Wheelock Properties has become the latest local developer to sell properties for less than the cost of construction. The company has decided to offload 38 units at its newly developed warehouse in Tuen Mun - My Loft - at an average price of $630 per square foot on a first-come-first-served basis. The move follows Sino Group's decision in February to launch its residential development - Majestic Park in To Kwa Wan - at less than it paid to develop the site. Wheelock Properties acquired the godown site at a government auction for $76 million - or $350 per square foot in 1994. Ricky Wong, assistant director of Wheelock's sole marketing arm Harriman Realty Co, said the estimated construction cost of the project was $400 per square foot. Based on this, the development cost - excluding interest expenses - is about $750 per square foot. Mr Wong said the project should ultimately be profitable as units sold in later batches would attract higher prices. Managing director Bernard Chow Bing-hung said 20 of the 38 units had been sold so far. He said the project should generate about $200 million if all the units were sold. Mr Wong said the group was interested in bidding for a prime residential site in Leighton Hill Road, Causeway Bay, and another commercial site in Peking Road, Tsim Sha Tsui, when available. The tender of the 464,391 sq ft low density residential site in Leighton Hill Road will close today, while the 23,680 sq ft commercial site in Peking Road will be released for auction on Wednesday.