Sun Hung Kai Properties

Bayside project lures fewer developers

PUBLISHED : Thursday, 28 June, 2012, 12:00am
UPDATED : Thursday, 28 June, 2012, 12:00am

Fourteen developers have expressed interest in the HK$9.5 billion Tsuen Wan West MTR Bayside waterfront residential project.

The developers, including Cheung Kong, Sun Hung Kai Properties, Henderson Land, Chinachem Group, Nan Fung Development, New World Development and Wheelock Properties, submitted expressions of interest yesterday. The Bayside project will be up for tender soon.

Vincent Cheung Kiu-cho, national director of Greater China at Cushman and Wakefield, said he expected more developers to join the tender even though fewer developers showed interest in the project yesterday than last year.

Seventeen developers submitted expressions of interest for the site last year.

The site attracted four bidders - Sun Hung Kai Properties, Cheung Kong, Sino Land and a consortium of New World Development, Nan Fung Development and Wheelock Properties - to join the tender last year. However, it was withdrawn from the tender process early this year as the offers were too low.

'The government may lower the reserve price because of the withdrawal. I think more developers will bid for the site to see if they can buy it cheap,' Cheung said, adding the block is worth about HK$8.9 billion, or HK$4,000 per sq ft.

The Cityside project next to the Tsuen Wan West MTR waterfront site was awarded to Chinachem for HK$3,124 per sq ft, or about HK$2.6 billion, this year.

The Bayside site covers 460,699 square feet and is next to the MTR station and Clague Garden Estate. The winning bidder can build nine towers with a total residential floor area of 1.8 million sq ft, and commercial floor area of 436,480 sq ft.

It can provide a total of 2,384 flats, of which more than half, or 1,235 flats, will be smaller than 538 sq ft.

The site will go to the bidder offering the highest land price.