Kwok family co-develops Ballymore studio flats in London beginning at US$500,000, while buyers in Hong Kong have to pay more for less

The controlling family behind Sun Hung Kai Properties has managed to offer starter homes in East London in the form of 400 square foot studio flats beginning for as little as HK$4 million (US$509,606), or roughly a 37.5 per cent discount to similar properties on offer in urban districts of Hong Kong.

Kwok Family Interests holds a 50 per cent stake in the residential development Goodluck Hope, which is set for the sales launch of its second phase in Hong Kong and London on Friday. Prices in the project, which is being developed in partnership with Ireland’s Ballymore Group, are set to rise by 3 to 5 per cent increase from the first phase.

The second phase of the development, known as The Douglas Tower, is a 30-storey high-rise featuring 165 units in layouts that include studio, one bedroom and two-bedroom flats, plus two loft penthouses. The first phase featured low-rise units that were launched for pre-sale in Hong Kong on June 16, 2017. The 85 per cent of the units made available have been sold, while the remaining 15 per cent are set to go on the market at a date closer to completion. Goodluck Hope is the largest residential project undertaken in London by the Kwok Family Interests since the Brexit vote in June 2016.

Units at The Douglas Tower will start at £902 per square foot (US$1,160), with the smallest 403 sq ft studio flats priced from £395,000, and the most expensive, a loft penthouse that spans 1,734 sq ft, set for £1.675 million.

Jenny Steen, sales director at Ballymore, said prices for Goodluck Hope’s phase two have risen 3 to 5 per cent compared to the first phase, where pre-sale units were priced from £803 per sq ft. The price hike is most significant for the entry-level studio units, which will rise 12 per cent, due to waterfront views.