New Kowloon Tong residential plot could fetch up to HK$16.6 billion after tender draws strong response
Ten developers have bid for site at junction of Lion Rock Tunnel Road and Lung Cheung Road
A residential site in Kowloon Tong that might become Kowloon’s priciest piece of land per square foot drew a strong response from 10 developers before a deadline for submitting bids closed at noon on Friday, according to the Lands Department.
The lot, at the junction of Lion Rock Tunnel Road and Lung Cheung Road, has a site area of about 121,228 sq ft (1.13 hectares) and is expected to fetch between HK$10 billion (US$1.28 billion) and HK$16.6 billion, or between HK$24,000 and HK$38,000 per square foot of gross floor area, according to property consultants.
Because of a plot ratio of 3.6 times, or total gross floor area of 436,417 sq ft, and the area’s prestige, the new site is expected to be developed as a mid-density luxury housing property of 680 flats, according to documents by the Kowloon City District Council.
“The project will consist of low-rise terrace houses together with mid to high-rise flats,” said Thomas Lam, the head of valuation and consultancy at property consultancy Knight Frank.
Lam said the land price could range from HK$10.3 billion to HK$10.8 billion, or HK$24,000 to HK$25,000 per square foot. He said the winning developer will have to offer the apartments built on the site starting at HK$38,000 per square foot to generate a reasonable profit.