Lui Che-woo, chairman of developer K Wah International Holdings Ltd. (00173.HK), says home seekers who can afford one should enter the property market once prices decline 10 percent.
He said it is unlikely for the city’s home prices to plunge given high land premiums and construction costs, the Hong Kong Economic Journal reported Thursday.
The high construction costs are the result of the government’s protection of local labor by barring the import of construction workers, Lui said.
He said people should consider buying property for their own use but warned against speculation by investors.
Lui, who is also chairman of Galaxy Entertainment Group Ltd. (00027.HK), was tight-lipped on the trend in revenues of the Macau gaming industry, which has undergone a 19-month contraction.
“It is pointless to make forecasts,” Lui said. He said it is best not to say too much.
– Contact us at [email protected]