New homes on offer in Hong Kong over the weekend were greeted with fanfare and enthusiasm, as a stronger-than-expected growth pace in the city’s economy bolstered confidence and brought investors back into the property market.
Road King Infrastructure Limited sold all 180 of its South Land flats at Wong Chuk Hang, repeating its sell-out weekend amid enthusiasm for the first mass property project atop a subway station in decades. In Mong Kok, Sino Ocean sold 27 of the 45 flats on offer at its Uptify project, sales agents said.
“The sales results were not a surprise,” said Midland Realty’s residential division chief executive Sammy Po. “A high sales number was expected. Some units priced at more than HK$7 million (US$901,380) at Uptify were unsold because buyers were taking a wait-and-see attitude.”
Road King Infrastructure Limited’s South Land (green tall building in the background) in Wong Chuk Hang on May 1, 2021. Photo: Xiaomei Chen
The strong sales response underscores how the forecast-beating performance by Hong Kong’s economy had lifted sentiments. First-quarter economy expanded 7.8 per cent at the fastest pace in 11 years, beating economists’ forecasts while ending a six-quarter losing streak.
Hong Kong’s home prices have edged upwards in recent months as a rising number of vaccinations helped the city authorities get the Covid-19 pandemic under control.
Prices at South Land’s 180 flats started at HK$11.6 million, going up to HK$66 million (US$8.5 million), or a range of HK$27,005 to HK$54,187 per square foot.
Sales of South Land apartments in Wong Chuk Hang, at the developer’s sales office at One Island South on May 8, 2021. Photo: Jonathan Wong
The project’s sales kicked off on May 2, when Road King put the first 240 apartments of South Land on the market. The project sold out, with as many as 22 buyers bidding for every available unit. One family spent HK$200 million to snap up seven of the three-bedroom apartments during the sale, agents said.
Across town in Mong Kok, Uptify was priced between HK$3.98 million and HK$7.34 million, or HK$19,596 to HK$25,055 per square foot. The project was favoured by first-home buyers and younger residents, who made up most of the buyers registering their bids, according to agents.
More than 600 new apartment units had been transacted in May, and the number is likely to break through the 1,000 mark after buoyant sales this weekend. Last weekend, more than 900 flats hit the city’s residential property market, the biggest sale in seven months.
On Sunday, Henderson Land Development will offer 196 units at The Henley, its first project in Kai Tak. Prices of the project are 11 per cent higher than another project on the site of the city’s former airport in February.