Developer's figures trigger confusion

PUBLISHED : Tuesday, 10 August, 2004, 12:00am
UPDATED : Tuesday, 10 August, 2004, 12:00am

Henderson Land Development said yesterday it had sold nearly 900 flats in its Grand Promenade project in Sai Wan Ho, realising about $4.5 billion in proceeds.

Analysts were left bewildered by the sales figures, as the developer only last week forecast revenues of up to $9 billion if all of the more than 1,000 units in blocks 1, 3 and 5 of the development were sold.

With about 200 more units to sell, analysts doubted the revenue target could be achieved.

Henderson assistant general sales manager Thomas Lam declined to comment last night when asked about the target.

Mr Lam said buyers had snapped up more than 600 units at the sale on Sunday, in addition to about 200 units sold privately earlier. He said the developer would take its time to sell the remaining units.

Agents said average prices quoted for the sale ranged from about $4,000 to $9,000 per square foot.

Grand Promenade has 2,020 units in five blocks. Henderson has reserved blocks 2 and 4 for rental.

Last Friday, company general sales manager Donald Cheung Ping-keung forecast that the sale of the remaining units would generate proceeds of $8 billion to $9 billion.

Agents said the project had attracted at least a few speculators, who bought units in the private sale and were already unloading them.

Among the speculators was veteran confirmor Jan Lai, who had sold six units in Grand Promenade since Friday, agents said.

According to Centaline Property Agency, Mr Lai sold the units for $20 million, $532,000 more than he paid for the properties less than a month ago.