Kerry Properties is offering a total discount of 15.8 per cent, including a stamp duty subsidy of as much as 8.5 per cent, to boost sales at The Summa, its residential project in Sai Ying Pun to be launched next week.
After that discount, the average price of the first 50 units at the 168-unit project is HK$22,989 per square foot.
Chu Ip-pui, executive director of the developer, described the net amount as a “happy price” for homebuyers.
The minimum price of a 756 sq ft flat on the 10th floor is HK$15.24 million after deducting the discount, compared with the list price of HK$17.92 million.
“The launch price has taken as reference Kerry’s luxury projects, as there is no new supply in the area,” Chu said.
Based on the discounted prices, he expects the first batch of 50 units to pull in a total of more than HK$1 billion if all are sold.
Chu rejected the suggestion that the lower-price strategy for The Summa aimed to fend off competition from rival Cheung Kong’s heavily discounted Diva residential project in Tin Hau, saying the projects would each target a different group of buyers.
Cheung Kong priced the first 50 flats at its project on Thursday at an average of HK$22,514 per sq ft. With the maximum discount of 25 per cent, the average price would be HK$16,886 per sq ft.
Kerry Properties is a member of the Kerry Group, which controls the firm that publishes SCMP.com and the South China Morning Post.