Developer Sino Land triumphs in Tuen Mun land auction, submitting a HK$1 billion bid in response to the upswing in the local housing market.
In a significant move for Hong Kong's property market, Sino Land has purchased a residential plot located at Hoi Chu Road in Tuen Mun. This sale, made during the current financial year, is noteworthy due to the site's proximity to the Greater Bay Area and its superb accessibility.
The site offers beautiful sea views and is situated near Shenzhen Bay, making it an attractive addition to Sino Land's land bank. The development on the Sino Land purchased site will be located in Hong Kong, and is expected to feature quality residences with fine craftsmanship and smart-home designs.
Sino Land executive director, Victor Tin, commented on the transaction, stating that it presents enormous potential. Tin plans to build exquisite residences on the purchased site, complete with an exquisite clubhouse and thoughtful wellness amenities.
The sale to Sino Land is indicative of renewed optimism in Hong Kong's housing market. Major players in the current market include Sino Land, CK Asset Holdings, Kerry Properties, China Overseas Land & Investment, Swire Properties, and Henderson Land Development, all actively launching and selling significant residential projects.
For instance, Sino Land is leading a consortium selling over 100 units at Villa Garda II in Tseung Kwan O, while CK Asset Holdings launched the 1,200-unit Blue Coast project on Hong Kong Island last year. China Overseas Land & Investment is part of a consortium offering new flats at Victoria Voyage in Kai Tak, and Kerry Properties remains an important developer, though less highlighted in these latest launches.
The proximity of the site to the Greater Bay Area and its accessibility are key factors contributing to the transaction's significance. While the Greater Bay Area's integration is a significant factor for developers like DAMAC Properties, which recently opened a regional office in Hong Kong to target the Hong Kong, Macau, Guangzhou, and Shenzhen markets, linking luxury real estate promotion across these connected cities, it does not appear as a direct player in residential property development.
However, Hong Kong International Airport and the Hong Kong-Zhuhai-Macau Bridge do influence regional connectivity, benefiting the housing market, especially within the Greater Bay Area, including Shenzhen. The anticipated interest rate cut later this year is also expected to boost the housing market's recovery.
Despite the positive developments, some Hong Kong property developers face financial challenges. For example, Road King Infrastructure's default and payment suspensions on offshore debts reflect instability pressure among some local developers.
In conclusion, the sale of the residential plot in Tuen Mun to Sino Land is a significant move that underscores the renewed optimism in Hong Kong's housing market. The major players, including Sino Land, CK Asset Holdings, Kerry Properties, China Overseas Land & Investment, and others, are central in active residential projects in Hong Kong, supported by strategic locations near transit hubs (MTR) and benefiting from proximity to mega infrastructure and cities like Shenzhen. The market shows signs of cautious recovery, helped by government policies and optimism about future interest rate cuts.
Sino Land's investment in a residential plot at Hoi Chu Road in Tuen Mun signifies a growth’s resurgence in Hong Kong's real-estate industry, as the company plans to develop high-quality residences with smart-home designs and wellness amenities. The strategic location of the site, close to the Greater Bay Area and Shenzhen Bay, offers potential finance opportunities for the company in the expanding regional market.
