Cheung Kong (Holdings) is continuing to adopt a below-secondary market strategy to speed up sales, launching the first 96 uncompleted flats in its Laguna Verde phase-two development in Hunghom at an average price of $4,388 per square foot.
The selling price is 60 per cent below the $11,000 per square foot for the last batch sale of phase-one units in July last year, at the market's peak.
Estate agents said the price was 20 per cent below the $5,500 per square foot transacted price for phase-one flats in the secondary markets.
Centaline Property Agency's sales manager Rocky Wong Chun-wai said the total purchase cost - including interest - of new flats after completion in mid-2000 would amount to $5,000 per square foot - still 10 per cent lower than secondary prices.
Mr Wong said the below-market strategy would further hit activities and prices in the secondary market.
The news came a day after the developer announced it was offering a 10 per cent value-appreciation guarantee for buyers of Kingswood Villas flats in Tin Shui Wai, while cutting asking prices significantly.