Rise and shine: properties snapped up in Kowloon East
Construction activity in the district is proceeding at a frantic pace – especially in the Kai Tak development area, which has become a hot spot for residential properties
Along with Tsuen Wan and Yuen Long, Kai Tak has been a hot spot for home sales this year. At least 2,522 new homes had been sold off-plan in the five residential developments in the Kai Tak area by mid-October, according to closings filed with the Land Registry.
In the year to October, China Overseas sold 489 flats at One Kai Tak – including the first and second phases, both of which have been completed – at an average price of
HK$20,621 per square foot.
K&K Property managed to sell 726 flats at Victoria Skye at an average price of HK$20,660 per square foot by mid-October, according to Land Registry records, accounting for over 88 per cent of stock availability.
Tony Cheng, K&K Property’s investment manager, says the project’s sales have generated more than HK$7 billion of revenue for the company. About 96 flats at Victoria Skye remained up for grabs by early October, including special units, he adds.
Over the same period, Poly Property offloaded 423 units, at an average price of HK$21,185 per square foot, at the 930-unit Vibe Centro, while about 700 units at K. City, built by K. Wah, were sold at an average price of HK$20,896 per square foot.
Tony Wan, general manager,Hong Kong property sales and marketing at K. Wah, says the company sold more than 940 homes in the first eight months of the year, generating revenue of over HK$9 billion, a record amount for the company in recent years.
K. Wah is also working on another Kai Tak site, with a total buildable floor area of 574,270 sq ft, which it bought last December for HK$5.868 billion, or about HK$10,200 per square foot in terms of accommodation value.
Meanwhile, K. Wah has filed an application for presale consent to sell off-plan its flagship development in Pak Shek Kok, Tai Po. The project will offer about 1,100 one- to four-bedroom homes, which K. Wah aims to launch onto the market early next year.
Wheelock Properties remains focused on marketing the Oasis Kai Tak development, having sold about 200 units at
HK$21,023 per square foot on average by early October.
On completion in 2019, the project will comprise 648 units to be laid out as studios and one-, two-, and three-bedroom flats. About 60 per cent of the units will be configured with one- and two-bedroom floor plans.
Wheelock Properties says Oasis Kai Tak will be an eco-friendly development that emphasises the health and lifestyle benefits of sustainability – an approach which could stand out in an increasingly competitive market.
Oasis Kai Tak offers residents access to green, outdoor spaces and promotes the use of sustainable products and clean technology.
According to Wheelock Properties, the complex has a host of smart- and Green-building features, including vertical walls and electric-car charging stations. Green walls help to minimise the “heat island” effect and reduce ambient temperatures; they also provide thermal insulation, reduce noise and control air filtration.
In mid-October, Hong Kong International Construction Investment Management Group (HKICIM), a listed subsidiary of China’s HNA Group, announced that the four sites previously bought by HNA would be combined to provide about 1,900 units laid out to around 300 to 2,000 sq ft floor plans.
Based on the building plans submitted for approval, the development will consist of four tall buildings, 12 mid-rise buildings, and four single-family houses. HKCIM says it aims to launch this project for sale on an off-plan basis in the third quarter of 2019.
Further down the development pipeline is a residential site (New Kowloon Inland Lot No. 6567 at Kai Tak Area 1K Site 1) acquired by KWG Property and Longfor Properties in May for HK$7.23 billion, or about HK$12,563 per square foot. The site can accommodate 575,508 sq ft of gross floor area.
Envisioned as part of a mixed leisure, entertainment, commercial and retail extension of Kowloon East, the Kai Tak development area continues to take shape.
Nan Fung Developmentsays about half of the floor space in a commercial project to be built on a site it acquired for
HK$24 billion in June will be dedicated to prime office space, with the rest to be configured as hotel and prime retail.
According to government plans, various infrastructural works and facilities have already been completed and are in use, including public rental housing, two public primary schools, Trade and Industry Tower, a community hall, Kai Tak Cruise Terminal, two parks, Kwun Tong Promenade, and a fire station.
The government also says the three bidders shortlisted for the sports complex project are now working on the design. The winner will commence work on the site in mid-2018 and is expected to deliver the project in 2022.