Nan Fung extends top-up mortgage option to cover its office developments

NAN Fung Development's controversial policy to provide top-up mortgages to 100 per cent of the purchase price of its residential flats has been extended to its office developments.

Just three weeks after the property player made an unprecedented move to offer the extra financing arrangement to buyers of its residential flats in the territory, the company announced a similar option for its commercial property - Nan Fung Commercial Centre in Kowloon Bay.

A Nan Fung official said it was the first time the company had arranged the extra financing for potential office customers in a move to boost sales of its properties.

'The 100 per cent mortgage loan will be arranged by Nan Fung's finance arm. But buyers who choose this option are required to pay a higher price than other options they choose,' the official said.

According to another official the mortgage rates charged by Nan Fung would be 'about the same' as those charged by banks.

Nan Fung also provides similar 'preferential payment options', which are available to buyers of residential flats, to potential buyers of space in Nan Fung Commercial Centre.

Buyers can pay 30 per cent of the purchase price in 30 instalments without interest payment after they move into office units. The remaining 70 per cent should be completed before May 31, 1997.