The developer has hiked prices for the remaining 40 units - sized from about 390 to 730 square feet - to HK$7,500 per square foot, according to Sun Hung Kai Real Estate Agency executive director Victor Lui Ting.

He said SHKP has sold 60 percent, or about 60 units, at Sky One since launching this week at an average of HK$7,000 psf. It expects to reap HK$400 million. Up to HK$700 million may be generated when all units are sold. Lui said the project's four 3,100 sq ft detached houses will be reserved until the end of the sale process.

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SHKP is offering a mortgage scheme, with Citibank, for Sky One at 1.9 percent - that is prime minus 3.35 percent - for the first three years. Afterwards, buyers will pay 2 percent.

Following the stock market rally since March, mass residential prices may rise 5 to 10 percent in the second half while luxury flat prices could jump another 10 percent, said Craig Shute, CB Richard Ellis senior managing director of research for the SAR, Macau and Taiwan.

Margaret Ng Ka-yee, CBRE senior director of research for Greater China, said mass residential prices will stabilize in the second half because property owners said they will be prudent. ALFRED LIU AND NATALLIE CAI