A private investor who owns a portfolio of Link REIT shopping centres is reported to have sold three office floors in a Kowloon city residential and commercial complex for HK$1.16 billion ($148 million), according to local media accounts.
The third, fifth, and sixth floors in the commercial podium of the Harbourfront Landmark building in Hung Hom, were sold by private investor Lam Chi-fung (林子峰). With a combined floor area of 77,021 square feet (7,155 square metres), the properties were offloaded at HK$15,034 per square foot.
An account in the Sing Tao Daily identified the buyer as Hong Kong-based real estate investment firm Pamfleet, however, a Pamfleet executive contacted by Mingtiandi refuted the local media account.
Hung Hom to Be Home to Hong Kong’s High Speed Train
Located at 11 Wan Hoi Street in Hung Hom, Kowloon, the 233-metre Harbourfront Landmark is a largely residential complex built in 2002. The property comprises three residential towers of 59, 57 and 55 storeys above a seven-storey commercial podium.
The complex fronting Victoria Harbour is located a five-minute walk from the Whampoa MTR station on the Kwun Tong line. The new owner is expected to earn around three percent rental yield from the currently vacant properties.
Hung Hom, which is located just north of Tsim Sha Tsui East in the Kowloon City district, has seen an increase in investor interest in recent years due to its being home to the Hong Kong terminal for the Guangzhou to Hong Kong high speed train due to open later this year.
Just last month Li Ka-shing’s CK Asset was revealed as having applied to redevelop its Harbourview Horizon hotel in Hung Hom into a pair of 29-storey office buildings.
Mall Investor Sees 39% Appreciation on Office Asset
After Lam purchased the floors in January 2017 for HK$886 million from Prosperity REIT, the asset reportedly gained HK$274 million in value, an appreciation of nearly 39 percent. Described by the local press as a seasoned property investor, Lam also owns local shoe retailer Union and snack store chain Best Mart 360.
Lam is best known for splashing out HK$4.3 billion to buy nine shopping malls and some 3,000 parking spaces from Link REIT in a span of three years starting in 2014. His portfolio includes Tsing Yi’s Cheung Hong Commercial Centre, bought in February 2017 for around HK$1.1 billion.
The prolific investor said early last month that he plans to allocate HK$7 to HK$8 billion for the acquisition of industrial and office properties this year. Lam added that he favours industrial buildings in East Kowloon and office towers on Hong Kong Island.