Hong Kong developers Wharf, CK Asset gear up to launch luxury projects as surging stock market creates vast new wealth

Wharf (Holdings) and CK Asset Holdings are lining up to release their new developments on The Peak and in the Mid-Levels soon

Shares of tech giants like Tesla and Tencent have skyrocketed, generating vast amounts of new-found wealth, say analysts

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CK Asset will soon launch 21 Borrett Road in the West Mid-Levels, having bought the plot in 2011. Photo: May Tse

Published: 7:30am, 20 Jan 2021Updated: 7:30am, 20 Jan 2021

Some of Hong Kong’s biggest developers are seizing the moment to launch their super deluxe projects to capitalise on a surging stock market and the prospect of a market recovery in the second half of the year.

Wharf (Holdings) and CK Asset Holdings are lining up to release their new developments on The Peak and in the Mid-Levels soon, with one house carrying an estimated price tag of HK$812.68 million (US$104.83).

Wharf is going to offer its second project on The Peak, on Peak Road, for sale after it paid a record HK$12 billion for another parcel of land in nearby Mansfield Road via government tender last month. The total investment in its Mansfield Road site could total HK$15 to HK$16 billion, according to property consultants.

Developers are launching luxury projects now as the imminent roll-out of vaccines and the stunning performance of the stock market generate optimism of an upturn in the residential property sector, according to Louis Ho, principal sales director at Centaline Property Agency.

“The market [anticipates] there could be recovery in 2021. For such luxury projects, it does not matter if they sell slowly anyway,” said Ho.

The Hang Seng Index on Tuesday surged to the highest level in 20 months with daily turnover at an all-time high, as mainland funds poured into the world’s cheapest major market. Its has recouped US$2.5 trillion of market value from March 2020 lows, generating huge quantities of new wealth.

Wharf plans to offer six of the eight houses at its super deluxe development, 77 and 79 Peak Road, for tender as early as the first quarter.

Hong Kong developers Wharf, CK Asset gear up to launch luxury projects as surging stock market creates vast new wealth

Wharf (Holdings) and CK Asset Holdings are lining up to release their new developments on The Peak and in the Mid-Levels soon Shares of tech giants like Tesla and Tencent have skyrocketed, generating vast amounts of new-found wealth, say analysts

Wharf (Holdings) and CK Asset Holdings are lining up to release their new developments on The Peak and in the Mid-Levels soon

Shares of tech giants like Tesla and Tencent have skyrocketed, generating vast amounts of new-found wealth, say analysts