• Wed
  • Sep 17, 2014
  • Updated: 7:41am

Cheung Kong

Hutchison Whampoa, one of Hong Kong’s largest listed companies, is controlled by  Cheung Kong Group, a property company. Hutchison's operations span ports, property and hotels, retailing, power generation and telecommunications. It owns Cheung Kong Infrastructure, and  is headed by Li Ka-shing, Asia’s wealthiest man. 

PropertyHong Kong & China
HOME SALES

Many keen to buy flats they can't view, as big crowd at Mont Vert sales office shows

PUBLISHED : Sunday, 20 July, 2014, 6:06am
UPDATED : Sunday, 20 July, 2014, 11:34am

A big crowd turned out to view off-site show flats for Cheung Kong's cut-price Mont Vert development yesterday despite concern in some quarters that the sales tactics of the developer are questionable.

Long queues formed at the Fortune Metropolis mall in Hung Hom, where Cheung Kong, controlled by Asia's richest man, Li Ka-shing, is marketing the Tai Po development. By Friday, over 1,200 applications had been received for balloting to buy the 260 Phase 1 flats for sale, the Hong Kong Economic Journal reported. Sales begin on July 26.

Whether the firm violated the law in not allowing prospective buyers to see the flats seemed to have had little effect on people's desire to buy, said Lawrence Poon, a City University senior lecturer in building science and technology.

The development includes some of Hong Kong's cheapest new flats, with a 194 sq ft studio selling for about HK$1.94 million.

READ: No room to swing a cat: What life might look like in one of Hong Kong's new 177sqft flats

People could still buy flats there, but that was a separate matter from whether Cheung Kong broke the law, said Poon.

Cheung Kong may have violated the Residential Properties (First-hand Sales) Ordinance, said Poon. The law requires developers to make every home at a completed new development available for viewing.

Cheung Kong can avoid violating the law by demonstrating that it was not practical to allow prospective buyers to view the flats, in which case it would be required to obtain prospective buyers' written consent to buy the flats without seeing them.

Cheung Kong executives said yesterday it was not feasible to let people in for viewing, as there was only a one-way road connecting the site and Phase 2 construction was ongoing, making it unsafe.

"It may not be safe to see the development, but that is not a good defence," Poon said, adding that it was within Cheung Kong's control to enable prospective buyers to view the Phase 1 flats because the company could have halted construction or delayed the sales programme.

Cheung Kong had not had notification from the Hong Kong government that the company had done anything illegal over the project, said Cheung Kong executive director Justin Chiu Kwok-hung. "The government didn't say we did anything illegal. The government said we were not perfect," he said.

Additional reporting by Sandy Li

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This article is now closed to comments

whoaman
Bring on Occupy Central and Occupy Cheung Kong's plaza!! That might bring housing prices down 10%.....
tksiow
So how can the property prices drop by more than 10%. Clever developers build smaller apartments to entice the desperate buyers.
The only time there is a meaningful drop in prices is when there is a financial event,like Lehman.
sipsip1238
Anything to become a "property owner" huh? Even when you're overpaying for space.
Sadly, these same people are the people who are struggling financially and probably borrowed more than they should to buy the property, and when things go belly up, these are the same people who will be hurt.
zvichadashote
Just proof of how bad the housing situation is in HK!
Dao-Phooy
Despite the new legislation the position remains 'caveat emptor'. How typical of Hong Kong and how ineffectual the legislation to protect consumers.
pragmatist
"Not safe" :)
 
 
 
 
 

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