Cheung Kong (Holdings) will launch the first batch of its Monte Vista development in Ma On Shan at prices close to the estimated development cost in a bid to speed up sales.
The first 42 units will be offered at an average of $3,288 per square foot for cash payment.
Analysts said the launch prices were very close to the project's estimated overall development cost of $3,200 per square foot and about 10 to 20 per cent below secondary transacted prices.
Buyers using deferred payments or top-up mortgage schemes need to pay a premium on the list prices of between 4 and 8 per cent.
In 1996, Cheung Kong bought the site for $2.7 billion - or an accommodation value of $1,956 per square foot through cash tender.
Cheung Kong deputy chairman Victor Li Tzar-kuoi declined to disclose the project's development cost but said it was the company's strategy to offer the first batch at attractive prices to drum up interest.
He said average prices were finalised according to the market's affordability level at between $2 million and $3 million each.
