International real estate firms Savills and Knight Frank have been appointed as Joint Sole Agents for the sale of a whole block building – The Nate, Tsim Sha Tsui (“The Property”). The Property comprises G/F to 4/F as a retail podium and 5/F to 12/F as co-living residential units, with a total gross floor area of approximately 32,000 square feet. It is being sold on an 'as-is' basis with existing tenancies. The submission period for expressions of interest starts today, with the final deadline scheduled for noon on 29 November 2024 (Friday).

The Property has undergone comprehensive renovation and refurbishment in recent years, with capital expenditure of approximately HK$100 million. The retail podium spans five floors and includes restaurants and cafes. The eight residential floors offer a total of 71 studio rooms along with supporting amenities and communal areas.

The property is located at 176 Nathan Road, Tsim Sha Tsui, at the intersection of Nathan Road and Hillwood Road. It offers excellent accessibility, being just a short walk from Tsim Sha Tsui and Jordan MTR stations. Furthermore, it is in close proximity to the West Kowloon High Speed Rail station, Hong Kong Polytechnic University, and Hong Kong Metropolitan University.

Mr. Peter Yuen, Managing Director, Investment of Savills stated, “The Property's latest guide price is approximately HKD 400 million, representing a significant discount compared to the market price of HKD 550 million during the offering in March. With the market entering a rate-cut cycle and benefiting from favourable policies such as the ‘Top Talent Pass Scheme’ and the doubling of non-local student’s quotas, it is anticipated that the demand for residential or co-living rentals will continue to increase, further driving up residential rents. This property is conveniently located near Hong Kong Polytechnic University and the West Kowloon High-Speed Rail Station, making it attractive for students coming to Hong Kong and professionals who frequently travel to and from mainland China. Given the property's guide price has been adjusted to a very appealing level, it is expected to attract inquiries from seasoned investors, residential operators, private equity funds, and others.”

Mr. Willas Mak, Executive Director, Head of Private Clients, Greater China of Knight Frank stated, “The government has announced in its recent policy address the initiative to establish the 'Study in Hong Kong' brand, aiming to attract more local and international students to pursue their studies here. Currently, the supply of student accommodation is significantly lagging behind demand. Additionally, the government plans to improve dormitory facilities by relaxing regulations related to planning, land administration, and building plan approvals. This will encourage more investors to enter the market to develop student accommodations through private investment. It is believed that projects near universities, in particular, will be highly sought after.”

For further information, please contact Peter Yuen, Managing Director, Investment of Savills and Willas Mak, Executive Director, Head of Private Clients, Greater China of Knight Frank as the details below.