New World Development

Buyers shrug off political unrest to snap up 50 luxury flats

PUBLISHED : Thursday, 09 October, 2014, 5:23am
UPDATED : Thursday, 07 May, 2015, 5:06pm

Two luxury residential projects released for sale yesterday met with very different responses, with the cheaper of the two, The Pavilia Hill in North Point, generating more interest than the Arezzo in Mid-Levels West.

More than 100 potential buyers and agents gathered at the sales office of The Pavilia Hill in Sheung Wan, while only two agents stood outside the Arezzo sales office in Taikoo Shing.

Ignoring any fallout from the Occupy Central protests, 50 units at New World Development's joint venture project The Pavilia Hill were sold yesterday, according to market sources, representing 60 per cent of the second batch of 83 units. However, Swire Properties generated a tepid sales response for the third batch of 20 units at Arezzo.

"The outcome shows that units in the price range of HK$20 million to HK$30 million are more popular," said Sammy Po, chief executive at Midland Realty's residential department.

"Some investors did stay on the sidelines as they are more sensitive to the rising political tension in the city," he said. "But genuine home buyers will still proceed with their purchase decision."

He attributed the better response at The Pavilia Hill to the fact that more than 56 per cent of the units were being offered below HK$30 million, before taking a discount of 13 per cent from the listed price into account.

The Pavilia Hill flats, ranging from 735 to 1,519 sq ft, are being offered for HK$17.2 million to HK$54.9 million, or HK$23,000 to HK$36,000 per square foot.

But units at Arezzo, ranging in size from 916 to 1,306 sq ft, are being offered for HK$30.9 million to HK$43.9 million, or HK$26,300 to HK$34,700 per square foot.

Market source said Swire sold one unit to a walk-in buyer, after no potential buyers registered for the third batch ahead of yesterday's sale.

Louis Chan Wing-kit, the managing director of Centaline's residential department, said Arezzo sales could have been affected by the abundance of new homes put on sale recently.

"Sales will slow given the developer released Arezzo late last month," he said.