Two major developers are hiking prices

Cici Cao

Sun Hung Kai Properties (0016) has raised prices for its new projects and CK Asset (1113) is set to follow suit as they anticipate more supportive measures in the upcoming policy address on Wednesday and from Beijing.

Both the major developers have been recording overwhelming sales.

CK Asset is considering raising prices for new projects as it expects the policy address and Beijing's package will activate the economy.

Real Estate Developers Association chairman Stewart Leung Chi-kin had earlier called on the government to allow a third of the HK$30 million investment required in the new capital investment entrant scheme to be used by investors to purchase industrial and commercial or residential properties, if they so desired.

Sun Hung Kai Properties released the fifth price list of the Cullinan Sky in Kai Tak yesterday, offering 149 units, after selling out 238 units on Saturday.

The flats range from one-to three-bedroom and open-plan units, from 236 to 692 square feet, with prices between HK$5.1 million and HK$18.9 million after discounts.

SHKP deputy managing director Victor Lui Ting said SHKP will "not stop launching new flats" due to the accelerated recovery of the property market in the fourth quarter.

Blue Coast II in Wong Chuk Hang, co-developed by CK Asset and MTRC (0066), rolled out a second price list of 108 units for sale on Saturday, with an average discounted price of HK$21,876 per sq ft, 1.6 percent higher than the first price list. The project has received over 4,000 checks in three days, making the flats nearly 16 times oversubscribed.

Lai Sun Development Company's (0488) The Parkland in Yuen Long sold eight out of 14 units in the second round of sales on Sunday.

The 14 units in sizes ranging from 265 to 494 sq ft, were priced from HK$2.84 million after discounts.

The Pavilia Forest at the old Kai Tak airport runway, co-developed by New World Development (0017) and Far East Consortium International (0035), announced nine transactions yesterday, with 107 deals worth HK$670 million recorded this month.

Emperor International's (0163) One Jardine's Lookout in Happy Valley sold a four-bedroom flat for HK$29.14 million by tender, the highest since the project was put on the market.

In the secondary market, the city's 10 major housing estates recorded nine deals over the weekend, 18 percent less than the previous week.

Louis Chan Wing-kit, Asia Pacific vice chairman of the residential division at Centaline, said the decrease is due to homeowners asking for higher prices and a rebounded primary market facing new projects.