Sai Wan's Residential Rental Market Catches On
Sai Wan's flats have been gaining traction for some time. Even a few years before the opening of the West Island Line (WIL), Sai Wan had been riding a wave of interest from the property market, with investors actively looking for starter homes in areas such as Sai Yin Pun and Kennedy Town, where the imminent MTR access would offer attractive yields for years to come. And it's not just the housing sector; the same appeal goes for retail properties, as investors or shop owners expect an influx of new residents to drive business growth. Sai Wan is getting a new lease of life with higher accessibility and connectivity, brimming with excellent rental opportunities.
The railway network is admittedly a boon to community development. Before the transport upgrade, Sai Wan retained an old Hong Kong vibe, mostly lined with rundown buildings and mom-andpop shops in a quaint environment. Following the plan for the WIL, developers pushed ahead with acquiring premises for redevelopment. Then came a cluster of new residences, restaurants, coffee shops, bars, hotels and serviced apartments across the area, effectively giving Sai Wan a facelift. The up-andcoming neighbourhood is also undergoing demographic changes; rather than just the neighbours and locals of old, office workers, foreigners and young families are now also regulars—not to mention hipsters, drawn by the coexistence of old and new in the community.
It goes without saying that most office workers favour Sai Wan for its proximity to the CBD. The MTR line meant traffic jams are no longer an issue during rush hour. Many listings have been put up for rent since the new rail line, which is good news for white-collar workers. In a fast-paced city like Hong Kong, what could be more timesaving for busy employees than living as close to their workplace as possible? The appeal of Sai Wan can also be attributed to its laid-back vibe. “Now that people can buy anything they want online from the comfort of their homes, the need for commercial elements in a neighbourhood doesn't stack up against a comfortable environment. This is why Sai Wan's flats are making a strong case for living,” says Alex Ng, account manager at Joe Asia Property Agency. In fact, Sai Wan also garners attention among international corporate buyers. Ng points out that some tenants in the area are from investment companies, providing overseas employees with flat rentals as part of their housing allowance.
According to data from squarefoot.com.hk, Kennedy Town has an average per-squarefoot price of HK$16,046, as compared to HK$20,802 in Sheung Wan and Sai Ying Pun. Island Crest, The Nova, The Merton and Upton are among the most popular rental properties in Sai Wan, while Smithfield Terrace and Kwan Yick Building are the largest estates.