Typically, newer properties in the same district command higher prices, but Tseung Kwan O is showing a surprising trend in the opposite direction. At Lohas Park, a large residential development atop the MTR station, the oldest flats are just 16 years old, and the newest ones were only recently occupied. Yet, over the past month, the average price per square foot for transactions in Lohas Park was only HK$12,400.
In comparison, older developments along the Tseung Kwan O MTR line, including Residence Oasis and East Point City near Hang Hau Station, as well as Metro City near Po Lam Station—built 20 to 30 years ago—recorded higher average prices per square foot at HK$14,400, HK$13,100, and HK$12,900, respectively. This means Lohas Park flats are priced 4% to 16% lower than these older developments. Below, we explore three key reasons behind this unusual trend.
Over the past 30 years, Tseung Kwan O has transformed into a well-developed, modern community. Despite being located in the New Territories East, the Tseung Kwan O MTR line provides direct access to East Kowloon and Hong Kong Island, making it highly convenient for commuters. For instance, traveling from Lohas Park or Po Lam Station to North Point takes only about 18 minutes, making Tseung Kwan O a popular choice for professionals working in East Kowloon or on Hong Kong Island.
Another unique feature of the area is that every MTR station here is paired with a residential development built directly above it, with shopping malls connected by covered walkways. This thoughtful design ensures residents can travel comfortably even in bad weather. In addition, the completion of Tseung Kwan O Waterfront Park and other recreational facilities over the past decade has further enhanced the area’s livability, attracting new residents.
According to the 2021 population census, Tseung Kwan O New Town’s total population reached nearly 420,000, a 4.7% increase from 400,000 in 2016. The population in Lohas Park alone surged from 30,575 in 2016 to 46,755 in 2021—an impressive 53% growth—making up around 10% of Tseung Kwan O’s total population. Lohas Park also stands out as the wealthiest area in Tseung Kwan O, with a median monthly household income of HK$60,100 in 2021, up 8.8% from HK$55,240 in 2016. This figure is more than double the citywide median of HK$27,650, ranking Lohas Park 29th among all Hong Kong districts.
Despite the affluence and modern amenities of Lohas Park, its average property prices remain lower than older developments in the same district. A recent comparison of transactions from October to November reveals this trend. For instance, a 16-year-old flat in The Capitol (Phase 1 of Lohas Park, Tower 2, mid-floor unit C) measuring 518 sq ft was sold for HK$5.5 million, or HK$10,618 per sq ft.
A similarly sized 524 sq ft flat–a mid-to-high-floor unit A in Block 6 of East Point City near Hang Hau Station–sold for HK$7.2 million, or HK$13,740 per sq ft.
Meanwhile, a 538 sq ft unit in Metro City (Block 9, mid-floor unit H) near Po Lam Station, sold for HK$7.1 million, or HK$13,197 per sq ft.
This shows that Lohas Park flats are priced 24% to 29% lower than comparable flats in older developments, even after accounting for factors like floor level and views.
This isn’t a one-off occurrence. For example, a newer flat in LP10 (Phase 10 of Lohas Park Tower 1, mid-high floor unit D), with a three-year building age, recently sold for HK$7.98 million, or HK$12,469 per sq ft. This is still slightly lower than the average price per sq ft in East Point City or Metro City.
There are three main reasons for the relatively lower prices of Lohas Park flats compared to older developments in the same district, which we will explore further.
Oversupply and Limited Amenities
First, LOHAS Park suffers from an oversupply of housing paired with relatively insufficient amenities. The development is divided into 13 phases, which, upon full completion, will offer 25,500 residential units and house approximately 63,000 residents. However, the accompanying mall, The Lohas, only officially opened in 2020. Prior to that, residents had to rely almost entirely on amenities and facilities at other MTR stations along the Tseung Kwan O line.
Even after the opening of The Lohas, which brought large-scale shopping and entertainment facilities to the area, the mall still struggles to meet the demands of Lohas Park’s massive population. The mall has a gross floor area of approximately 480,000 sq. ft., but this pales in comparison to the nearby East Point City at Hang Hau Station, which serves only 2,184 residential units—just one-tenth of the number at Lohas Park—yet offers a similar mall size of 400,000 sq ft. Moreover, other developments near East Point City, such as Residence Oasis and Nan Fung Plaza, also feature their own malls, providing residents with more comprehensive amenities. This highlights the relative shortage of resources within Lohas Park.
Intense Competition Among New Developments
The prolonged development timeline of Lohas Park has created fierce competition between its own phases. Starting from 2008 with Phase 1, the project’s first-hand sales have spanned over 20 years, with the final phase not expected to be completed until 2027. Since new units are launched almost every year, developers’ pricing strategies often directly impact the resale prices of older units in the estate.
For instance, Phase 12C Grand Seasons, launched earlier this year, had an entry price of just HK$14,000 per sq ft., comparable to second-hand flats in Hang Hau and Po Lam. Similarly, in September, Phase 11, Villa Garda, saw developers slash prices for remaining units by up to 20%, further driving down the prices of older second-hand units in Lohas Park.
In contrast, areas like Hang Hau and Po Lam have not seen the introduction of new developments over the past decade. With no competition from new projects, the resale prices of large housing estates in these areas have remained relatively stable and less influenced by external factors, showing greater price resilience.
Limited Transportation Convenience
While Lohas Park, Hang Hau, and Po Lam stations are all part of the MTR Tseung Kwan O line, their actual operations differ significantly. Lohas Park operates on a separate branch line, with trains running every 6 minutes during peak hours between North Point and Lohas Park. In comparison, Hang Hau and Po Lam share the main Tseung Kwan O line, offering more frequent service with trains arriving every 2.5 to 4 minutes.
Outside of peak hours, Lohas Park lacks direct train service, requiring passengers to transfer at Tseung Kwan O Station, with waiting times ranging from 9 to 14 minutes. This makes transportation to and from Lohas Park noticeably less convenient than Hang Hau and Po Lam.
Additionally, while all Lohas Park residential units are technically connected to the MTR station, the development’s massive scale means some buildings are located up to a 10-minute walk away from the station. This can be inconvenient for residents, particularly during bad weather or when in a hurry, diminishing the overall convenience of transportation to and from Lohas Park.
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