Chinese tycoon snaps up Peak mansion for a bargain $838m

A luxury mansion at Lugard Road on The Peak was sold for HK$838 million at a discount of around 30 percent to a Shenzhen tycoon.

The two-storey detached house spanning over 10,000 square feet was bought by a Chinese investor at a price of HK$71,703 per square foot, the realtor Savills said.

But the price was still 30 percent cheaper than an asking price of HK$1.3 billion as of October.

Records show the buyer is a private firm whose director is Gu Fang, the wife of Xu Hang, the wealthiest man in Shenzhen.

Xu is the chairman of the Parkland Group, and a co-founder of Mindray.

The deal is estimated to bring about HK$125.7 million of stamp duty income to the government, after cooling measures were cut in October to boost the property market.

Though macro uncertainties still cloud the market's outlook, Savills said this sale indicates it is now the "golden opportunity" for buyers to acquire top-quality properties.

Meanwhile, heavyweight politician Lo Man-tuen said yesterday that the government should scrap all stamp duties that have been used to cool the housing market.

Lo, the vice-chairman of the All-China Federation of Returned Overseas Chinese, said some government officials are "unwilling to respond to the public's demand" after Secretary for Housing Winnie Ho Wing-yin said last week that Hong Kong's property market is not falling off a cliff.

In other news, local developer Chinachem launched more offers and new payment schemes to lure buyers for three luxury projects, including Victoria Coast and Bisney Crest in Pok Fu Lam and University Heights in Mid-Levels.