Fu Yong second-line commercial frequency recorded billion transactions
After the price of A-Shak hit a record high, the recent inflow of funds into the second-tier commercial buildings attracted investors’ big hand and at least recorded 4 deals worth more than 100 million yuan. Market estimates, this year’s Wan Chai, Tsim Sha Tsui district second-tier commercial buildings, the price increase can be higher than the first-line commercial buildings.
Entering into the new year, the trading volume in commercial buildings remained robust. The sales of second-tier commercial buildings accelerated significantly. Many large-value transactions of over RMB100 million were recorded and lots of investors were involved in the market. For example, the Wan Chai Capital Center, with a total area of 14,500 square feet on the middle floor, sold for 295 million yuan and the new buyer was an alpine enterprise (00616).
Tin Lok Square foot low water with room for growth
In addition, senior investors also deployed replacement, after the sale of high property, the funds transferred to low water projects. For example, Liao Weilin, chairman of Zhengba Group, sold out the entire floor of Sanxiang Building in Wanchai at a new foot price of HK $ 105 million at a price of 20,467 yuan per square foot and an appreciation of 19% over eight months. In November last year and January this year, Liao Wei-lin respectively absorbed two full-floor floors of Tin Lok Plaza in Wan Chai for a total of 6,992 square feet at a total consideration of $ 72.2 million and an average price of $ 10,326. Compared to the same district Sanxiang Building foot price of more than 20,000 yuan, the current Tin Lok Square foot price of nearly 50% lower, but also can expect a certain amount of room to rise.
Second, Shimen low-water commercial buildings, attracting funds stationed. The industrialized building project, Plaza Xindu, sold out a total of 7 storeys and 47 stalls in less than a month with a total cash of 1.3 billion yuan. One of the storeys, which was chaired by experienced bedding investors, received an amount of 108.9 million yuan, covering an area of 19,139 square feet and a foot price of about 5,690 yuan. Compared to the same area Jingrui Plaza, the recent transaction price of about 10,000 yuan per square foot, the sale price of the property, substantially lower than the same district commercial buildings.
Rental return high Tsim Sha Tsui commercial into focus
In addition to Wan Chai and Shimen, Tsim Sha Tsui commercial buildings into another market focus, mainly due to commercial rental rent in the district than other districts ideal. According to data from the Associated Press shops, at the end of last year, the returns from Central and Admiralty were only 2.3%, while those from Sheung Wan were only 2.4%. The highest return for the core area was Tsim Sha Tsui, which was 3.1%.
In the meantime, rare large-value transactions were also recorded in the market. According to the market, a total area of 1 middle level at Cedar South East Center was sold with a carpark of 208 million yuan. The full-floor area was 14,542 square feet at a price of $ 14,303 per sq ft. The bank expects the selling price of E-BHD to catch up and overturn this year, rising 10% to 15% this year, which is 5% to 10% higher than the expected increase of A-B and Tsim Sha Tsui at a low price.