Property News · October 28, 2016

Where the Hong Kong MTR goes, property boom follows


Fierce bidding ahead
Li Wa/Shutterstock
Two districts in Kowloon, Hong Kong are currently experiencing an uptick in home sales, courtesy of an expanding rapid transit line.
Residential capital values in the city’s Whampoa and Ho Man Tin districts have risen 95 percent and 80 percent respectively since the gazetting of a new MTR line in 2009, according to The South China Morning Post, citing data from the latest report on Hong Kong residential sales by Jones Lang LaSalle. The route opened Sunday after months of delays.
“Residential projects with railway connections have always been more popular with buyers,” said Henry Mok, regional director of capital markets at JLL. “Once the railway extension starts operation, properties in Whampoa and Ho Man Tin should be able to draw more interest from buyers, leading to an increase in transaction volumes and a possible boost in property prices in the two districts.”
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Capital values throughout the Chinese SAR averaged only 61 percent during the period, JLL noted.
Extending for 2.6 kilometres, the new MTR route is an extension of the Kwun Tong line. Rents in Whampoa, from which the line would extend to Yau Ma Tei by way of Ho Man Tin, have risen by 10 per cent in the past month, the Post reported.
Such MTR effect would amount to fierce bidding for MTR Corp tenders in the final months of the year, JLL predicted. Two of these tenders, which involve housing projects that would yield 800 and 1,000 units, respectively, at the Wong Chuk Hang Station and Ho Man Tin Stations evince much potential in particular.
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Source : property-report.com
Read more…Where the Hong Kong MTR goes, property boom follows

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