Hermitage sales positive sign, agents say
Strong sales of Sino Land's The Hermitage in Tai Kok Tsui signal a return to positive sentiment among buyers, agents say.
The first batch of 231 flats at the project was sold in just three hours last Saturday and the developer released a second batch of 130 flats for sale on Thursday at prices about 3 per cent higher. The average price of the latest batch was about HK$11,086 per sq ft.
The positive response has encouraged the consortium led by Sun Hung Kai Properties to release units in Larvotto, a new luxury residential project in Ap Lei Chau, for sale. The project comprises 715 flats and agents expect it to be launched in the next two weeks. Cheung Kong (Holdings) yesterday joined the selling wave, kicking off a marketing campaign to promote the remaining units at Festival City in Tai Wai.
In the secondary market, meanwhile, a fall in home sales in outlying estates was caused by new releases and bad weather, said agents.
About 666 units were sold from June 21 to 27 in the 50 major housing estates monitored by Ricacorp Properties, 7 per cent down on the 713 deals done in the previous week.
David Chan Tai-wai, a director at the firm, said the fall in home sales was due to the launch of The Hermitage and the bad weather. 'Many potential buyers have been attracted by the new project. Home sales in the 20 key housing estates in Kowloon dropped 28 per cent to 223 last week - the sharpest fall compared with property sales on Hong Kong Island and in the New Territories,' he said.
Island Harbourview near The Hermitage recorded just two transactions, compared with 13 deals a week earlier, and just one unit was sold in nearby Park Avenue. However, weekly sales on Hong Kong Island jumped 23 per cent to 113 transactions, with deals in Taikoo Shing and Kornhill in Quarry Bay up 83 per cent and 100 per cent to 44 and 22.
Nan Fung Sun Chuen in Quarry Bay and Island Resort in Siu Sai Wan also attracted end-users as prices there were lower than in Taikoo Shing and Kornhill. Average prices in Taikoo Shing and Kornhill are now HK$8,135 and HK$6,479 per sq ft.
Sales of units at Island Resort jumped 125 per cent to 18 last week, while the average price was up 1.5 per cent to HK$6,116 per sq ft.
Chan said he expected property sales in the secondary market to show a modest increase this week.