Launch of Northern Metropolis flats attracts strong interest from Hong Kong homebuyers

Hong Kong homebuyers showed strong interest in the first batch of units offered by the major residential project, Wheelock Properties' Park Silicon, located in Kwu Tung North, Northern Metropolis. Out of the 82 flats made available through regular sale, 44 were purchased by Sunday evening, according to agents. The developer reported that eight units from the tender, worth over HK$78.43 million (US$9.99 million), also found buyers.

This positive reception is a promising sign for the property market after a slower sales period in July, when new and previously owned homes saw a 42% decrease in sales volume compared to June, according to the Land Registry. Derek Chan Hoi-chiu, head of research at Ricacorp Properties, attributed the slowdown to a temporary dip in buyer activity during the summer holiday travel period and a natural adjustment following strong first-half transaction volumes.

He also noted that as property prices have recovered from their lows and steep discounts have disappeared, some buyers are cautiously waiting to assess the higher asking prices. Last year, Hong Kong's residential property market emerged from a three-year slump, with home sales reaching a four-year high of 62,832. In June, the price of lived-in homes had recovered 13.4% of the 28.4% lost during the downturn, according to data from the Rating and Valuation Department.

The Park Silicon project's phase 2, named Palo Springs, offered units ranging from 311 sq ft to 480 sq ft with layouts of one to two rooms. After considering discounts, these flats were priced starting from HK$5.05 million, or HK$15,903 per square foot.