(Yicai Global) June 6 -- A Hong Kong couple nearly doubled their investment after buying one car parking space less than 9 months ago and reselling it for HKD6 million (USD760,000), while breaking the previous record for parking lot prices in the low tax haven.
The couple made a profit of HKD2.6 million from the 16.4 x 8.2-foot parking space, which is located at Ultima, a luxury apartment complex developed by Sun Hung Kai Properties, in the urban hub of Kowloon district. The price equals to HKD44,444 per square foot.
Hong Kong was ranked as the least affordable urban center in 2016, according to data from the Demographia International Housing Affordability Survey, while experts predict that property prices will keep on soaring as much as 20 percent this year.
The homeowners who live here hold a lot of cash, said Sandia Lau, a real estate agent from Centaline Property Agency, adding that these residents do not care about how many millions of dollars they spend for a property. They value convenience more.
A 1911-square-foot four-bedroom unit at Ultima in residential Ho Man Tin district is worth HKD98 million, according to Lau. The price per square foot at the luxury apartment complex is well above the city's average price for residential property, which is HKD15,600 across Hong Kong and HKD16,350 in Kowloon, according to US real estate management firm Jones Lang LaSalle.
Prior to this, the highest price for parking in the region was HKD5.2 million, which was paid by a commercial executive for a piece of land in Sai Ying Pun, a historical neighborhood in the northwestern part of Hong Kong Island.
Editor: Emmi Laine