Cheung Kong Property Optimistic on Housing Recovery, Defends Andover Demolition
SingTao · 2 SOURCESabout 3 hours ago6 MIN
Summary
Cheung Kong Property (長實) executive director Francis Chiu Kwok-hung (趙國雄) stated on Tuesday that he believes Hong Kong's residential property market has already hit bottom and is now gradually stabilizing, while expressing confidence in the sector's future. The developer is proceeding with the demolition of three towers at its Kwun Tong Andover (安達臣道) project, citing time and cost efficiency as justification for the decision. Separately, Cheung Kong announced the naming of its Yuen Long development as Montage (萬芊), comprising 327 units, with brochures expected to be uploaded as soon as next week.
Key Points
- Cheung Kong Property executive Francis Chiu Kwok-hung declared that residential property prices have already bottomed out, with no visible downside risk ahead, and expressed strong confidence in the sector's recovery trajectory .
- Regarding the Andover (安達臣道) development in Kwun Tong, where certain structural steel installations failed to comply with Building Ordinance standards, Chiu maintained that demolishing three towers was the correct and most cost-effective solution after weighing time and efficiency considerations .
- The company reported that occupancy at Cheung Kong Centre Phase 2 (長江中心二期) has risen from just above 50 percent at the beginning of the year to over 80 to 90 percent currently, though Chiu acknowledged that commercial properties still face some market pressure .
- The Yuen Long Montage project located on Kam Tai Road offers 327 units, including 28 rare two-bedroom houses spanning 497 to 514 square feet with private gardens and rooftops, alongside 242 apartments across two 7-storey towers .
- The Montage development is scheduled for completion by December 31, 2027, representing approximately 14 months of construction time from now, and is positioned to benefit from the Northern Metropolis (北部都會區) development plan with proximity to the new Huanggang Port accessible within 10 to 15 minutes by car .
Why It Matters
The executive's confidence in a housing market bottom carries significant weight coming from one of Hong Kong's largest developers, potentially signaling a shift in sentiment for the property sector that has faced prolonged headwinds. Additionally, the demolition at Andover underscores ongoing quality control challenges in Hong Kong's construction industry, while the timing of new project launches in Yuen Long highlights developers' strategic positioning around cross-border connectivity infrastructure connecting Hong Kong to the Greater Bay Area .
The executive's confidence in a housing market bottom carries significant weight coming from one of Hong Kong's largest developers, potentially signaling a shift in sentiment for the property sector that has faced prolonged headwinds. Additionally, the demolition at Andover underscores ongoing quality control challenges in Hong Kong's construction industry, while the timing of new project launches in Yuen Long highlights developers' strategic positioning around cross-border connectivity infrastructure connecting Hong Kong to the Greater Bay Area .