Secondary Market Revival: Blue-Chip Estate Owners Cash Out with Doubled Profits
AM730 · 1 SOURCESabout 1 hour ago2 MIN
Summary
The secondary property market in Hong Kong is showing renewed vigour as owners at prime residential estates move to lock in substantial gains. Two recent transactions at Taikoo Shing and Mei Foo Sun Chuen highlight how long-term holders are benefiting from the sustained appreciation in blue-chip housing stocks. At Taikoo Shing, a 2-bedroom flat on Shun On House Low Floor B fetched HK$10.38 million after a 12% price reduction from the original asking price of HK$11.8 million. The unit, spanning 580 square feet of practical area, commanded HK$17,897 per square foot. Its seller realised a remarkable HK$7.26 million profit, having originally paid just HK$3.12 million in 1999—representing a 2.3-fold increase in value over approximately 27 years. Separately, at Mei Foo Sun Chuen in Lai Chi Kok, a 532-square-foot 2-bedroom flat on Heng Pak Street in Phase 6 sold for HK$5.6 million, generating HK$2.92 million in profit for an owner who purchased the property in 2009 for HK$2.68 million. Property agents report that transaction volumes remain steady at both estates, with average transaction prices holding firm.
Key Points
- Taikoo Shing's Shun On House unit sold for HK$10.38 million, reduced from the original asking price of HK$11.8 million
- The 580 sq ft flat achieved HK$17,897 per sq ft and belonged to an owner who purchased in 1999 for HK$3.12 million, yielding a profit of HK$7.26 million
- Mei Foo Sun Chuen's Phase 6 unit on Heng Pak Street sold for HK$5.6 million, generating HK$2.92 million profit from a 2009 purchase price of HK$2.68 million
- The 532 sq ft Mei Foo property commanded HK$10,526 per sq ft, with average prices in the estate currently at HK$12,047 per sq ft
- Tai Hang recorded 8 transactions in August at an average price of HK$17,400 per sq ft, while Mei Foo logged 6 deals
- Agents attributed the relatively slower market pace to buyers exercising caution despite upward price momentum
Why It Matters
These transactions underscore the wealth creation potential in Hong Kong's mature residential market, where long-term holders have accumulated significant capital gains even as broader economic headwinds persist. The data also reflects continued confidence among property owners in the resilience of blue-chip estate values, which could sustain upward pressure on secondary market prices and influence future buying decisions across the territory.
These transactions underscore the wealth creation potential in Hong Kong's mature residential market, where long-term holders have accumulated significant capital gains even as broader economic headwinds persist. The data also reflects continued confidence among property owners in the resilience of blue-chip estate values, which could sustain upward pressure on secondary market prices and influence future buying decisions across the territory.