Ryoden pares prices to near cost of project
Ryoden Development is selling the first batch of units at its residential project Triumph Terrace in Kowloon at near development costs to boost buying interest.
Executive director Tony Leung Ka-tung said the company offered 15 units at Triumph Terrace at an average of $5,300 per square foot for internal sale.
Excluding interest expenses, the development cost was about $4,500 per sq ft, he said.
He said the development was still profitable as units in the following batches would sell for higher prices.
He said he expected the development would be released for public sale within two weeks.
The 28-storey Triumph Terrace comprises 47 units measuring 672 sq ft to 1,034 sq ft.
Centaline Property Agency South Kowloon Branch sales supervisor Eddy Chan Hing-yuen said the price was higher than the $5,200 per sq ft secondary transacted price at a nearby building, Celebrity Garden.
The area was quiet with only a small volume of transactions, he said.
Mr Leung said Ryoden expected to raise about $240 million if all the units sold.
It would provide a second mortgage of up to 15 per cent and those buyers using the scheme would need to pay a 2 per cent premium.
Those using staggered payment must pay a 5 per cent premium, which will raise the average price to $5,565 per sq ft.
The project is expected to be completed by the end of the year.
After the sale of Triumph Terrace, Mr Leung said Ryoden would release the second tower at its joint-venture project Hillville Terrace in To Kwa Wan for sale in October or November.
