A price war for flats in West Kowloon intensified yesterday as Henderson Land undercut rivals by releasing Metro Harbourview phase two at an average price of less than HK$2,800 per square foot. Henderson has joined property developers Sun Hung Kai Properties (SHKP) and Cheung Kong (Holdings) in a rare battle for buyers in the area. Late last night, Henderson announced it had sold 50 units in the 1,760-unit first phase of the Tai Kok Tsui project. Property agents said the launch price, estimated at between HK$2,700 and HK$2,800 per square foot, represented a discount of between 8 and 10 per cent to the sale of phase one units at Christmas. A Henderson spokesman said phase two could generate HK$4 billion to HK$4.2 billion if all units were sold. Sandia Lau Ying-lam, sales director of Centaline Property Agency, said: 'They are all trying to sell down their inventories, especially when there is good support seen in the market.' Over the weekend, Cheung Kong sold 106 units of its Banyan Garden project in Cheung Sha Wan at an average HK$2,882 per square foot, 3.54 per cent lower than its first launch in January. Cheung Kong sales manager Francis Wong said the response had been better than expected. 'We are helped, rather than hurt, by the competition. The market focus is now in West Kowloon,' he said. Of the 1,072 units in Banyan Garden, Cheung Kong has sold 820. Both Cheung Kong and Henderson jumped in before SHKP announced the sale this Saturday of Liberte, next to Banyan Garden. Eric Chow Kwok-yin, general manager of Sun Hung Kai Real Estate Agency, said it had received 1,700 registrations from prospective buyers over the weekend and had no plans to alter its sales strategy. 'We have only one strategy - to concentrate on what we're doing and do the best we can,' he said. Liberte's initial phase comprises 736 units, 32 of which would be pre-sold at HK$3,007 per square foot. Mr Chow said the company had no plan to cut prices for the 2,434-unit project. Shun Tak Holdings owns 64.56 per cent of Liberte and SHKP the rest. Developers have been encouraged by the strong consumer response to recent project launches. Sino Land drew more than 850 buyers for its Ocean View development in Ma On Shan, or 93 per cent of the project, over Easter. Reasonable prices and flexible second mortgage plans provided by property companies are the main reasons for the warm response despite the poor economy. ABN Amro property analyst Anton Kwang Mang-tak said the second quarter was traditionally the best time of year for developers and that the head-on competition was uncommon.