Henderson Land looks to farmland conversion, ageing buildings to stoke development pipeline

Henderson Land Development will look to a combination of sites sold at government tender and private land acquisitions to help replenish its land bank at a time of soaring property values in Hong Kong.

Henderson Land would consider buying land in good locations from tender regardless of the economy, and “not only from tender”, said Martin Lee, vice-chairman of the real estate giant at a media briefing of Henderson Investment on Friday.

“Apart from tenders, we would also work on farmland conversion and redevelopment of ageing districts,” said Lee.

Lee said Henderson Land, the city’s largest farmland holder, has also been working to complete a premium payment, a necessary step in farmland conversion, for land in Ma Shi Po and Wu Nga Lok Yeung, near the north-eastern district of Fanling.

Lee described the current housing prices in the city as “a bit high”, noting that with the imminent interest rate rise, the ability of homebuyers to repay mortgages would be affected.

“But the price level is likely to remain unchanged given strong demand,” he said.

Hong Kong’s home price index rose for a 25th straight month in April, according to the Rating and Valuation Department.