HK$470m sale of Opus flat seen to boost high-end market, brokers say

PUBLISHED : Wednesday, 29 August, 2012, 12:00am
UPDATED : Wednesday, 29 August, 2012, 2:31am

The HK$470 million sale price of a flat at Opus Hong Kong in the Mid-Levels last week - making it the most expensive apartment in Asia - will give the luxury housing market a boost, brokers say.

"Buyers are already making their decisions faster since the record deal," said Terry Chan, senior account manager at the StatelyHome unit of Centaline Property Agency in Deep Water Bay.

"Sales in the top-end residential market have been slow since June, as there were a limited number of flats in prestigious locations available for sale.

"But since the deal, we are seeing renewed interest among sellers and buyers."

Last Thursday, an unidentified buyer paid HK$470 million for a 6,200 sq ft flat that occupies the entire eighth floor of Swire Properties' 12-storey Opus Hong Kong. That's HK$75,806 per sq ft, making it the most expensive flat in the world after a flat in London's One Hyde Park.

Since brokering the sale of a 5,000 sq ft house in Chung Hom Kok in Island South in June for HK$250 million, the luxury market has become quiet, Chan says.

A day after the announcement of the record Opus deal, a 2,980 sq ft flat at 8 Peak Road, The Peak, was sold for HK$86 million (HK$29,000 per sq ft), says Louis Ho, senior sales director for The Peak and Island South at StatelyHome.

The transaction price is the project's highest, says Ho, who expects to see an increase in reservations for viewing flats priced above HK$100 million in the coming months.

"Most businessmen spend their summer vacations abroad with their families. They will now begin returning since the new school term starts next month," said Ho.

This year, 80 luxury homes priced at or above HK$100 million were sold as at August 20, according to Ricacorp Properties. The total value of those deals is HK$15.7 billion.

The Peak and Island South recorded the largest number of high-end deals during the period, with 16 transactions worth a total of HK$2.71 billion.