Why Hong Kong developer CK Asset sold a mall at an ‘exceptionally cheap’ price
With the “exceptionally cheap” sale of a vacant Hong Kong shopping mall, developer CK Asset Holdings is freeing up capital for other projects, while the buyer will have to be patient because the location will struggle to attract tenants in the short term, according to analysts. The developer completed the mall in its residential project Seaside Sonata on Hai Tan Street in Sham Shui Po five years…
A Hong Kong developer, CK Asset Holdings, recently sold a vacant shopping mall for what is described as an "exceptionally cheap" price of HK$179.77 million (US$23 million). The property, Seaside Sonata, had been under construction in its residential project since five years ago but never leased out. The sale includes parking spaces, with the retail portion priced at HK$2,996 per square foot.
This decision comes as analysts suggest it's a way for the company to free up capital for other projects, as the current business environment is not favorable with only long-term investors expected to be interested in the purchase. The buyer, Assets Master, will likely struggle to attract tenants in the short term due to the location's challenges.
Despite the mall's recent occupation since mid-2021, CK Asset had not previously offered its 38 retail shops for lease, contributing to the difficulty in finding prospective tenants. The development's low pedestrian traffic, due to old tenement blocks nearby and its distance from the district's retail hub, combined with a sluggish rental market, make it a challenging sell.
This isn't the first time CK Asset has sold a property developed with the Urban Renewal Authority; they sold another retail space in 2025 for HK$423.6 million, which was subsequently converted into a veterinary medical center.
Written by urgent.news from South China Morning Post's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
