Sun Hung Kai Properties is one of Hong Kong’s largest property groups, with revenue of HK$68.4 billion in the 2011-2012 financial year, and profit attributable to shareholders of HK$43.08 billion. The company has been shaken in recent years by disputes between family members, with chairman and chief executive Walter Kwok being forced to step down in a dispute with his brothers Thomas and Raymond. In March, the Independent Commission Against Corruption (ICAC) arrested senior officials as part of a corruption probe that also included former chief secretary Rafael Hui.
SHKP offers up to 20pc discount for new homes
Sun Hung Kai Properties has priced the first batch of flats at its upmarket residential development Century Gateway II, at West Rail's Tuen Mun Station, at up to 20 per cent below those in the first phase launched in September last year.
This is the fourth residential project put on sale since October by the city's second-largest developer.
Despite the recent sales momentum in the market for new homes, SHKP yesterday announced the price list for 203 units at an average of HK$9,718 per square foot.
The going rate for phase one flats is HK$11,000 to HK$12,000 per square foot.
"It will draw interest from both end-users and investors," said Sammy Po, a director at Midland Realty.
Century Gateway II, which has 911 units, is the fourth development to be launched by SHKP since October. The others were the Cullinan at Kowloon Station, Imperial Kennedy in Western and Shouson Peak in Deep Water Bay.
SHKP will offer a 7.5 per cent discount to Century Gateway II buyers until January 30, plus an additional 4 per cent cut if the transaction is completed within 100 days.
The price tag for a 659 sq ft unit on the eighth floor of Block 6, without the discount, is HK$5.7 million, or HK$8,703 per square foot in terms of saleable area.
A 379 sq ft flat on the eighth floor of Block 8 costs HK$4.2 million, or HK$11,102 per square foot.
Po expects the first batch of 203 units to attract more than 4,000 potential buyers, considering they are priced lower than expected.
Last year, SHKP priced the phase one flats at HK$11,000 per square foot, making the residential project the most expensive in Tuen Mun at the time.
Since October, developers have pulled in more than HK$37 billion, selling 3,300 units in 11 new projects, according to property agents.
They estimate sales of new homes would exceed HK$40 billion since October, including those of Century Gateway II.
That would bring total sales for the year to HK$90 billion - 30 per cent less than last year's HK$127.5 billion.