Hong Kong homebuyers snap up all 254 Tseung Kwan O flats despite rate jitters

Hong Kong homebuyers snapped up all 254 flats at the La Mirabelle project in Tseung Kwan O on Tuesday despite concerns over slower rate cuts and Middle East tensions. Market agents said the units sold out by about 3:50pm.

Hong Kong homebuyers snapped up new launches on Tuesday as developers accelerated sales amid concerns over slower rate cuts from the US Federal Reserve and geopolitical tensions in the Middle East.

By about 3:50pm, all 254 flats released at the La Mirabelle project in Tseung Kwan O had been sold, according to market agents. The project, developed by Sino Group, offers one- to four-bedroom flats, with a focus on two- and three-bedroom layouts.

“Today’s positive sales results at La Mirabelle is a vote of confidence for the Hong Kong residential market,” said Daryl Ng, chairman of Sino Group. “The Hong Kong residential market fundamentals are healthy, with good liquidity in transactions, attractive rental yields for investors, and world-class infrastructure such as the MTR network and quality shopping malls for end users.”

“Given the recent increasing number of first-hand projects launching in the market, developers are continuing to deleverage their positions to avoid a longer mid- to high-interest-rate environment,” said Norry Lee, senior director at JLL in Hong Kong.

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The One Park Place development in Yau Tong has attracted strong demand, with 110 units sold soon after launch following discounts of up to 15 percent from developers Sino Land, CSI Properties, and MTR. This occurs amid expectations of interest rate cuts and rising demand, signaling hopes for market recovery in 2026. The sale, originally set for November 28, was postponed due to a deadly fire in Tai Po's Wang Fuk Court.

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Homebuyers in Hong Kong snapped up all 213 flats in Phase 2A of Sun Hung Kai Properties' Sierra Sea development by 9pm on Saturday. The project garnered 42,330 subscriptions, achieving a record oversubscription of over 197 times. Information on the 49 units offered via tender was not disclosed.

Hong Kong has established the Hung Shui Kiu Industry Park Company to expedite development of a 23-hectare industrial park under the Northern Metropolis project, earning praise from developers as a 'one-stop service centre'. The company is set to be fully operational by mid-2026, alongside government incentives for a new land tender including phased payments and an extended bidding period.

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Hong Kong's property market ended three years of decline with a strong rebound in the Year of the Snake, recording 87,506 transactions worth about US$86.8 billion. Agents expect the Year of the Horse to build on this momentum, aided by lower interest rates and potential government budget support, shifting from recovery to expansion. Derek Chan Hoi-chiu, head of research at Ricacorp Properties, anticipates firmer prices across mass, mid-market, and luxury segments.

 

 

 

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