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PR Newswire
14-04-2011, 06:17 AM
It seems we follow Hong Kong pretty closely? 
Apr 14, 2011
HK plans land supply roll-out as property prices exceed 1997 peak
HONG KONG: Hong Kong's financial chief said yesterday that overall property prices had surpassed their 1997 peak in February and the government would look at introducing more measures to cool the city's red-hot market.
Mr John Tsang's comments to lawmakers came as he outlined plans to boost land supply in the city in response to rising public anger over soaring housing prices, which have become a major headache for officials.
'I am deeply concerned that overall property prices in February have surpassed the peak in 1997' before a property bubble burst. 'If it is necessary, we will consider measures to further cool the prices to reduce the risk of a bubble,' he said.
Official data last year showed average luxury home prices in August were HK$142,249 (S$23,015) per square metre, compared with around HK$122,500 before the 1997 crisis.
Mr Tsang said property prices had increased by 7.2 per cent in the first two months of this year.
He added that the rise was caused by low interest rates, despite the fact that speculation, a major driver of prices previously, had slowed down.
He said the government would release 12 sites for development - nine for residential purposes and three for commercial - through tender or auctions between April and June. The sites are expected to create 2,650 residential units.
The decision to sell off more land is the latest move by Hong Kong, to try to cool the overheated market.
The government has vowed to continue studying the possibility of reclaiming land from the sea to tackle the densely populated city's land shortage problem.
Previous measures, including multiple land sales and tighter mortgage lending rules, have failed to stem the soaring costs.
A study by United States consultancy Demographia in January found Hong Kong's home prices were the least-affordable in the world, while the International Monetary Fund has warned of a potential bubble.
In an annual report on global office occupancy costs last month, property consultant DTZ also found Hong Kong was the world's most expensive city.
The average price of office property per workstation rose by almost a third from a year earlier in Hong Kong to US$22,330 (S$28,080), surpassing the 2009 leader, London's West End, according to DTZ.
AGENCE FRANCE-PRESSE
Apr 14, 2011
HK plans land supply roll-out as property prices exceed 1997 peak
HONG KONG: Hong Kong's financial chief said yesterday that overall property prices had surpassed their 1997 peak in February and the government would look at introducing more measures to cool the city's red-hot market.
Mr John Tsang's comments to lawmakers came as he outlined plans to boost land supply in the city in response to rising public anger over soaring housing prices, which have become a major headache for officials.
'I am deeply concerned that overall property prices in February have surpassed the peak in 1997' before a property bubble burst. 'If it is necessary, we will consider measures to further cool the prices to reduce the risk of a bubble,' he said.
Official data last year showed average luxury home prices in August were HK$142,249 (S$23,015) per square metre, compared with around HK$122,500 before the 1997 crisis.
Mr Tsang said property prices had increased by 7.2 per cent in the first two months of this year.
He added that the rise was caused by low interest rates, despite the fact that speculation, a major driver of prices previously, had slowed down.
He said the government would release 12 sites for development - nine for residential purposes and three for commercial - through tender or auctions between April and June. The sites are expected to create 2,650 residential units.
The decision to sell off more land is the latest move by Hong Kong, to try to cool the overheated market.
The government has vowed to continue studying the possibility of reclaiming land from the sea to tackle the densely populated city's land shortage problem.
Previous measures, including multiple land sales and tighter mortgage lending rules, have failed to stem the soaring costs.
A study by United States consultancy Demographia in January found Hong Kong's home prices were the least-affordable in the world, while the International Monetary Fund has warned of a potential bubble.
In an annual report on global office occupancy costs last month, property consultant DTZ also found Hong Kong was the world's most expensive city.
The average price of office property per workstation rose by almost a third from a year earlier in Hong Kong to US$22,330 (S$28,080), surpassing the 2009 leader, London's West End, according to DTZ.
AGENCE FRANCE-PRESSE
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