Kerry Properties to launch Wong Tai Sin flats as prices keep rising

PUBLISHED : Wednesday, 13 April, 2011, 12:00am
UPDATED : Wednesday, 13 April, 2011, 12:00am


Kerry Properties plans to start launching its 968-unit residential development Lions Rise in Wong Tai Sin by the Easter holidays, with an average targeted price of HK$12,000 per square foot.

Chu Ip-pui, executive director of Kerry Properties, said the company has used another of its developments, Island Crest in Sai Ying Pun, as a price reference rather than the older properties in the area.

'Flats at upper floors of Island Crest have been sold at more than HK$20,000 per sq ft,' said Chu, who said the quality of Lions Rise was comparable to Island Crest.

'We are confident in the project as it is the first new major development to be built in Wong Tai Sin over the past decade,' said Chu. The company does not expect any new sizeable developments in Wong Tai Sin in the next decade.

Prices of many housing developments, aged about 20 years old, in Wong Tai Sin are mainly sold at around HK$3,500 per sq ft to HK$5,500 per sq ft.

Chu expects to obtain pre-sale consent from the government in the next two weeks. 'We hope to launch the project by Easter and the property will be sold in phases.'

The development comprises five towers providing 968 units, with most of the apartments offering three or more bedrooms.

Lions Rise has 140,000 sq ft of club facilities and landscaped gardens, and is next to the Wong Tai Sin MTR station. The project is expected to be completed by the end of this year, while the handover will start in the third quarter of next year.

In the face of a number of residential developments being sold in the coming weeks, Chu said these projects together comprise a total of more than 3,000 flats.

Chu said home prices in the city are generally quite high. 'But there is demand for flats in the market,' he said.

Meanwhile, Cheung Kong (Holdings) announced the price list of its 734-unit Uptown development in Yuen Long. The first batch of 108 units go on the market at an average price of about HK$5,000 per sq ft.

Another developer, Kowloon Development, yesterday said it would raise prices of the remaining units at Mount East in North Point to HK$13,000 to HK$18,000 per sq ft. This compared to the selling price of HK$11,000 per sq ft in 2010.

Lee Wee Liat, head of regional research at Samsung Securities (Asia) said: 'We expect a divergence in sales performance as six new primary launches are set to hit the market over the Easter holidays and the May 1 'golden week'. We are more optimistic on projects with flexible pricing and offerings, while remaining cautious on those that are aggressively priced.'

Kerry Properties is part of the Kerry Group, the controlling shareholder of SCMP Group, which publishes the South China Morning Post.