Sun Hung Kai, led by Raymond Kwok, has driven up prices for new home projects with its record-breaking land deal
Leading today’s Hong Kong real estate news, property developers in the city have reacted quickly to the record-shattering land sale in the Kai Tak area last week by raising prices for new residential units, with price hikes of as much as 68 percent seen as Sun Hung Kai’s HK$25.16 billion purchase boosted market confidence. Also in the headlines, office rents last month posted the fastest rise in price in five years at 1.1 percent, according to property consultancy JLL, and sentiment is turning positive for the city’s retail property market. All these stories and more await you, if you just keep reading.
Developers Raise Prices up to 68% After Kai Tak Land Sale
Hong Kong developers are raising the prices of their unsold units by as much as 70 percent in a sign that the world’s hottest property market is a long way from running out of steam.
Kerry Properties has priced a flat at The Bloomsway in Tuen Mun at HK$16.14 million ($2 million), or HK$18,724 per square foot, up 68 percent from two years ago, while a 964-square foot (89 square metre) unit at K. Wah International’s K. City, in Kai Tak, has increased 13 percent from when it first went on the market in March 2017. Read more>>
Office Rents Climb at Fastest Rate in 2 Years in April
Rents in Hong Kong’s office market in April grew at their fastest pace in more than two years, said property consultants. Overall rents climbed 1.1 percent in April from the previous month, after advancing a mere 0.2 percent growth in March, according to Jones Lang LaSalle.
Tenant demand focused on Hong Kong East and Kowloon East last month, with both areas together accounting for 76 percent of all new lettings. Read more>>
Retail Space Demand Holds Steady in Q1, First Time in 5 Years
For the first time in five years, the demand for retail space in Hong Kong has not declined. Results from the RICS (Royal Institution of Chartered Surveyors) Hong Kong Commercial Property Monitor for this year’s first quarter indicate that the demand for retail space has not changed from last year’s fourth quarter.
The Occupier Sentiment Index (OSI) increased modestly to 14 from 10 the previous quarter, while the Investment Sentiment Index (ISI) grew six points to 19. There was a moderate increase in the number of retail properties available for rent, with respondents reporting an increase in landlord incentives for retail space. Read more>>
Millennials Snap Up Over Half of New Projects in 3 Days
Hong Kong’s millennials, fearing that they will soon be unable to afford property in one of the world’s most expensive cities, have joined the real estate rush.
Buyers snapped up about 250 units in four projects with prices ranging from HK$19,975 to HK$28,235 ($2,545 to $3,600) per square feet during the past three days, proof that there is no sign of a slow down in the city where house prices have been rising for 24 consecutive months, according to real estate company Colliers International Hong Kong. Read more>>
K Wah International Launches 1,122-Unit Tai Po Project
K Wah International Holdings will this week reveal the prices of homes at Solaria, its latest residential project. Located in Tai Po, Solaria offers a total of 1,122 apartments and the first batch of pre-sales will go on the market next month, according to general manager Tony Wan Wai-ming.
The homes include studios (225 to 298 square feet) one-bedroom homes (303 to 352 sq ft), two-bedroom flats (432 to 528 sq ft), three-bedroom apartments (573 to 833 sq ft), and some special units (436 to 2,356 sq ft). Read more>>
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