Haven Court in Causeway Bay fails to sell at auction at reserve price of HK$2.425 billion

Haven Court

17th April 2024 – (Hong Kong) Soundwill Holdings Limited (00878), the majority owner of Haven Court in Causeway Bay, faced disappointment as the property failed to sell at an auction conducted by Cushman & Wakefield today. The auction, mandated by the Lands Tribunal, had set a reserve price of HK$2.425 billion, but no bidders came forward, resulting in the property being withdrawn.

Situated at 128-138 Leighton Road and 2-30 Haven Street, Haven Court spans approximately 13,150 square feet of land. Completed in 1959, the 11-story mixed-use building comprises residential and commercial units. The basement, upper floors, and ground-level shops are designated for non-residential purposes, while floors 1 to 10 are allocated for residential use.

Records indicate that the development consists of 125 residential units and 44 retail spaces. Soundwill Holdings held approximately 84.04% of the property’s shares when they applied for the auction in 2019.

This unsuccessful auction marks the fourth instance of a failed sale for similar properties. The previous case occurred in late January 2022, during the height of the COVID-19 pandemic. Tai Chi Court, located at 132-134 Austin Road in Tsim Sha Tsui, was put up for auction with a reserve price of HK$812.3 million. However, it also went unsold and was subsequently withdrawn. The property, built in 1967, occupies an area of approximately 5,441 square feet, and the applicant held an 83.33% stake.

Furthermore, the first recorded instance of an unsuccessful auction after the implementation of the compulsory auction ordinance was the building at 73-75 Lion Rock Road in Kowloon City. In November 2020, it was auctioned with a reserve price of over HK$223 million (£22 million) by Soundwill Holdings and other parties but failed to attract any bidders.