Henderson completes To Kwa Wan acquisitions

Henderson Land Development (0012) yesterday won the bid for an old building in To Kwa Wan via a compulsory sale with a reserve price of HK$1.07 billion.

The developer acquired the old building located at 72-76 Lok Shan Road and 72-76B To Kwa Wan Road without any competition.

Occupying around 10,300 square feet, the building represents the final site approved for compulsory sale within the overall redevelopment project.

Henderson Land has completed a total of four compulsory sales in the area, including this acquisition, with a combined value of about HK$4.17 billion.

The entire redevelopment project covers old buildings located at 68A-76B To Kwa Wan Road, 58-76 Lok Shan Road, 14-20 Ha Heung Road, 1-7 Lai Wah Street and 1-9 and 2-8 Mei Wa Street.

Augustine Wong Ho-ming, an executive director of Henderson Land, said that the four acquired sites have a combined area of 42,467 sq ft, which can be utilized for redevelopment to create a total gross floor area of 382,000 sq ft.

The development focus is primarily on constructing small and medium-sized apartments. It is anticipated that these apartments will be available for pre-sale at around the end of 2025.

Meanwhile, Knight Frank expected local home prices to fall up to 5 percent this year, mainly due to the high interest rate and increased supply of new homes.

Luxury property prices, however, are expected to remain stable.