Swire wins rare Wan Chai site in competitive bid

Swire Properties (1972) has outbid 20 bidders to win a rare residential site on 269 Queen's Road East in Wan Chai for HK$1.96 billion or HK$16,888 per buildable square foot, according to the Lands Department.

The site, which is presently the Lui Kee Education Services Centre, has a minimum size requirement of about 280 sq ft for flats.

It has a site area of about 1,226 square meters and the maximum gross floor area is 10,794 sq m, the department said in a statement yesterday.

The lot's market valuation ranged from HK$1.7 billion to HK$2.1 billion, or from HK$14,000 to HK$18,000 per sq ft.

Tim Blackburn, the developer's chief executive, said the firm is delighted to have won the land tender despite fierce competition. The plot has enormous potential and will play to its strengths especially when it comes to creating premium, high-quality residential developments, Blackburn said, adding that it will provide more information on its development plans in due course.

Apart from its commercial complex Pacific Place in Admiralty, Swire Properties has service apartments - Star Studio - near the site as well as a residential project Eight Star Street which has a total of 37 homes, and was launched last year.

Other 20 tenderers included CK Asset (1113), Henderson Land Development (0012), Wheelock Properties, and Kerry Properties (0683), the government said.

Alvin Lam Tsz-pun, director at Midland Surveyors, said it was no surprise that the site with a prime location had attracted so many developers given that it is a rare small and medium-sized plot with a moderate investment amount on Hong Kong Island.

Lam estimates that the average price per salable sq ft of the project would reach HK$33,000 when it is built and it will provide studio to two-bedroom units.