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Cheryl Arcibal

Pearl Liu

Wheelock Properties sold 110 units of the148 on offer at its 392-unit Koko Rosso project on Friday, reflecting an improving sentiment following the reopening of the city’s border with mainland China and a stamp duty cut announced by the government this week.
“We are pretty confident that all units will be snapped because most of the units on offer today are small units and are not very expensive,” said Sammy Po Siu-ming, CEO of Midland Realty’s residential division for Hong Kong and Macau. “Sentiment has recovered.”
Koko Rosso is the third phase of Wheelock’s project in Lam Tin in Eastern Kowloon after Koko Hills and Koko Reserve.
12 sites in Hong Kong land sale programme expected to provide 9,000 flats
About 6,600 potential buyers – or 44 home seekers for every flat – registered for the units on sale on Friday.
These flats are priced at HK$18,347 (US$2,338) per square foot on average after discounts. They are one-bedroom and two-bedroom units, with the cheapest priced at HK$5.5 million, according to the developer. The 148 flats are worth HK$1.27 billion in total.
The average price at Koko Rosso is 2 per cent higher than the HK$17,938 per square foot at Chill Residence, the last project to be launched in the district, in November 2022, according to Centaline Property Agency data.
“The relaxation in the stamp duty mainly strengthened buyers’ confidence and prompted them to speed up their entry into the market, as their home-buying burden is reduced,” Po said.


“However it would not be able to create a lot of new demand, as down payments and repayment ability are key when buying homes. The stamp duty will be a very minor factor – the stamp duty cut mainly reflects the government’s support for the housing market.”
On Wednesday, Financial Secretary Paul Chan Mo-po announced adjustments to Hong Kong’s ad valorem stamp duty, which will amount to HK$100 for homes worth up to HK$3 million, instead of up to HK$2 million previously. The changes to the stamp duty, which are on a sliding scale, apply to homes worth HK$10 million or less.
As all the units at Koko Rosso are priced less than HK$9 million each, the development can immediately benefit from the government’s new policy, Wheelock said.
Top Hong Kong developers SHKP and NWD post lower profits on pandemic impact
The stamp duty adjustment comes after Hong Kong’s home prices fell 15.6 per cent in 2022, their biggest drop in 24 years. Residential property transactions plunged by almost 40 per cent to a low of about 45,000 deals.
The city’s slumping housing market, however, might have found some respite last month – an index of second-hand homes rose 2 points, or by 0.6 per cent, to 336.1 in January, according to data provided by the Rating and Valuation Department. It was the index’s biggest monthly increase since April 2022.
And this unexpected uptick might have legs, analysts said, taking gains to 1 per cent in February and 2 per cent in March, after the government announced its stamp duty cuts this week.
Budget 2023-24: Hong Kong records lowest land sale revenue in 7 years
A number of transactions have taken place since the announcement, particularly in the second-hand market, property agents said. Sha Tin Plaza in Sha Tin-Tai Wai district recorded its first home sale this month, with a three-bedroom flat selling for HK$10.38 million on Wednesday, according to Centaline.
Property consultancy Cushman & Wakefield has updated its forecast for Hong Kong’s residential property market, estimating an increase in home prices by 5 to 10 per cent from the previous 3 to 5 per cent.
Despite the recent recovery in sentiment, Hong Kong developers are under pressure to sell their inventory and new projects as soon as possible to collect cash or to get new loans from lenders.
Although most of their gearings are at safe levels, they are struggling because of the increase in interest rates.
Henderson Land Development on Friday signed a partnership with China’s Industrial Bank for credit support of up to 30 billion yuan (US$4.35 billion).
Additional reporting by Lam Ka-sing


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Wheelock sells 110 flats at Koko Rosso in Hong Kong’s first major property sale after stamp duty cut

Koko Rosso is the third phase of Wheelock Properties’ Koko  development in Hong Kong. Photo: Xiaomei Chen

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Ad valorem tax cut for cheaper homes has boosted Hong Kong property market. 

Photo: SCMP / Xiaomei Chen

Ad valorem tax cut for cheaper homes has boosted Hong Kong property market. Photo: SCMP / Sam Tsang

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About 6,600 potential buyers – or 44 home seekers for every flat – registered for the units on sale
Though relaxation of the stamp duty has strengthened buyers’ confidence, it will not create a lot of new demand, Midland Realty executive says


Hong Kong developer Wheelock Properties sold 110 units out of the 148 on offer as of 10pm at its Koko Rosso project on Friday.


Wheelock sells 110 flats at Koko Rosso in Hong Kong’s first major property sale after stamp duty cut

About 6,600 potential buyers – or 44 home seekers for every flat – registered for the units on sale Though relaxation of the stamp duty has strengthened buyers’ confidence, it will not create a lot of new demand, Midland Realty executive says

About 6,600 potential buyers – or 44 home seekers for every flat – registered for the units on sale

Though relaxation of the stamp duty has strengthened buyers’ confidence, it will not create a lot of new demand, Midland Realty executive says