(By Liang Yueqin)
Hong Kong property prices are already ridiculously priced, however, don't think it is a relief after entering the stage of monthly payment, because both first housing buyers and luxury property buyers need to consider the as well rising management cost in recent years after purchasing the satisfied houses. Monthly management cost for one house in area of 7,568 sq ft joining garden of 2,983 sq ft in 8 Deep Water Bay Drive unexpectedly is HKD 84,796, which is equivalently HKD 11.2 each sq ft, in other words, the annual management fee costs is nearly HKD 1.02 million.
In response to the Real Estate Developers Association's new sales guides reached last week, the tender documents of the tendering houses will be uploaded to the sales arrangement. 8 Deep Water Bay Drive in Shouson Hill Road developed by The Nan Fung Group and Vervain Resources uploaded the sales arrangement yesterday, and launched garden room B in block 1 for bidding, which will be closed on this Friday. This house is 7,568 sq ft including garden in 2,983 sq ft. The document states that the bidding participant must submit promissory note of HKD 8 million, and the monthly management fee is HKD 84,796 or HKD 11.2 per sq ft.
It views Central Garden that has 220,000 sq ft.
The calculation of management fees mainly base on the security system, club facilities and services, and the distribution of management fees and maintenance fees is generally calculated in accordance with the provisions of the Deed of Mutual Covenant. If there is no requirement in the Deed of Mutual Covenant, it will be determined according to the number of shares of each owner. Generally speaking, the management fee for each house is relatively low in large housing estate due to the large number houses, while it will be relatively higher in single buildings and luxury residential buildings including less houses.
According to the website of 8 Deep Water Bay Drive, the project has 52 tiered mansions, and the clubhouse facilities include fitness room, a 20-meter indoor swimming pool with a 25-meter outdoor grand swimming pool, a central garden in area of over 22,000 sq ft, and an outdoor jacuzzi.
The sq ft management fee in Opus Hong Kong is HKD 14.2, the peak in Hong Kong.
However, Swire’s Opus Hong Kong in the Peak still is the new project having the most expensive management fee per sq ft in Hong Kong, which had announce the monthly management fee at HKD 68,594 with sq ft management fee up to HKD 14.2 when it launched underground duplex house in usable area of 4,819 for bidding in the end of 2014.
It is known, the reason why the sq ft management fee is so expensive is because there are only 12 houses in the whole building, and the building provides a strict security system, with reference to the security mode design of the independent house, also join the intelligent system, plus the privacy is extremely high since each floor has one house and strictly require residents to take the elevator directly to the floor where they live.
The monthly management cost for tiny house project The Warren is HKD 2,910.
In addition to the expensive management fees for luxury homes, the management fees for small and medium-sized residential projects and tiny house projects are also prohibitively expensive. Wing Tai’s single building The Warren in Causeway Bay has the sq ft management fee up to HKD 7.6, which was occupied in 2014 including only 103 houses, and owners need to share high management fees for the five-star hotel management services, continental style clubs and sedans services to and from the MTR, for example a 383 sq ft house need to pay HKD 2,910 each month.
In addition, Henderson’s tiny project One Prestige in North Point has sq ft management fee up to HKD 6.12, taking the smallest size house in 163 sq ft for example, the monthly management fee is close to one thousand Hong Kong dollars. Poor Hong Kong people have to do house slave in their whole life, who have to worry about the high management expenses after purchasing their house with the whole saving.
