Five large houses are to be built on two blocks in Spring Street, near Byng Street, with the largest expected to sell for more than $800,000.

Professionals Orange real estate agent Alistair Miller said it marked a significant change for the traditional working class East Orange area and its older cottages.

"This development is going to be the first of many of its kind in East Orange and elsewhere in Orange," he said. "They are large, substantial houses, 220-240 square metres [floorspace].

"It is really obvious having these new buildings in an older area is a quantum step."

He said it was not a unit development, instead they would be separate houses with between two, three and four bedrooms.

Mr Miller said the most expensive house to be built on the site would be above average for the area.

"I can't think of a place that has gone for that much of late," he said.

"It is pushing a new price point."

Mr Miller said work would start on the project soon.

"[We're] hoping to kick off construction in the next few months."

He said the developer was looking to set a standard to follow with other projects in Orange.

The development sits on two blocks in Spring Street.

VIDEO: TAKE A LOOK AT THE NEW HOUSES

The house on the site will be retained and redeveloped to fit in with the style of the new builds.

Mr Miller said the site would have one four-bedroom house, two three-bedroom and a couple of two-bedroom homes. It is expected even the lowest price will be about $500,000.

The property at 56-58 Spring Street last sold for $560,000 in 2019.

The land size was listed as 1960 square metres.

According to the NSW Valuer General's property sale price list it was the second highest priced sale achieved in Spring Street in the past five years.

It was bettered by a property at 86 Spring Street which sold for $640,000 in 2018.

Most of the 42 sales in the street in that time have been below $400,000.

According to property website realestate.com.au the median property price for houses in Orange as of last Friday was $525,000.

The median price for two-bedroom houses was $380,000, three-bedroom $447,500 and four-bedroom $625,000.

It said the median price for units was $318,500.

The median for two-bedroom units was $314,000 and three-bedroom units $435,000.

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