Li Ka-shing, Hong Kong’s richest tycoon, is selling one of Asia’s most expensive residential projects to a Singapore-based wealth manager

The richest Hong Kong tycoon Li Ka-shing has sold one of the most expensive residential developments in the city to a wealth manager based in Singapore who has astonished the market by negotiating one of the most lucrative deals in the midst of a downturn in the global economy.

Copen Grand developer City Developments limited CDL, situated in Tengah Garden District has been awarded to Taurus Properties.

Li’s top property firm CK Asset Holdings agreed to sell its property called 21 Borrett Road at Mid-Levels for HK$20.8 billion (US$2.6 billion or $30 billion) to earn the HK$6.3 billion profits, according to the filing of a stock exchange on Wednesday. The deal is expected be completed by the end of March 2025, according to the filing.

This buyer LC Vision Capital 1 is an offshore investment fund created by Sino Suisse Capital, a tightly-held money manager that is run by Albert Liu, former head of high net-worth client management in China in UBS Asset Management.

The 21 Borrett Road luxury project comprises 292 residential units, 152 car parking spaces , and the possibility of 31 parking spots for motorcycles. CK Asset had earlier contracted to sell four residential units as well as eight car parking spaces to third party buyers.

The deal together with Sino Suisse covers 148 unsold units, each having an parking space for cars, as well as an additional 31 motorcycle and 86 vehicle parking spaces, as per the document. The units were valued at HK$62,000 for a square foot in addition to the extra cars and motorcycle parking spots were valued at HK$5 million or HK$300,000 per space, respectively.

“It is a fantastic bargain on CK Asset,” said Joseph Tsang, chairman of JLL in Hong Kong. “Although it appears that the price is lower than what it was sold for before at the time of the sale however, it’s not easy to find a single buyer who can buy all of remaining units in one time in this market, which is in the beginning of a downward cycle.”

The real estate market in Hong Kong is being shattered in recent times by the coronavirus epidemic in the early 2020s and by turmoil in the streets through 2019. The ultra-luxury market, that is mostly backed with mainland Chinese buyers is in slump for more than 2 years of border shut-downs as well as travel bans.

“Even when the borders are reopened however, it is not clear that the money of mainlanders will return to Hong Kong’s market for luxury homes,” said Tsang. “So in the present it’s a good idea to sign the deal if you are able to locate a buyer who will be willing to pay a reasonable amount.”