The Lands Department announced today (January 10) that all four tenders received for the sale of a residential site in Rural Building Lot No. 1204 at Cape Road, Stanley, Hong Kong (the Site), had been rejected as their tendered premiums did not meet the Government's reserve price for the Site.

     Sites in the Government's Land Sale Programme are disposed of in the open market under the established mechanism. The Government will not sell a site if no bid reaches the reserve price as assessed by the Government's professional valuers. This is in the interest of protecting public revenue. The reserve price is set on the day of tender closure so that the latest market conditions are taken into account.

     The tenderers for the Site in alphabetical order, with the names of their parent companies in brackets, were:

(1) Brilliant Globe Limited (Sino Land Company Limited and Great Eagle Holdings Limited);
(2) Fair Opal Limited (Sun Hung Kai Properties Limited);
(3) Strong Associate Limited (K. Wah International Holdings Limited); and
(4) Victory Rise Investments Limited (CK Asset Holdings Limited).

     The Government will not speculate on the considerations behind the bids placed by tenderers. Bids are influenced by a myriad of factors, such as how individual tenderers assess the market conditions and the attractiveness of the site, as well as their corporate positions and development strategies.

     The Government's policy objective is to provide a steady and sustained land supply to the market to cater for the community's housing and economic needs. This objective will not be affected by the results of individual tender exercises or the economic situation of a certain time. The Government will consider rolling out the Site for tender again at an appropriate time. 

     "Despite the cancellation of this tender, the private housing to be supported by the land supply of this financial year has already exceeded the supply target for this financial year," said a Government spokesman.

     Rural Building Lot No. 1204 has a site area of about 23 900 square metres and is designated for private residential purposes. Its minimum and maximum gross floor area are 26 769 sq m and 44 615 sq m respectively, excluding the gross floor area of a residential care home for the elderly to be constructed by the purchaser under the Conditions of Sale. The tender closed on January 6.

Ends/Tuesday, January 10, 2023
Issued at HKT 18:00

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