Luxury villa prices at Windsor Heights short of expectations
FPD Realty says eight of the 40 deluxe villas in Sino Land's Windsor Heights in Kau To Shan have been sold for prices between $13,000 to $14,000 per square foot.
Frank Marriott, managing director of FPD Realty, said the price for the units - located near Sha Tin - was below the developer's expectations. Agents expected prices for the luxury homes would be about $15,000 per sq ft. The project is 50 per cent owned by Sino Group, with the remaining 50 per cent equally shared by China Overseas Land & Investment and DBS Land.
Sino Land originally intended to sell only two of the townhouses by tender.
However, end users have been keen to buy, despite the downturn in the stock market and the developer has sold eight of the luxury villas, Mr Marriott said.
'These have been sold by private treaty and there is still one house which is for sale by tender,' Mr Marriott said.
FPD Realty is negotiating with buyers on two other units.
Mr Marriott identified the market as 100 per cent end users.
He expected more buyers for property once the stock market stabilised. Mr Marriott said prices in the luxury sector were going through a period of consolidation but should rebound during the first quarter of next year.
He said he doubted analysts' prediction of a 30 per cent drop in luxury property prices.
Demand still outstripped supply and luxury properties were still a scarce commodity in Hong Kong, he said.
FPD said about 2,000 people showed up at the Windsor Heights development at the weekend to view the flats.
Meanwhile, FPD Realty said its Exchange Square office chalked up sales of $350 million for October down slightly from the $425 million for the previous month.
Mr Marriott said this was not surprising considering the uncertainty affecting the stock market.
In August, FPD chalked up $310 million in sales - a far cry from the $1.3 billion in sales for the month of May when the SAR property market was booming.