Hong Kong’s Wheelock prices Lohas Park project Seasons Place at 5-year low for Tseung Kwan O

Hong Kong’s Wheelock prices Lohas Park project Seasons Place at 5-year low for Tseung Kwan O

Hong Kong’s Wheelock prices Lohas Park project Seasons Place at 5-year low for Tseung Kwan O

Hong Kong developer Wheelock Properties has priced a first batch of 130 units at its Seasons Place residential project in Tseung Kwan O at a five-year low for the district.

The project, which is the first of a three-phase residential development in Lohas Park Phase 12, or Phase 12A, will have 650 units and is being developed with transit operator and developer MTR Corp. These three phases of Lohas Park – 12A to 12C – will provide a total of 1,985 units.

According to a price list released on Thursday, the average price per square foot of this batch after discounts is HK$14,188 (US$1,814), the lowest price in the district since the introduction of Grand Montara in Lohas Park’s Phase 7B in June 2019. The first 101 units at Grand Montara, which was also developed by Wheelock, were priced at an average of HK$13,999 per square foot.

“I believe that the first batch of flats will have a good chance of being sold out, and the remaining phases will be launched according to market response,” said Stewart Leung Chi-kin, Wheelock’s chairman. As Hong Kong’s economy is recovering, property prices will see an increase of 5 to 7 per cent this year, added Leung, who also chairs the Real Estate Developers Association of Hong Kong.

Seasons Place’s first batch is also 16 per cent cheaper than the first 130 flats put up for sale at Villa Garda III in Lohas Park’s Phase 11, which was launched in August last year. The project has been developed by Sino Land, K Wah International and China Merchants Land.

Wheelock might present eye-catching offers to potential homebuyers when so many property projects are being launched at the same time, said Will Chu, senior research analyst for Hong Kong and China property at CGS International Securities.

Wharf sees more struggles ahead in China after weak 2023 property sales, profit

“Having said that, Wheelock might gradually raise the average selling price in subsequent batches,” Chu said. “Also, Wheelock’s financial position should be sound, and it is not in a hurry to clear inventories.”

Thursday’s price list might put some pressure on selling prices in the secondary market in Tseung Kwan O, especially Lohas Park, he added.

“It is believed that the project will be particularly attractive to young first-time buyers and investors,” said Sammy Po Siu-ming, CEO of Midland Realty’s residential division for Hong Kong and Macau. “It is expected to attract about 70 per cent end users and about 30 per cent investors, with an expected rent of about HK$47 per square foot and rental returns of about 3.5 to 4 per cent.”

Hong Kong property: all eyes on CK Asset project for ‘direction’ on prices

Meanwhile, Wong Sun Hing will put up 336 units for sale at its Uptown East development in Kowloon Bay on Sunday. The units will be priced from HK$3.73 million to HK$8.98 million after discounts, or HK$12,979 to HK$17,394 per square foot.

Source link