Sha Tau Kok is expected to be sold at HK$130m
HONG KONG, Oct. 7, 2013 /PRNewswire/ -- Leo Cheung Sing Din, Icon City Group's Director, Business Development and Head of Business Valuation said, "Due to different development conditions in the two residential lands which launched the tender invitation on 30 August 2013, the valuation is relatively conservative. Icon City expects that the valuations on the site at Wu On Street, Area 44, Tuen Mun (TMTL498) will be sold at HK$339million and AV HK$2,200 per sq ft, while the site at the junction of Shun Lung Street and Shun Cheong Street, Sha Tau Kok (Lot 1003 in D.D. 40) will be sold at HK$130million and AV HK$1,000 per sq ft."
The site at Wu On Street, Tuen Mun is approximately 2,231 sq m (24,014 sq ft) and the maximum gross floor area is 14,325 sq m (154,194 sq ft). According to the Conditions of Sale, the development must provide no less than 220 residential units. The land is also subject to height restriction which requires the development not to build more than 85 meters above Hong Kong Principal Datum. The developer is required to submit impact assessment reports regarding sewerage and noise in order to evaluate the influences brought to or by the neighborhood of the project. The developer is bounded to build and responsible for the maintenance work for a day care centre for the elderly at the cost of HK$16.55million. The above factors will bring additional costs to the developer, and further affect the tender price. Cheung believes this land will be developed into a multi-storey residential project with commercial portion involved, and the completed flats can be sold at HK$8,500 per sq ft (saleable).
The site area at the junction of Shun Lung Street and Shun Cheong Street, Sha Tau Kok is approximately 3,344 sq m (35,995 sq ft) and the maximum gross floor area is 12,038 sq m (129,577 sq ft). This site is estimated at a price of HK$130million. According to the Conditions of Sale, the development must provide not less than 240 residential units. The land is also subject to floors restrictions which require the development not to build more than 6 storeys. Restriction on alienation is also implemented with the units can only be sold to holders of Frontier Closed Area Permit for Sha Tau Kok. The developer is required to submit the sewerage impact assessment reports and be responsible for the necessary sewerage works. Cheung estimates that this land will be developed into composite building with ground floor shops and domestic units which can be sold at $4,000 per sq ft (saleable).
