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Hong Kong property
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Li Ka-shing’s CK Asset expects to sell 626 flats in weekend sale as 13,000 Hong Kong homebuyers bite on 7-year-low prices

  • The developer expanded the Coast Line II sale from 254 to 626 flats as it received more than 13,000 deposit cheques from hopeful buyers
  • The low average price of HK$14,686 (US$1,880) per square foot will pressure other developers to cut prices in future launches, analysts say

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The CK Asset Holdings logo hangs at the construction site of the Cheung Kong Center II commercial building in the Central district of Hong Kong on January 24, 2022. Photo: Bloomberg
Salina Li
CK Asset Holdings, the property flagship of Hong Kong billionaire Li Ka-shing, will sell out the 626 available units at its Coast Line II development in Kowloon on Saturday after homebuyers jumped at the chance to snap up new flats at the lowest prices in recent memory.
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The units in phase II of the Yau Tong project are priced at HK$14,686 (US$1,880) per square foot on average after discounts, which is a seven-year low for new flats in the city, according to Raymond Cheng, managing director of property management at CGS-CIMB Securities.

More than 13,000 prospective buyers have deposited cheques in hopes of buying the flats at the sale, which CK Asset expanded over the last two days from 254 units to 382 and finally to 626 given the demand.
With the aggressive discounting, CK Asset appears to be kicking off a price war that will see developers offering bigger discounts for new launches in the third quarter, according to Buggle Lau Ka-fai, chief strategist at Midland Reality.
The Coast Line II project in Hong Kong’s Yau Tong neighbourhood, developed by CK Assets. Photo: CK Assets
The Coast Line II project in Hong Kong’s Yau Tong neighbourhood, developed by CK Assets. Photo: CK Assets

Developers have been discounting flat prices by 1 per cent to 3 per cent below market levels since the third quarter of last year, said Lau, who anticipates that developers will price new units at 10 per cent below market levels in the third quarter as they strive to attract buyers and stimulate sales.

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The cheapest flat at Coast Line II, which lies about 10 minutes from an MTR station in the southeastern corner of Kowloon, is a 210 sq ft studio on offer for HK$2.9 million, or HK$13,810 per sq ft, after an 18 per cent discount. The expected sale proceeds from the 626 units are HK$4.67 billion.

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