China is currently enjoying a flourishing economy and this is very well reflected in the country’s real estate prices. In 2009 a rise of 30% was recorded in property prices and this continued in 2010 with another 24% jump. In this favorable environment, a great piece of luxury property in Hong Kong was recently sold for HK$4.49 billion ($576 million). The buyer was Sun Hung Kai Properties, a Hong Kong real estate developer.
There was quite a bidding war going on before the auction closed in Sun Hung Kai Properties’ favor. The final bid was within the pre-sale estimates of HK$3.5 billion and HK$4.52 billion, and the auctioneers considered this sell a successful event. The buyers announced that they plan on investing some HK8 billion more in further developing the site, which covers approximately 14,700 square meters.
Other important sales at the Thursday auction were a 2,810-square-meter property in Kowloon and a 23,480-square-meter one in New Territories. They were both destined for luxury homes and they sold for HK$579 million and HK$662 million respectively.