The government raised a total of 10.15 bln hkd from the auction of three residential sites today, higher than expected and in a sign that property developers remain bullish on the sector’s prospects.

The biggest of the three sites offered today, a 155,004 square foot plot in Ngau Chi Wan Road in eastern Kowloon, was sold to Sun Hung Kai Properties for 4.23 bln hkd or 70 pct above the government’s minimum asking price of 2.49 bln hkd.

A group led by Sino Land Corp beat rivals to acquire the other two sites located in West Kowloon. Sino Land teamed up with Nam Fung Development and Chinese Estate Holdings for the bids.

The bigger West Kowloon site, a site measuring 79,621 square feet on Hoi Ting Road, was sold for 3.19 bln hkd, 52.6 pct higher than the minimum guaranteed bid of 2.09 bln hkd.

Analysts had expected the site to fetch up to 3.0 bln usd.

The smallest of the three sites offered in today’s auction, a 66,511 square foot plot at the junction of Hoi Wang and Hoi Ting road in West Kowloon, was sold for 2.73 bln hkd.

Analysts had expected the site, which had a minimum asking price of 1.66 bln hkd, to fetch 2.5 bln hkd.

Posted: 09|28|05 at 8:46 am. Filed under: Property News.