A Hong Kong residential site was sold for substantially less than expected as one of the world’s most expensive property markets continued to show signs of cooling after almost three years of relentless growth.
The 13,393 sq m area in Tseung Kwan O went to Sun Hung Kai Properties on Tuesday for HK$3.12bn ($400m), some 20 per cent lower than a pre-sale Reuters poll had indicated. The plot was the main site up for sale on Tuesday among smaller plots.
Tuesday’s results consolidated the negative sentiment that has damped property transactions in recent weeks, analysts said, leaving developers increasingly cautious. In the previous government land auction, in August, a residential site sold for 33 per cent less than expected and attracted just one bid.