Three deals worth a total of HK$55.44 million at the Pavilia Farm III, which has been hit by a construction scandal, were terminated last Friday.
The project, which is being jointly developed by New World Development (0017) and MTR Corp (0066), lies atop the Tai Wai MTR station in the New Territories.
The cancellations come after construction defects at the project were found last month. NWD said it would demolish and rebuild two of the seven residential blocks at the project as the strength of some concrete sections did not meet the design requirements approved by the Building Department.
A 991-square-foot four-bedroom flat sold for HK$26.26 million, or HK$26,504 per square foot, was the biggest terminated deal recorded in the Sales of First-hand Residential Properties Electronic Platform.
Transactions for another two flats sized 746 sq ft and 534 sq ft were terminated as well. The buyers had bought the flats for HK$17.23 million and HK$11.94 million respectively.
Though buyers would normally forfeit their deposits on a project if they pull out of the deal, NWD said the 846 buyers affected will be compensated no matter whether they terminate or continue their deals.
Meanwhile, in the luxury market, CK Asset (1113) sold a 2,169-sq-ft flat in the first phase of 21 Borrett Road at the Mid-levels for HK$154 million. The flat has four rooms with two suites and two parking spaces. The average price is around HK$71,369 per square foot. The developer has sold four flats at the project for HK$735 million since July.
Meanwhile, Centaline Property Agency reported only seven secondary deals at 10 major housing estates over the weekend, down two deals from a week ago, and falling to a 26-week low. Three estates - Mei Foo Sun Chuen in Lai Chi Kok, Kornhill in Quarry Bay and Metro City in Tseung Kwan O - recorded no deals.
Since the Centa-City Leading Index, the gauge of secondary property prices, has reached a new high, potential buyers and homeowners may opt for unsold units in the primary market, said Louis Chan Wing-kit, Asia-Pacific vice-chairman of the residential division at Centaline.
In the industrial market, data from Midland IC&I (0459) showed the number of transactions surged 1.5 times year-on-year to 2,356 for the first seven months in 2021.
An 82 percent on-year increase to 363 in July's transaction figure was recorded.
The total transaction amount last month was HK$4.238 billion, up 120 percent from a year ago.
Tower blocks one and eight at the project will be demolished and rebuilt. SING TAO
