The property market is really revving up in Sai Ying Pun – and elsewhere in Hong Kong for that matter.
Just last weekend the district boasted a new residential project where a one-bedroom flat measuring 407 square feet sold for more than HK$16 million.
Then we came across an online ad for a “workspace” in the same district which has brought the concept of “subdivided” accommodation to the office market.
Truth to tell, the work space is more ideal for bedspace.
The entire unit measures 500 square feet but subdivided into 10 six-feet-by-four-feet cubes.
The cubes share a common 100-square-foot “meeting room”, which is actually the unit’s balcony.
But there’s a computer printer and, more importantly, broadband service.
The entire unit has three washrooms, two bathrooms and one small locker built in each cube.
Says the online ad: “Imbued with the university’s fighting spirit, we offer 10 space stations for entrepreneurs who fancy to take their dreams to space.”
But before your dream comes true, you have to pay at least HK$3,500 for one cube – or HK$4,500 if you prefer one that comes with a window.
What can we say – is it a bit too much and too small for sleeping space?
It’s also much less equipped than the capsule for rent – or spacecraft as it was advertised – we reported six months ago.
For around HK$5,000, one gets the experience of living in one of Japan’s capsule hotels. Each unit comes with free air-conditioning, WiFi, LED lighting system, a telly, a dressing table as well as pillows and blankets.
Those capsules are also located in Sai Ying Pun, one of the few old districts that still retain the traditional Hong Kong ambience.
Sai Ying Pun used to be known for its cheap, if tiny, subdivided flats. But the district saw home prices soar as demand surged after MTR Corp. extended its service coverage to the west side of Hong Kong.
That prompted many landlords to turn their rental units into even smaller subdivided units in a bid to maximize yields.
For example, the landlord of the “workspace” only bought the flat last September for HK$3.35 million.
The landlord would have achieved a 14 percent rental yield if all the 10 workspaces were leased at an average of HK$4,000 per month.
And it’s precisely these skyrocketing home prices that made one-bedroom shoeboxes the current trend in the property market.
Last Friday, Cheung Kong Properties offered a 432-square-foot unit at Harbour Glory in North Point for a minimum entry price of HK$10.3 million.
Hong Kong may have the highest density of millionaires, but many of them are living in some of the smallest homes in the world.
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