In June 2007 Folkestone acquired a 1.13 hectare parcel of land at 169 Noone Street in the inner Melbourne suburb of Clifton Hill in a 50:50 joint venture with SPP No: 2. Folkestone is the development manager for the joint venture.  The development, known as The Terraces Clifton Hill, is a 103 residential dwelling project comprising 58 townhouses and 45 apartments.

Pre-sales totaling $44.988 million have been signed to date which includes the sale of the Stage 6 townhouse site, comprising 16 lots, as a super lot.  The pre-sales represent 83% of the total estimated revenue for the project. 

The debt facility has been re-financed with St George Bank during the current period and now runs until March 2011.

Based upon the current construction timetable, it is still anticipated that settlements will commence in the last quarter of the 2010 financial year.