Robust Demand in New Home Sales as Buyer Invests HK$40 Million in Seasons Place

The real estate market in the city continues to exhibit vigor, with new home sales remaining robust. A single buyer made a substantial investment of HK$40 million, purchasing six flats at Seasons Place in Lohas Park.

Developed by Wheelock Properties and MTR Corporation (0066), the project launched its second sales phase for 282 flats. Approximately 100 flats were snapped up within the first day of sales.

In notable transactions, one buyer invested HK$40.77 million for six units, while another acquired four units for HK$26.35 million.

According to Ricky Wong Kwong-yiu, the executive director of Wheelock Properties, all two-bedroom units were sold, with three-bedroom apartments nearing a sellout. Wong anticipates that Wheelock will achieve its annual sales goal of HK$10 billion as early as April.

The demand for Seasons Place was overwhelming, with the project receiving 11,780 checks, resulting in an oversubscription rate of over 40 times.

Other developers are also entering the market with new offerings. Kerry Properties's (0683) Mont Verra in Beacon Hill is setting up for the sale of two luxury apartments by tender this Sunday. These exclusive residences feature 8,239 square feet of space, five bedrooms, and three additional rooms for household staff.

Meanwhile, CK Asset (1113) is on the verge of releasing the first price list for its Blue Coast project in Aberdeen.

Additionally, CK Asset has listed 25 more flats at Harbourview Horizon in Hung Hom for rent. Prospective tenants have the opportunity to rent a two-bedroom unit measuring 600 square feet for HK$19,000 per month, provided they sign a lease by June and pay at least six months of rent upfront.

Despite this uptick in transaction activity, property prices in Hong Kong remain at a relatively modest level.

Midland Realty has tempered expectations for a sharp rebound in prices, even after the removal of housing curbs one month ago. Factors such as high interest rates, Sino-US tensions, and a substantial inventory of new homes are contributing to this outlook.

Nevertheless, a modest increase in property prices is anticipated for the year. Knight Frank suggests that a rebound in the second half of the year is plausible should interest rates begin to decrease.

Billy Hui Him-yeung, executive director of Nan Fung Development's Hong Kong property division, has projected that local property prices could see an increase of 5 to 10 percent this year if there is a cut in interest rates.