Sale of quarters at cut price

PUBLISHED : Saturday, 28 February, 1998, 12:00am
UPDATED : Saturday, 28 February, 1998, 12:00am

The Government is offering 120 surplus quarters in Baguio Villa, Pokfulam, for sale on a first come, first served basis on Monday at prices up to 9 per cent lower than last month's sale.

In a bid to boost sales, the Government Property Agency, which handles the disposal of surplus quarters, said the units would be sold at pre-determined prices by open tender.

Agency administrator Albert Lai Kwok-ying attributed the change in method to the weak response from the two previous tender sales in December and last month.

'The new method ensures buyers run no risk of cheaper flats being put on sale next time,' he said.

Only one bid has been received from the previous tender of 80 Baguio Villa flats since last December.

However, Mr Lai said the buyer had defaulted and forfeited a $400,000 initial deposit on the purchase in response to a slump in property prices.

Prices for the latest units to be put on sale - measuring 2,330 square feet - are priced between $8 million and $11.6 million, or about 5-9 per cent lower than the reserve price of the previous sale last month.

Mr Lai added the latest prices of $3,400 to $4,900 per square foot were reduced by as much as 25 per cent.

'Only the Baguio Villa flats will go on sale to the public, while other surplus units will be release for open tendering,' he said.

A further 37 flats - measuring 1,714 sq ft to 3,096 sq ft - at Unicorn Gardens at Shouson Hill, Wilshire Towers in Tin Hau, Temple Road, Macdonnell House in Mid-Levels and 8-10 Caldecott Road, Cheung Sha Wan.

The reserve price for the 37 units range from $9.4 million to $14 million is being reduced by about 15 per cent in view of the property downturn.

The tender will close at noon on March 10.

Mr Lai said another 55 flats would be released for sale by the end of March, bringing the number of surplus quarters put on sale to 277.

The agency had sold 64 units so far since last year, raising about $913.43 million revenue, he said.