How a Hong Kong property investor still made HK$237 mil — after a 40% price cut
According to Chinese media reports, Ng had lengthy had greater than a lots commercial properties in Tsim Sha Tsui, including possessions on Cameron Road and at Haiphong Mansion.
In the middle of concerns over rising rate of interest and a shaky retail property market, a long-time capitalist has marketed a profile of prime street shops in Tsim Sha Tsui– carried for more than 4 decades– and locked in a revenue of almost HK$ 237 million ($38.6 million) despite allowing a deal more than 40% beneath his first asking price.
Ng got the properties for a consolidated HK$ 19.84 million between 1979 and 1987, throughout the tense Sino-British arrangements over Hong Kong’s return to mainland Chinese rule and a stock exchange slump that pressed residential property costs to depressed levels.
The initial and second floors have been leased ever since May in 2025 to century-old restaurant Lin Heung Tea House for about HK$ 250,000 a month, equivalent to roughly HK$ 23 psf.
The portfolio of market outlets in Cheung Lee Commercial Building and the podium of Wing Lee Building, both on Kimberley Road, switched hands for HK$ 256.8 million, according to Land Registry information.
“When the industry was growing, you might not have managed to get these retail stores also for HK$ 600 million or HK$ 700 million,” Lee added.
The properties included the basement and ground, first and 2nd floors of the Cheung Lee Commercial Building at 25 Kimberley Road, with an overall gross floor area of regarding 21,871 sq ft.
The seller, low-profile investor Ng Kan-hoi, had actually formerly provided the properties for a mixed HK$ 430 million before lowering the rate by 40%.
Furthermore, Shops 6-10 on the ground floor of Wing Lee Building at 27-31C Kimberley Road, with a total gross ground area of concerning 2,731 sq ft, cost HK$ 54 million, mirroring a rate of about HK$ 19,773 psf.
After holding the possessions for greater than 40 years, he understood a gain that was almost 12 times his initial financial investment.
The ground-floor lessee is cha chaan teng operator Lok Tin Cafe, while the cellar is rented to mainland Chinese karaoke chain Mei KTV.
Those assets were eventually cost HK$ 202.8 million, or concerning HK$ 9,273 psf.
In June, he marketed the entire 9th level of Far East Finance Centre in Admiralty for about HK$ 165 million, depending on to Land Registry information. After holding the estate for 18 years and minimizing the asking rate by as much as 38%, he earned a profit of only about HK$ 11.2 million or about 7%.
The sale notes the second major disposal by Ng in current months.
Edwin Lee, founder and chief executive officer of Bridgeway Prime Shop Fund Management, stated the purchase involved a big portfolio with a significant overall worth, but the psf-price was fairly reduced because it was difficult to find a purchaser for the entire bundle.
They are currently leased to a noodles dining establishment.
