Mingtiandi

Asia real estate and outbound investment news

  • Facebook
  • LinkedIn
  • RSS
  • Twitter
Sign Up / Login Logout

Lost your password?
Register
Forgotten Password
Cancel

Register For This Site

A password will be e-mailed to you.

  • Capital Markets
  • Events
    • Mingtiandi 2022 Event Calendar
    • APAC Residential Forum 2022
    • Asia Logistics Forum 2022
    • Asia REIT Forum 2022
    • APAC Data Centre Forum 2022
    • Singapore Focus Forum 2022
    • Office Strategies Forum 2022
    • More Events
  • MTD TV
  • People
  • Logistics
  • Data Centres
  • Asia Outbound
  • Retail
  • Research & Policy
  • Advertise

Tender in Hong Kong’s Repulse Bay Could Yield City’s Priciest Housing Site Ever

2021/12/28 by Christopher Caillavet Leave a Comment

South Bay Road

The site will allow for a few new homes along South Bay Road

A residential development site in Hong Kong’s exclusive Repulse Bay area will go up for sale in a public tender opening on 31 December, the government announced late last week.

The land parcel on South Bay Road, known as Rural Building Lot No.1203, has a site area of 21,173 square feet (1,967 square metres) and can yield up to 19,055 square feet of housing, with the tender set to close on 11 February, the Lands Department said in a release.

Essensys - Verdantix research repot

The sale in Repulse Bay, which is home to the Yung (Rong) family that founded Citic and Canto-pop crooner Jacky Cheung, comes after transactions of homes worth HK$100 million ($12.8 million) or more in Hong Kong reached a near-record total of HK$46.4 billion during the first 11 months of 2021, according to Colliers International.

With the demand for posh homes on the rise, Vincent Cheung, managing director at property consultancy Vincorn Group, estimates that the site could fetch as much as HK$1.52 billion ($190 million), which would translate to a price per square foot of HK$80,000 and make the prime plot the city’s most expensive ever per unit area.

Uncommon Luxury

That record price would set up the site’s buyer to build homes for only a few of Hong Kong’s elite, with Cheung telling Mingtiandi that the plot opposite the Hong Kong Life Guard Club along South Bay Road, given its limited size and restricted plot ratio, could yield as few as four or possibly five fully detached homes, which would sell for prices in the neighbourhood of HK$120,000 to HK$130,000 per square foot.

martin wong knight frank

Martin Wong of Knight Frank

Martin Wong, head of research and consultancy for Greater China at Knight Frank, was more conservative in his view of the site’s appeal, estimating that the plot could bring in HK$1 billion to HK$1.2 billion, or an accommodation value of HK$55,000 to HK$63,000 per square foot. Even at those rates, the sale would still set a price record.

Sales of homes in this class have been sparse recently in Repulse Bay, whose other famous residents have included screen star Maggie Cheung and the late casino tycoon Stanley Ho. But Wong cited a notable deal in May of this year at 90 Repulse Bay Road in which one of the project’s 11 three-storey houses sold for HK$467.3 million, or HK$83,000 per square foot.

Completed by Li Ka-shing’s CK Asset in 2018, 90 Repulse Bay Road sold the first three units that same year for HK$508.67 million, HK$495.95 million and HK$467.15 million, the South China Morning Post reported.

“For Repulse Bay as a whole, luxury home prices went up by 4.8 percent this year,” Wong said.

Alkan Au, senior director of the valuation department at JLL Hong Kong, in comments to the Standard when the Repulse Bay site was first added to the government land sale calendar in September, said homes in the area were already selling for more than HK$100,000 per square foot. The most recent residential site to change hands in the area was 92 Repulse Bay Road, which sold last year for around HK$73,000 per square foot of floor area.

High-End Housing Boom

The tender for the South Bay Road site comes after JLL noted a jump in Hong Kong luxury sales this year, with the property consultancy tracking a 131 percent year-on-year surge in the number of residential units sold for prices in excess of HK$100 million during the first nine months of 2021, with 199 such transactions having been recorded during the period.

