Elite buyers fuel HK property market as prices near bottom

More celebrities from the financial and real estate sectors rushed to hunt luxury properties in Hong Kong, as the housing price is likely to bottom out.

Since March, the property market has seen 21 deals from financial and real estate giants over the six months, with a total transaction value of HK$1.8 billion.

These deals included 37 flats, among which 80 percent of units were bought from June and August, the lowest period of the Hong Kong interbank offered rate.

The units have transaction prices ranging from HK$9.7 million to HK$230 million, with 89.2 percent of them located in the city center.

Notably, the family of Great Eagle (0041) chairman Lo Ka-shui snapped up 15 new flats of HK$228 million in June and July, with a total size of 9,817 square feet.

The deals included four units of The Pavilia Farm above Tai Wai Station in Sha Tin, and 11 units of Deep Water Pavilia in Wong Chuk Hang, ranging from two-bedroom to four-bedroom layouts.

The most expensive flat is the 1,261-sq-ft unit of Deep Water Pavilia I, priced at HK$37.2 million.

In addition, Mark Chan Man-kit, the family member of the developer Wincome Group, paid about HK$230 million for a flat of Shouson Peak in the Southern District, measuring over 3,000 sq ft.

The deal marked the biggest transaction among the celebrates during the period.

Meanwhile, local banking and global financiers also seek high-quality properties with lower rates.

Hang Seng Bank (0011) chief executive Diana Cesar has reportedly purchased a unit at the long-established luxury residence Flora Garden in Tai Hang Mid-Levels for HK$26.63 million in August.

The three-bedroom flat, with a saleable area of 1,193 square feet, changed hands at about 18.3 percent above the bank’s online valuation.

Moreover, two flats and a park space of Hong Kong Parkview Tower 13 in Tai Tam were sold for HK$125 million to Jeremy Wong, the son of banking giant HKSC's (0005) chairman Peter Wong Tung-shun.

David Wraight, managing director at Morgan Stanley, has bought two luxury residential units of Deep Water Pavilia for HK$147 million, with an average price of HK$45,442 per sq ft.

Executives from Mainland corporations also joined the home sales sizzle. Brian Gu Hongdi, vice chairman and co-president of XPeng (9868), purchased a house of Amber Lodge in Jardine's Lookout for HK$171 million, measuring 3,669 sq ft.

Ant Group's executive vice president Shao Xiaofeng was reportedly to purchase a 3,314-sq-ft house of Villa Rosa in Tai Tam in March, with a price of HK$78 million.

Also, one of the founders of SenseTime (0020), Esther Wong, spent HK$125 million to buy a house of Shouson Peak in July, spanning 2,955 sq ft.

HELEN ZHONG