Hong Kong to Sell 12 Residential Sites in First Quarter

Hong Kong’s government plans in the first quarter to sell 12 land sites that can accommodate 5,500 homes, as it seeks to raise housing supply to help curb home prices that have more than doubled since early 2009.

The number of homes that can be built on the sites is the most since 2011, when the government started announcing land sales plan ahead of each quarter, Secretary for Development Paul Chan told reporters at a briefing in the city yesterday. For the fiscal year ending in March 2014, the government has put up land on which 13,700 units can be built, the most in 13 years, Chan said.

Chief Executive Leung Chun-ying has imposed additional real estate transaction taxes, tightened mortgage lending requirements, and pledged to increase housing supply in an effort to quell concerns of an asset bubble. Hong Kong’s home prices, which have fallen about 4 percent since peaking in March, are the highest in a Savills Plc survey of 10 cities, including London, New York and Tokyo, published in September.

Hong Kong will also sell a commercial property site with an allowed gross floor area of 18,000 square meters (193,750 square feet) in the first quarter, Chan said yesterday.

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