New World Development Business Update - January 2025
New World Development (“New World Development” or “the Group,” Hong Kong Stock Code: 00017) will continue to focus on real estate development as its core operations in 2025, including the launch of residential projects such as “THE PAVILIA FOREST” and “STATE PAVILIA” in Hong Kong. It will also continue to market its diversified projects in the Mainland. The Group's management adheres to a business policy rooted in prudence and pragmatism, strengthening its market-oriented approach and enhancing project return rates. In addition, it wishes to provide all stakeholders with the latest updates on its business development.
Hong Kong
Actively Marketing Residential Properties
The Group's property sales in Hong Kong continue to improve. Notably, the “THE PAVILIA FOREST” residential project, developed in collaboration with Far East Consortium, has recorded an accumulated sale of 519 units since its launch, generating over HKD 3.5 billion in revenue and setting a sales record for the Kai Tak runway area in 2024.
Located in North Point, “STATE PAVILIA” offers 388 residential units. As of 16 January 2025, 10 units were successfully sold in a week, achieving an average sales price of nearly HKD 40 million and an average price per square foot of approximately HKD 34,300, the highest for any new luxury property launched in Hong Kong Island in 2025. The retail component of the project, “STATE THEATRE by K11,” is expected to commence operation in 2027, featuring over 80,000 square feet of retail space spanning across four floors. This unique development is a continuation of K11’s high-end lifestyle brand vision, and it marks the first project in Hong Kong that seamlessly blends a Grade I Historic Theatre Building with retail, transforming it into a new and revitalised cultural retail landmark in the heart of Hong Kong Island.
The Group is actively developing multiple new projects, including a residential development in Kowloon Tong. Among these, a large residential and commercial project on Ma Sik Road in Fanling in the Northern Metropolis, developed in partnership with China Merchants Shekou, has successfully completed its land premium process. The project commands over 1.11 million square feet, with construction commencing early this year. The project benefits from its proximity to rail transit and comprehensive transportation, commercial, and public facilities, offering approximately 2,300 residential units. This development not only supports the development of the Northern Metropolis but also pioneers a new development model for the Group's nearly 15 million square feet of agricultural land in the Northern Metropolis.
In the future, the Group will accelerate the sales progress of several projects such as the “Island Coast” Phase V at Wong Chuk Hang MTR Station, luxury residences on Castle Road in Mid-Levels, and developments in Kai Tak. Together with the property projects already in their sales phase, a total of over 4,400 units will be launched in the 2024/25 fiscal year.
Mainland China
Achieved 70% of Sales Target in 6 Months
As of the end of December 2024, sales revenue in the Mainland exceeded 70% of the annual target within just six months. The new phase of the luxury flagship project, The Canton View of Central Park View in Guangzhou, generated nearly HKD 2 billion upon sales commencement. Benefiting from policy incentives and market opportunities, high-quality projects such as Central Park View in Guangzhou, New World China Stars in Guangzhou and THE PARKSVILLE in Shenyang continue to record robust sales, showcasing the strong appeal of the New World brand during the market-recovery phase in the Mainland.
In other project updates, Ningbo K11 celebrated its grand opening, while River Opus in Hangzhou was also successfully delivered to homeowners. The project in Xili, Shenzhen is progressing well and is set to enter its development phase soon. The office buildings, K11 Select, and residential units at the New Metropolis in Guangzhou are set to enter their full delivery phase in 2025. Additionally, the office and commercial components of Phase I of New World Arts Centre in Hangzhou will soon commence sales and leasing, while K11 ECOAST, which spans approximately 2.48 million square feet, is set for its opening. These projects are expected to provide a robust foundation for future performance growth.