17 June 2014 - With a significant increase in the completion of residential projects, and hence supply in the next few years, many developers are keen on using a low price strategy to attract buyers. Ming Pao reported that two brand new luxury residential developments, “Grand Austin” in Southwest Kowloon and “Mayfair by the Sea I & II” in Tai Po released price lists of their first batch of units at prices 20% to 30% lower than those in corresponding second hand residential developments.
For “Mayfair by the Sea I”, the prices of units to be launched are suprisingly close to the development cost. Some units are being offered at prices as low as HKD8,673 per sq. ft (based on net area) as a result of recent pressure from the second hand market.
“Grand Austin” announced the price list of its first batch of 139 units at an average price of HKD26,244 per sq. ft. Buyers will enjoy a 19.5% reduction by choosing the "discount package". Taking the discount into account, the average price of a unit in this project is about HKD 21,192 per sq. ft..
Given the attractive prices, both developments attracted a number of buyers to get their cheques ready for the upcoming launches. It is said that HKD320M cash flow is already frozen for these two luxury residential.
Photo credit: Sino Group