Twenty Years of Real Estate Appreciation: The Doubling Story of Hong Kong Shop Prices per Square Foot

A well-known investor recently demonstrated a strong signal about the long-term value of Hong Kong’s real estate market through strategic asset divestment. According to local media reports, this transaction further confirms the significant appreciation potential of Hong Kong properties over the past two decades.

Investor Continues Asset Sales, Reflecting Market Adjustment Signals

According to Ming Pao, Wing Lung Group founder’s son, Luen Yiu-ki, recently sold a retail property located at 1-11 Holland Street, Kennedy Town. The deal involved HKD 8.6 million, attracting market attention. The shop has a construction area of approximately 1,100 square feet, with a price of HKD 7,818 per square foot.

From HKD 3.3 Million to HKD 8.6 Million: 21 Years of Appreciation

Behind this figure lies a classic story of long-term investment. The previous owner purchased the property in August 2004 for HKD 3.6 million and sold it after more than 21 years for HKD 8.6 million. This means that over a century-long investment cycle, the shop’s value increased by over HKD 5 million, with an appreciation of 139%.

Market Significance of Per Square Foot Price Increase

From an investment perspective, this case is particularly instructive. At the time of purchase, the price was only about HKD 3,273 per square foot, but at resale, it had risen to HKD 7,818. The doubling of the price per unit area fully reflects the market’s recognition of Hong Kong real estate’s long-term value in urban development and asset allocation.

Kennedy Town, as a traditional commercial district in Hong Kong, has demonstrated its appreciation potential in this transaction. The price increase based on area units often more accurately reflects market trends than total price figures, providing a reference benchmark for future investors.