HK to auction first major land sites in 2 years

HK to auction first major land sites in 2 years

HONG KONG, Nov 18 (Reuters) - The government will auction two residential sites in December, the first large-scale land sales in two years amid rising housing prices under a low interest rate environment.

A Lands Department spokesman said on Wednesday that the government had accepted the minimum guaranteed bids of about HK$3.6 billion ($465.1 million) for each of the sites in the suburban area of Tai Po. The two lots will be offered for sale on December 28.

Under Hong Kong government land sale procedure, interested buyers must identify their targets on a list of available sites for the year and make an acceptable offer before the site can be auctioned.

Both sites have an area of around 20,925 square meters.

Mass-market residential property prices in Hong Kong have surged more than 20 percent this year, despite the economic downturn, while luxury property prices have soared more than 40 percent, benefitting from excess liquidity globally and an influx of cash from newly-rich mainland Chinese. (Editing by Chris Lewis) (Reporting by Farah Master; [email protected]; +852 28436901)

HONG KONG: The government will auction two residential sites in December, the first large-scale land sales in two years, amid rising housing prices under a low interest rate environment.

A Lands Department spokesman said on Wednesday that the government had accepted the minimum guaranteed bids of about HK$3.6 billion (RM 1.67 billion) for each of the sites in the suburban area of Tai Po. The two lots will be offered for sale on December 28.

Under Hong Kong government land sale procedure, interested buyers must identify their targets on a list of available sites for the year and make an acceptable offer before the site can be auctioned.

Both sites have an area of around 20,925 square metres.

Mass-market residential property prices in Hong Kong have surged more than 20% this year, despite the economic downturn, while luxury property prices have soared more than 40%, benefitting from excess liquidity globally and an influx of cash from newly-rich mainland Chinese. -- Reuters