Sun Hung Kai Properties, a famous developer in Hong Kong, has reportedly listed a new condo apartment in the Twelve Peaks development, which is asking $22,671 ($HK 175, 735) per square feet - the highest asking in the world right now.
"House 1" is one of the 15 houses of the development, located in the Victoria Peaks neighborhood - an upscale area in the city surrounded by mountains and brilliant views. The home has been listed for $105.7 million.
While one might think that there are far more expensive homes than this one, the little more than a hundred million will just fetch you just 4,661-square-foot of living space with four bedrooms, a private pool, a small garden, a terrace and a two-car garage, according to The Wall Street Journal.
In the U.S., a 5,000-square-foot home would cost $125 to $300 per square feet, according to experts at Trulia. The amount could go up to $175-$250 if it is a good quality house (in terms of construction). The Hong Kong home's price per square feet is almost about 98 percent more than an average 5,000-square-foot house price per square feet in America.
Bloomberg is reporting that the home was initially up for auction, but failing to find potential bidders, the developers have put it up for sale for the record price. If it manages to sell for the asking, the house will be the most expensive home ever sold in the city.
The Journal also claimed that the developers are offering an attractive 3 percent discount to the buyer who makes an offer in the next five months. An early bird discount of 11.7 percent is also applicable on the 15 percent stamp duty.
"It's not surprising that it's selling for an astronomical price" given the inadequate inventory in the area - David Ji, head of Knight Frank LLP in Greater China told Bloomberg in a telephone interview.
"It's an investment class of its own. It would still be attractive to wealthy mainland Chinese looking to put their money abroad," Ji added.
"They are trying to attract mainland buyers instead of local buyers. Some mainlanders, they are looking for this kind of thing - like the biggest or the most expensive house," Joana Lee, manager for Colliers International research department, told AFP.
See floor plans of all the houses here.
The news of the most expensive home per square feet echoes the current prices prevailing in the Hong Kong real estate market. A recent index compiled by a local agency found that prices reached the highest ever this month. Experts say this is an "unhealthy sign."
"We have three [indexes]: one is the whole market, one measures small units and one measures high-end units," Sandia Lau, a director at Centaline Property - the index compiler, told The Journal in a separate interview.
"All of them are at a record high."
