A luxury villa in Residence Bel-Air has been sold at a loss after it fetched just HK$30,500 (US$3,931) per square foot, well below the asking price.
The transaction price came to HK$110 million, or a loss of more than HK$63.5 million from the original purchase price five years ago, the Hong Kong Economic Journal reports.
The owner had asked for HK$180 million for the 3,610-square-foot unit in Pok Fu Lam.
Eight other luxury flats had an asking price of HK$200 million to HK$400 million.
The last transaction in the development to top HK$50,000 per square foot or achieve a purchase price above HK$200 million was completed in 2014.
The owner of the loss-making villa, said to be a mainland Chinese, bought the property in November 2011 for HK$166 million.
It has been mortgaged twice — once to a bank in May 2012 and again in 2015 to a finance company.
The sale price is the biggest loss in 10 years for a Hong Kong property, market observers said.
The increasing number of loss-making transactions for luxury properties in Hong Kong might be linked to a slump in the mainland stock market and a weakening renminbi, they said.
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