Hong Kong developers to speed up project launches with 12,000 units for sale in coming months
Developers who missed out on the buying frenzy for new flats last Saturday are expected to accelerate their project launches, fuelling a new round of price competition to draw home seekers.
More than 12,000 units in 21 new projects are expected to be available for launch between now and December, pending developer applications for pre-sale consent from the government, according to property agents.
Major projects in the pipeline include Sun Hung Kai Properties (SHKP) 1,050-unit project at West Rail’s Nam Cheong Station, the 983-unit The Pavilia Bay in Tseun Wan, a joint development between New World Development and China Vanke, and Cheung Kong Property’s 970-unit offering at Tsuen Wan West Station.
“Home sales in the first half had slowed because of the market doldrums and dampened buying desire. As sentiment improves, developers will certainly speed up sales in a bid to make up the shortfall in the first half,” said Derek Chan, head of research at property agent Ricacorp Properties.
But he believes developers would be unlikely to mark up prices significantly due to the large supply coming on the market over the next few months.
As sentiment improves, developers will certainly speed up sales in a bid to make up the shortfall in the first half
“Prices for new flats may edge up slightly to test the waters once their projects manage to generate a strong sales outcome in coming months,” he said.