The price is close to those set two years ago for the same development.
Sun Hung Kai Properties, Hong Kong’s biggest developer, is offering new homes at a discount to entice buyers amidst a worsening political crisis.
Also read: Hong Kong economy may post 0% growth in 2019
The first batch of units in the Kowloon development Cullinan West III are priced at $21,722 per square foot (psf), or 20% lower than current market levels in the area. The pricing is close to the price set two years ago for the first phase of the same development even though home values have risen 8% in the period.
“Recent social events and the US-China trade war have heightened some buyers’ wait-and-see attitude,” Sun Hung Kai Properties deputy managing director Victor Lui said.
Meanwhile, the transaction value for new luxury homes slumped 31% in July to an eight-month low, Centaline Property Agency data showed. In July and August, the number of primary residential launches in Hong Kong were halved to only three projects, a report by JLL revealed.
Read more from Bloomberg.
Photo by Wpcpey (Wikimedia Commons)
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