DISTRICT WATCH
Tai Wai: A Beacon of Light in a Troubled Market
Hong Kong’s economy is bracing for a steep dive after the coronavirus epidemic spread through Hong Kong and now globally, prompting a surge in shop closures and a mild increase in unemployment rate. The real estate market, having been on a long bull run, ultimately bows to a perfect storm triggered by the virus outbreak, trade war and social unrest, with the number of transactions plunging fast across property sectors. While waves of pessimism have been sweeping the market, the phased opening of MTR’S Tuen Ma Line in mid-february offered some sort of comfort amid bleak times.
The first phase of the Tuen Ma Line runs between Diamond Hill, Kai Tak, Hin Keng and Tai Wai stations, where it joins the existing Ma On Shan Line, shortening the journey between New Territories East and Kowloon East– halving the time of a bus ride from Ma On Shan to Diamond Hill. As an interchange between the East Rail Line and Tuen Ma Line, Tai Wai enjoys an unparalleled transportation network; an uptick in activities and prices in the long run is expected in its home market. According to data from the Housing Authority, since eligible Green Form applicants were notified of their flat selection last December, Hin Keng Estate registered four purchases in January, a new record high since last February.
Opened in 2016, the Kwun Tong Line Extension perhaps best illustrates the change of property value with transit links in the surroundings. As noted in JLL’S research data, home prices in Whampoa increased 21% within 12 months after a new MTR station was added to the area.
Aside from investment potential, Tai Wai comes with a comprehensive range of flats in various sizes and prices, ranging from subsidised housing to luxury homes, coupled with a balanced mix of urban convenience, parks and a tranquil riverside; the district is also dotted with boutiques, grocery stores and eateries. In addition to train services, many bus and mini-bus routes are available at Tai Wai Station Public Transport Interchange next to the train station and further more along Che Kung Miu Road.
According to the data from Centaline Property at the end of February, Tai Wai averaged around HK$13,584 per saleable square foot, a 3% decrease from the previous month. The area will soon introduce a sizable private residential estate atop the train station, offering an estimated 3,090 flats in various layouts. The new project will be developed in three stages; the first phase of around 800 units is set to launch this year. Meanwhile, favoured choices in the secondary market include Festival City, a private estate close to the MTR station, and several affordable HOS flats such as Grandeur Garden, Grandway Garden, Holford Garden, May Shing Court and Mei Chung Court, the last two of which are located away from the railway. Low density villas include Woodcrest Hills, The Great Hill and Hill Paramount.