Buyers stay on sidelines at K. Summit as Hong Kong’s first home sale since November 24 district polls has a lacklustre start

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K. Wah International, one of the biggest developers of residential property at the former Kai Tak Airport, sold 128 of the 228 flats offered at its K. Summit complex as at 5pm

Two unidentified buyers forked out HK$15 million to buy two apartments each at K. Summit for lease, according to Centaline Property Agency.

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Potential buyers queue for K Summit by K Wah International on 7 December 2019. Photo: Xiaomei Chen

Lam Ka-sing

Published: 5:42pm, 7 Dec 2019Updated: 11:33pm, 7 Dec 2019

Hong Kong’s biggest home sale since the November 24 landslide victory by opposition parties got off to a lacklustre start, as buyers continued to stay on the sidelines amid uncertainty over the city’s long-term political environment.

K. Wah International, chaired by the city’s sixth-wealthiest man Lui Che-woo, sold 128 of the 228 flats at its K. Summit complex at the former Kai Tak airport as of 5pm, agents said, adding that they don’t expect the project to sell out on its first day.

Uncertainties over the US-China trade war, which is heading into its 18th month, and Hong Kong’s ongoing political protests “still haunt the market,” said Midland IC&I’s chief executive Daniel Wong.

“US President Donald Trump’s signing of the Hong Kong Human Rights and Democracy Bill will ultimately reduce the desirability of foreign investments in Hong Kong, adding another negative factor to the market which drives owners and [property] investors to adopt a wait-and-see attitude.”

Hong Kong’s property market has been in a downbeat mood since the decade-long bull run in Hong Kong’s home market stalled in recent months, as the combination of the trade war and the city’s political unrest have deterred property buyers from large capital commitments. Increasingly, more owners are selling their property at losses, as they rush to unload their holdings amid the rising uncertainty and a downbeat market.

A flat measuring 370 sq ft at Ho Man Tin Hillside recently sold at HK$8.7 million, incurring a loss of about HK$400,000 after including a stamp duty. At Meridian Hill in Kowloon Tong, an apartment of 1,600 sq ft changed hands at HK$27.8 million on Thursday, at a loss of HK$3.2 million, agents said.