Kerry eyes HK$800m gain from last flats at Tregunter

PUBLISHED : Friday, 09 February, 2007, 12:00am
UPDATED : Friday, 09 February, 2007, 12:00am

Kerry Properties is expected to reap as much as HK$800 million from the sale of the remaining 27 units at Tregunter Towers I and II in Mid-Levels.

'The development was not built by us and the sale is in line with the company's strategy to streamline [its] non-core investment [to focus on new projects],' said Semy Ng, the assistant general manager of Kerry Real Estate Agency, a marketing unit of Kerry Properties.

Kerry bought 110 units in the two Tregunter towers, developed by Hongkong Land, from Allied Properties as a long-term investment in 1996 and began offloading them in 2005. Last year, it sold more than 40 flats, earning more than HK$1 billion, Ms Ng said.

The remaining units, which have been rebuilt into four bedrooms each from three bedrooms, range from 3,052 to 3,336 square feet and are being sold from HK$28.23 million each or HK$9,250 per square foot.

'We hope to dispose of the remaining units this year. [They] will reap between HK$700 million and HK$800 million if all are sold,' Ms Ng said.

Kerry also plans to sell its newly developed 69-unit luxury residential project at 15 Homantin Road.

'We have got the occupancy permit and the sale of the Homantin development will start after the Lunar New Year,' Ms Ng said.

She did not disclose the selling price.

Each unit measures 2,000 to 2,300 sqft and has four bedrooms. The project also has three units of 4,000 sqft each.

Kerry is controlled by the Kuok Group, which is also the controlling shareholder of the SCMP Group, the publisher of the South China Morning Post.

Shares in the developer slipped 1.43 per cent yesterday to HK$37.95. They have gained 4.4 per cent this year.