baccaratdegustationset| Li Ka-shing, why does he frequently "sell properties at discounts"?

editor2024-05-26 15:12:523Economics

Li Ka-shing shot intensively, what did he smell?

Li Ka-shing frequently "sells properties at discounts", which has aroused market attention and heated discussion. At the latest meetingBaccaratdegustationsetAt the shareholders' meeting, Victor Li, Chairman and Managing Director of Cheung Kong Industrial Group, responded that "the pricing of real estate cannot be generalized." Pricing is determined in the light of the different conditions of each property, including its location, traffic, surrounding environment and the market environment at that time. "

Recently, three new housing projects launched by Cheung Kong Industrial Group in Hong Kong have all been sold at a discount, with a price reduction of between 23% and 32%. Changshi has said to the outside world that the discount sale of the new order is to attract people who want to buy property locally to take the opportunity to enter the market.

Analysts pointed out that since the "hot" of the Hong Kong property market this year, the Hong Kong real estate market has rebounded rapidly, and developers represented by Changshi seem to be seizing the opportunity to clean up inventory. It is worth noting that the heat of the property market in Hong Kong has declined since May. On May 25th, the Hong Kong Business Daily reported that the leading index of Central Plains cities, which reflects the performance of Hong Kong's second-hand property market, was last reported at 144points, down 1% a week.Baccaratdegustationset.43%, a nine-week low.

Li Ka-shing did it.

Cheung Kong Industrial Group, founded by Li Ka-shing, frequently "sells properties at discounts", which attracts market attention.

At the latest shareholders' meeting, Victor Li, Chairman and Managing Director of Cheung Kong Industrial Group, responded that "the pricing of real estate cannot be generalized." Pricing is determined in the light of the different conditions of each property, including its location, traffic, surrounding environment and the market environment at that time. "

Victor Li said that there has always been a rigid demand for Hong Kong's local property market, and its long-term development is still supported. after the "hot", the Hong Kong property market will continue to be dominated by housing policies and interest rates. But...BaccaratdegustationsetHe also admitted that at present, land prices and construction costs for real estate projects are high, and interest rates have remained high, so "it is not easy to get double-digit annual returns from the real estate business today."

Victor Li is as optimistic as ever about the Hong Kong economy. When asked about the future investment direction, he replied that as long as there are quality assets with ideal returns, they will be considered in Hong Kong, the mainland or other places. at the same time, as Hong Kong is an international financial centre, more and more international enterprises and international family offices will strengthen Hong Kong's position as an international financial centre. Hong Kong's economic strength will also be better, which will be conducive to the long-term development of Hong Kong.

In late May this year, "# LYOS", a residential project owned by Changshi in the northwest New Territories of Hong Kong, was put on sale. These include 14 flats in flatted buildings and 14 duplex households in gardens.

In terms of price, flats in multi-storey buildings will be sold at a discount of up to about 25% compared with the IPO price, while garden duplex households will have a discount of up to about 32%.

Since the "hot" of the Hong Kong property market this year, the Hong Kong real estate market has rebounded rapidly, and developers have also seized the opportunity to clean up inventory. The properties under the Changshi Group are "sold out".

In April this year, 422 units were sold in the first round of Blue Coast3B on the south bank of Hong Kong Island at Wong Chuk Hang Station, which is a cooperation between Changshi Group and MTRCL. 406 units were sold in the first round, accounting for 96%, making it the new order with the largest number of houses sold in one day after the "hot" opening in Hong Kong. At the same time, the average transaction price of units sold in the first round of Blue Coast was about HK $18.3 million, cashing out nearly HK $7.5 billion, the highest daily cash amount in a new session since April 2013.

In another development of Changshi Group, the "Mingri Jiumaoshan El Futuro" project, located in the traditional luxury lot in Mid-levels, Sha Tin, has sold 194 units as of April 21, with a cash flow of more than HK $2.9 billion.

From the price point of view, the above two properties are sold at a "discount". Among them, the average price of Blue Coast3B on the south shore of Hong Kong Island is 2.Baccaratdegustationset.19 million Hong Kong dollars per square foot, while the cost of the project is about 28000 Hong Kong dollars per square foot; the average price of the project is much lower than that of other properties in the same region and is almost 30 per cent off compared with the surrounding second-hand prices. In addition, the pricing of nine units in the "Mingri Jiumushan El Futuro" project has also been sharply reduced by 23% to 32%.

Changshi has said to the outside world that the discount sale of the new order is precisely to attract people interested in local home buyers to take advantage of the opportunity to enter the market.

The heat of the property market in Hong Kong has dropped

In fact, since the "hot" at the end of February, the atmosphere of the Hong Kong property market has reversed and the trading volume of new markets has increased significantly.

According to data from the Wachovia property Research Center, in March, there were more than 4100 first-hand transactions in Hong Kong, a month-on-month increase of 14.6 times, while the amount recorded more than 42 billion yuan, a monthly increase of nearly 11 times. Compared with the monthly registration data of the Land Registry, the transaction volume in March also reached the highest level since 1998, and the transaction volume has been the highest since 1996.

baccaratdegustationset| Li Ka-shing, why does he frequently "sell properties at discounts"?

The first-hand housing market continued to improve in April. Data from Hong Kong's Central Plains property show that in the whole of April, the primary market in Hong Kong recorded about 1852 transactions. By the end of April, developers had sold about 6044 cases for the whole year, about 56 per cent of the 10790 transactions in 2023.

However, in May, the heat of the Hong Kong property market has eased somewhat. On May 25, the Hong Kong Business Daily reported that the leading index of Central Plains cities, which reflects the performance of Hong Kong's second-hand property market, fell 1.43% a week to a nine-week low.

Reported that the new market continues to promote low prices to grab customers, the pressure on the second-hand property market remains unchanged, and the index still does not reflect the impact of banks tightening mortgages. It is believed that CCL will further fall below 143points. It is expected to try 140points at the end of June, and property prices in Hong Kong are expected to fall about 5 per cent in the first half of the year.

In addition, according to the latest data released by Central Plains Real Estate, the number of buildings in the top ten housing estates recorded 439 reservations this weekend, a weekly decline of 11.8%, the lowest in nearly 12 weeks.

However, the industry still has expectations for the future of the Hong Kong property market. Chen Yongjie, vice chairman of the Asia-Pacific region of Central Plains Real Estate and president of the housing department, believes that although there is no new good news in the market recently, and there are large-scale car market sales that put pressure on the secondary market, the mainland continues to introduce favorable policies to stimulate the property market; the Hong Kong stock market has repeatedly hit highs this year, and the whole-day trading volume of the market has reached a new high in nearly a year and a half, which has a positive impact on the Hong Kong property market, and the outlook for the Hong Kong property market is still optimistic.

In terms of housing prices, a comprehensive "hot" also helps to stabilize prices. According to Wachovia property Hong Kong data, if calculated on a monthly basis, the Wachovia property price index rose about 1.2% in April, stabilizing for the first time in 11 consecutive months.

Wachovia property Hong Kong believes that the future trend of property prices will depend on Hong Kong's economic recovery, as well as the timetable and trend of interest rate cuts.