Price drop at Amoy Gardens

THE average sale price for flats at Amoy Gardens in Kowloon Bay increased steadily from the beginning of the year until July, according to statistics compiled by Brooke Hillier Parker (BHP).

The first price drop hit the 15-year-old development in September when the price per square foot slipped from $3,298 to $3,232.

BHP partner David Faulkner said the development, near the Kowloon Bay MTR, had been only slightly affected by the territory-wide slowdown in the real estate market.

''Consisting mainly of one-and two-bedroom flats, Amoy Gardens has attracted first home buyers,'' Mr Faulkner said. ''Investors have not been major players in recent sales because of the size of the flats and their limited rental potential.'' Priced at about $2 million each, the units are more affordable than newer developments in the area and have been the focus of significant sales activity in the past three months.

October sales figures show that a second, but smaller price decrease to $3,200 was recorded at the estate.

''Overall, the property market is still very quiet,'' Mr Faulkner said. ''Sales performance levels vary between developments but the general trend is still heading down.''