forbes, of the Chesterfield agency, which has sold several houses on Gilston Road, said: "You would be thrilled every time you came home to walk up to the front door and think, 'This is my house'.

"It has great presence on the street with a lovely walled garden. It has always been a marker house for the market."

Whoever moves in will have impressive neighbours. David Bowie, Rowan Atkinson and the fashion designer Tom Ford all live in the street. And a host of wealthy industrialists and City bankers have succumbed to the thoroughfare's charms, earning it the sobriquet Goldman Sachs Alley.

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