High silver 8.9 billion won the Kaide land, the price is 7% for 1 week
The second residential site in the Kai Tak Runway area was won by Gao Yin’s “cold” for over 8.9 billion yuan. The floor price per square foot was about 155,000 yuan, about 7% higher than the neighboring land approved last week. The total investment is about 14 billion yuan, and it is expected to sell 33,000 yuan after completion.
It is a residential area in the Kai Tak Runway area of the seafront and Victoria Harbour seascapes, which is the focus of the second half of the year. The No. 3 plot of the 4B area approved at the beginning of last week was jointly funded by the Wheelock Real Estate Group, with a total of RMB 14500 per floor, while the adjacent No. 4 land was closed to the tender and received seven tenders, mainly for the original class. In the bidding, as the first land price is instructive, the market expects the developer’s bid to be a must. The land was eventually won by Gaoyin Group for more than 8.9 billion yuan. The land price was 155,000 yuan, which is expected to be higher than that of No. 3 land. It is believed that the landscape factor is taken into account. This time, the site is at the front of the runway and at the same time wide distance from the Kowloon Bay Commercial Building. More flats are expected to have sea views in Kowloon Bay and Kwun Tong.
Compared with the 1F district commercial residence in the new land (00016) in May this year, the land price is 13% lower, which is still the second highest residential price in Kai Tak.
Gao Yin: Reasonable price, optimistic about the market outlook
A spokesperson for the Gaoyin Group said that the land is located in a prime location in the urban area. The Group has already invested in No. 3 land. The No. 4 land landscape and location that was awarded this time is more open and superior, and the bid price is reasonable. The long-term prospects of the property market are optimistic. The project is jointly held by Gao Yin Finance (00530) and Chairman Pan Sutong, with a ratio of equity of 6:4.
The total investment amount expressed by the developer is about 14 billion yuan. It is assumed that the construction cost per square foot is about 8,000 yuan, taking into account the land price and water supply. The investment amount per square foot is about 22,000 yuan, and the future practical price is 33,000 yuan. More than the district reputation. The second-hand price of Hong Kong Bay is 1.9 million yuan and 65% higher. As for the new plate, Long Yu and Kai Tak 1 are over 2 to 30%.
Gao Yin has always loved the luxury residential areas in the city. In 2016, he won the Ho Man Tin 2 luxury homes, including the Changsheng Street and He Wentian Station Phase 1 projects. He has the opportunity to sell uncompleted flats next year, and it is beneficial to withdraw funds to store “ammunition”. At the same time, it also holds the Kowloon Bay High Silver International Centre for rent collection.
DTZ Debenham Tie Leung, Executive Director of Hong Kong Valuation and Advisory Services, said that the land price reflects the landscape factor. The two Kai Tak prices are in line with expectations. Even if affected by the trade war and interest rate hikes, some developers still have confidence in the market outlook.
Chen Chaoguo, Managing Director of Savills Valuation & Professional Consultants Limited, said that the supervision of the Mainland’s capital is more stringent, but many developers with Chinese backgrounds still love the quality of the urban areas of Hong Kong, and the bids will be more aggressive; The consortium may achieve a synergy effect in the real estate market. However, given the weakening of the property market, it is believed that depending on the pros and cons of the landscape, it is estimated that the overall land price will develop steadily. It is expected that the next volatility will not be significantly increased.