The family of Ho Shung-pun, a low-key clan of real estate developers in Hong Kong, sold four mansions on The Peak for a 35-per cent discount to market prices to repay debt, sources said, as the city’s property woes have now extended to even the wealthiest elites of the population.
A buyer has paid HK$55 million, or 5 per cent of the sales price, as the initial deposit for the purchase, said Raymond Lee, the chief executive for Hong Kong, Macau and Greater China at Savills, which brokered the deal.“The buyer is a local with financial strength,” Lee said, declining to divulge the buyer’s name. “He paid cash and will complete the deal on August 8.”
The transaction price works out to about HK$65,000 per square foot, about 50 per cent less than the valuation at the height of Hong Kong’s property market in 2017, Lee said. The loan, carrying an annual interest rate of 29 per cent in the first two months of its drawdown, and 18 per cent thereafter, used another Ho family property as collateral. The loan was taken out to refinance a HK$44 million facility taken out in June 2023 that carried an interest rate of 25 per cent per annum in the first month, and 13 per cent thereafter.