Earlier this month, Henderson Land Development acquired a building in the Mid-Levels area of Central for HK$522.1 million via compulsory sale for redevelopment into a luxury residential project. The group is paying about HK$16,000 per square foot for the remaining space in 94-96 Robinson Road so that it can add the ageing building to an adjacent site it already owns at 98-100 Robinson Road, with the development expected to yield a total gross floor area of 60,800 square feet.

REIT forum 2022 Web banner

Robinson Road has been a recent hotspot for residential sites, with cash-strapped mainland developer China Aoyuan recording a HK$900 million disposal of its 86.4 percent interest in the Yin Yee Mansion on 63-67 Robinson Road in November.

In October, the family owned Peterson Group bought the Valley Villa residential project in a toney section of Hong Kong Island’s Happy Valley for HK$1.24 billion with an eye towards redevelopment into low-density luxury flats for long-term investment.

Share this now

  • LinkedIn
  • Share
  • Tweet
  • Email

Filed Under: Projects Tagged With: daily-sp, Featured, highlight, Hong Kong, Hong Kong land sale, Knight Frank, Repulse Bay

https://player.vimeo.com/video/658908143?h=a78a28dee7

Leave a Reply

Your email address will not be published. Required fields are marked *

Essensys - Verdantix research repot

Get Mingtiandi Delivered

Office forum 2022 Web banner

MTD TV

Warburg Pincus, Princeton Digital Foretell Asia’s Data Centre Future
Investors Boost APAC Logistics Deals Amid E-Commerce Boom

More MTD TV Videos>>

People in the News

trent iliffe
ESR-Logos REIT Adds Trent Iliffe to Board, Appoints Karen Lee as Deputy CEO
serene nah kerry
Kerry Properties CFO Resigns After Less Than 8 Months on Developer’s Board
Lu Yi Shimao
Asia Real Estate People in the News 2022-06-27
Wu Jianxin Kaisa
Asia Real Estate People in the News 2022-06-20

More Industry Professionals>>

People in the News

ESR-Logos REIT Adds Trent Iliffe to Board, Appoints Karen Lee as Deputy CEO

trent iliffe

The manager of ESR-Logos REIT announced a flurry of people moves on Friday to round out the board of directors and … Read More>>

Kerry Properties CFO Resigns After Less Than 8 Months on Developer’s Board

serene nah kerry

Hong Kong-listed developer Kerry Properties waited until the city was transfixed with the arrival of a visitor from the … Read More>>

Asia Real Estate People in the News 2022-06-27

Lu Yi Shimao

A senior appointment by one of China’s crew of defaulting privately-controlled developers leads this week’s roundup of … Read More>>

Asia Real Estate People in the News 2022-06-20

Wu Jianxin Kaisa

Top level executive changes at a pair of major mainland real estate companies lead this week’s round-up of personnel … Read More>>

More Industry Professionals>>

Latest Stories

Du Shuanghua Bright Ruby
Mercatus Selling 16 Collyer Quay in Singapore to China’s Bright Ruby for $717M
carol Lofter Group
SC Capital, Lofter Apply to Buy Out $108M Hong Kong Project
Lee Jin Yong ARA
ARA US Hospitality Trust Selling Four Hotels to Three Wall Capital for $32.5M

Sponsored Features

Should Proptech Give Us Sleepless Nights?
Hong Kong’s Evolving Commercial Real Estate Landscape
Opportunities in the Greater Bay Area

More Sponsored Features>>

MTD-QR-Code-320

Connect with Mingtiandi

  • Facebook
  • LinkedIn
  • RSS
  • Twitter

Real Estate News

  • Capital Markets
  • 2022 Event Calendar
  • MTD TV Archives
  • People
  • Logistics
  • Data Centres
  • Asia Outbound
  • Retail

More Mingtiandi

  • About Mingtiandi
  • Contact Mingtiandi
  • Mingtiandi Membership
  • Newsletter Subscription
  • Advertise
  • Terms of Use
  • Privacy
  • Join the Mingtiandi Team


© 2007-2022 China Advertising Media Ltd (Samoa). All rights reserved.