Asia Standard International will release 12 units at its joint-venture residential project in Shamshuipo at $3,560 per square foot to attract first-time home-buyers. Executive director Kwan Po-lam said the selling price of Hing Wah Apartments was below its $4,000 per square foot average development cost but he expected it would break even. The six shopping units in the development would sell at higher prices and there were extra revenues to be generated from the sale of 22 car-parking spaces, he said. Estate agents said the project was priced about 7 to 12 per cent below the transacted prices of $3,800 to $4,000 per square foot in the secondary market. Mr Kwan said another 12 units on upper floors had sold through internal sale at an average price of $4,000 per square foot. The developer has arranged with 13 banks to offer mortgages at an interest rate as low as 10 per cent and up to a 30-year repayment period, he said. Other sweeteners for flat-buyers include a second mortgage of up to 25 per cent on top of banks' 70 per cent mortgage and exemption from legal fees. But buyers choosing this payment method have to pay a 7.5 per cent price premium. Those using staggered payment need to pay a 13 per cent premium. The units will go on sale on first-come, first-served basis on Saturday. Hing Wah Apartments, a 50-50 joint-venture development with Chinese Estates Holdings, has 88 units at between 473 and 488 square feet each. The development is expected to be completed by October 1999. Mr Kwan estimated the company and its partner would realise up to $300 million if the development sold out. The company would release another joint-venture project in Prince Edward Road this month, he said. It is also seeking pre-sale consent for its wholly owned medium-rise residential development Royal Knoll in Fanling. Meanwhile, the company proposed the Government extend the suspension of its land sales programme until the end of next year to allow more time for the market to absorb the large supply of new flats to be released for pre-sale. TEMPTING OFFER Sweeteners include favourable mortgages Asia Standard still expects to break even Shopping units to be sold at higher prices
