Three big Hong Kong developers release prices on new projects to capitalise on positive sentiment

Hong Kong’s housing market appears to be heating up even faster despite the government’s cooling measures, with a 270 square foot flat above Nam Cheong Station – the tiniest apartment available along the city’s railway network – going for nearly HK$5 million.

This trend is clearly seen in the decision of three major developers – Cheung Kong Property, Sun Hung Kai Properties and Wheelock Properties – to unveil price lists for their new projects in the same afternoon as they bid for attention from homebuyers. The three projects comprises a total of 2,408 units.

“Having major developers announce their price lists at the same time is rare, but it’s understandable as this year’s potential new flat supply will reach its peak,” said Thomas Lam, senior director of Knight Frank.

He believes the market would absorb all the units as most new project launches have been oversubscribed.

Nicole Wong, regional head of property research at CLSA, expects more projects will be released on the market this year

“Developers are likely to speed up project sales in a bid to cash in on the positive market sentiment,” she said.

At noon Thursday CK Property announced that its first batch of 93 units at the 454-unit Seanorama in Ma On Shan, ranging in size from 440 sq ft to 1,503 sq ft, would cost an average of HK$13,961 per square foot after a discount of as much as 24 per cent. The cheapest is a 769 square feet unit costing HK$9.45 million after discount.