Rare residential plot in Repulse Bay likely to draw strong bids from developers as outlook for luxury housing improves

Worth an estimated HK$900 million, the small plot is the first in Repulse Bay to come up for government tender in nine years

It has the potential to be developed into a handful of large luxury houses, say surveyors

Reading Time:2 minutes

The parcel of land at South Bay Road, Repulse Bay, covers an area of 21,097 square feet. Photo: Sun Yeung

Published: 9:30am, 6 Oct 2021Updated: 3:17pm, 6 Oct 2021

A rare plot of residential land coming up for auction in Repulse Bay is likely to attract the interest of developers as the luxury housing market improves amid an easing of the coronavirus pandemic, according to market observers.

It is one of two parcels designated for low-density residential development to be sold in the Hong Kong government’s land sales programme in the three months to December, the other being in Tai Po.

“The residential plot in Repulse Bay would be the most sought after [of the two] by developers,” said Alkan Au, senior director of the valuation department at JLL. “It is rare to see a residential site in Repulse Bay up for government tender.”

The site is small and likely to yield just a handful of large, luxury houses, surveyors said.

The last government land auction in Repulse Bay was in 2012 when Tai Cheung Holdings won a site near 110 Repulse Bay Road for HK$1.67 billion (US$210 million).

The Tai Po parcel, which is likely to yield about 200 flats, is valued at HK$1.4 to HK$1.8 billion, while the Repulse Bay site is worth around HK$900 million, according to Knight Frank. The homes built on the Tai Po plot may fetch HK$16,000 to HK$19,000 per square foot while those in Repulse Bay may go for HK$45,000 to HK$55,000 per sq ft.

Select Voice

Choose your listening speed

Get through articles 2x faster

1.25x

250 WPM

Slow

Average

Fast

00:0000:00

1.25x