HANG Lung Development is attempting to make the sale of its new project, Parc Versailles, a hit on the luxury home market in Tai Po by undercutting selling prices. The first batch of 48 units, measuring 1,095 to 1,198 square feet, is being offered at competitive prices of about $3,606 per sq ft for staggered payment. Estate agents said the prices were particularly attractive when compared with Sino Group's sale last weekend of 83 units at Classical Gardens for $4,099 per sq ft. Parc Versailles, jointly constructed with Lai Sun Development, comprises 37 six-storey residential blocks totalling 822 units. It is near the Kowloon-Canton Railway (KCR) in Tai Wo, while Classical Gardens is near Tai Po Market station. Agents said the two projects were similar, both providing mid-rise apartments and appealing to the same group of buyers. But Hang Lung managing director Nelson Yuen Wai-leung said there would not be direct competition between Parc Versailles and Classical Gardens because they were different projects. Mr Yuen said Hang Lung would not offer top-up mortgages but would make available three different payment schemes to help buyers, especially those who had difficulties paying a 30 per cent deposit immediately. He said a sell-out of Parc Versailles, which was being built in two phases on a 440,000 sq ft site, would generate about $3.8 billion in proceeds. Buyers completing purchases by immediate payment will pay an average of $3,434 per sq ft. By instalment, prices average about $3,777 per sq ft. To further attract buyers, agents said the first 20 purchasers would be entitled to buy car-parking spaces at a discount price of less than $300,000. Agents said about 70 per cent of the 83 Classical Gardens units were sold last weekend, and they expected to see a stronger response for Parc Versailles because of the discount pricing. The Parc Versailles units are unfinished and must go through a ballot for pre-sales. The developers will register prospective buyers between Friday and Tuesday, with the units on official sale from September 8. Ringo Ng, sales manager of the Tai Po branch of Midland Realty, said the low pricing of Parc Versailles was intended to establish a bullish response. 'It is a strategic decision to set a low price, which will leave more room for the developer to raise prices for future releases,' he said. He expected the developers to release more units for sale, subject to the registration response, and prices would be raised accordingly. Besides the public sale, 40 units were offered internally. Mariana Hung, sales manager of the Tai Po branch at Ricacorp Properties, said Parc Versailles would attract existing flat owners in Tai Po wishing to upgrade to bigger living spaces. Despite the large supply of new flats in Tai Po over the coming years, she said there was a strong housing demand in the district, especially from those aiming to move into larger flats. DEVELOPMENT: Parc Versailles, a mid-rise residential development in Tai Po. DEVELOPERS: Hang Lung Development and Lai Sun Development. NUMBER OF FLATS ON SALE: 48 SIZE OF FLATS: 1,095 to 1,198 sq ft. AVERAGE PRICE: $3,434 per sq ft on lump sum payment; $3,606 per sq ft on staggered-payment; $3,777 per sq ft on instalment payment. REGISTRATION PERIOD: September 1 to 5. DATE OF OFFICIAL SALE: September 8. TOTAL NUMBER OF FLATS: 882 in 37 six-storey buildings. COMPLETION DATE: Early 1996. FACILITIES: Clubhouse with swimming pools, tennis courts, squash courts, golf practice rooms, sauna, gymnasium and fitness trails. PAYMENT SCHEMES: initial deposit $450,000. Lump sum payment: 20 per cent down; balance payable within one month. Staggered payment: 20 per cent down; balance payable upon occupation. Instalment payment: 20 per cent down; 10.5 per cent payable in 14-month instalments; balance due in December 1996.