Sun Hung Kai Properties (SHKP) is likely to sell out the latest batch of flats in its massive Sierra Sea development in the New Territories on Wednesday despite a nearly 10 per cent increase in prices, according to analysts.
Hong Kong’s largest developer sold 112 of the 150 flats on offer in the 9,700-unit project as of 6.30pm, according to agents, after the sale began at 3pm. The project in Shap Sze Heung, located between Sai Kung and Ma On Shan, is one of the city’s largest residential developments since 1999.
The first two batches sold out on April 26 and Saturday as buyers snapped up homes at prices as much as 20 per cent below second-hand properties in the area.
“The real estate market had a good start at the beginning of this month, with Sierra Sea being a hot seller,” said Louis Chan Wing-kit, CEO at Centaline Property Agency. “Buyers’ confidence in entering the market will significantly strengthen, and the first-hand transaction volume this month is bound to increase.”
In April, developers sold 1,114 new units, less than half of the 2,418 flats sold in March, according to Midland Realty.
So far this month, more than 450 primary transactions had been recorded, Centaline’s Chan said.
The upbeat outlook for the residential market is underpinned by anticipated interest rate cuts in coming months, as well as China’s stimulus policies.
