Refurbishing at Repulse Bay attracts new wave of tenants
The 68 serviced apartments at de Ricou in The Repulse Bay complex are being upgraded to enhance their value and appeal in a competitive market.
The upgrading began last year, ahead of foreseeable demand. A total of 35 units (more than half the number at de Ricou) have already been completed.
The Repulse Bay general manager Martin Sawyer said the comprehensive upgrade included new interior decor with new furniture, carpets and fittings. The result is a modern and open look, with enhanced grace and charm. The refurbished units have been well received, he said.
'The response has been very positive from both long- and short-term guests,' Mr Sawyer said. 'We aim to refurbish the whole block.'
As expected, the refurbishing has greatly enhanced the value of the apartments. Mr Sawyer said rentals of the apartments had risen 15 to 25 per cent above the rate prevailing before the renovation.
He said rentals ranged from $62,000 a month for the smaller-sized units on the lower floors to $82,000 for apartments on the upper floors. The occupancy rate has remained at a high level of 80 per cent.
Mr Sawyer said the remaining de Ricou apartments would be upgraded progressively, subject to existing tenancies and availability. He forecast a stable market performance with healthy growth.
'I do not think there will be a significant increase in rentals. They will be stable, with a 2 per cent to 3 per cent increment for luxury apartments for the whole year,' he said.
The Repulse Bay complex is built on the site of Hong Kong's famous Repulse Bay Hotel. Luxurious unfurnished and serviced apartments are available for short- and long-term lease.
Mr Sawyer said there was a close and significant link between The Repulse Bay complex and the namesake hotel that once occupied the site.
The Repulse Bay Hotel, which opened in 1920, became an important landmark in Hong Kong, providing a haven for those seeking beachfront relaxation coupled with the ambience of a luxury hotel. Over the years, the venue grew as a popular resort-type retreat for tourists and residents.
Hong Kong's economic growth and the relentless pressures of urban development, however, resulted in the demolition of the hotel's annexe in 1973 to make way for the high-rise Repulse Bay Towers in the complex.
After a decade of consideration, it was decided that the hotel was no longer an economic proposition and should make way for much-needed apartment buildings. In June 1982, it was announced that the hotel would close.
'When we decided to build the apartments, we tried to keep a sense of the old hotel, and we preserved much of the garden,' Mr Sawyer said.
The popular restaurant The Verandah is the only surviving section of the former hotel. The colonial ambience of the restaurant and the views of the sea are strong attractions, he said.
The complex was especially appealing to individuals and families seeking accommodation that carried an air of the countryside, he said, adding that the apartments' magnificent view of Repulse Bay was a large part of the appeal.
