CBRE Announces the Successful Completion of the M1 Hotel Transaction on Chun Yeung Street, North Point

CBRE is delighted to announce the successful completion of the sale of the M1 Hotel located at No. 112 Chun Yeung Street, North Point, which is designated agent for both seller and buyer. The property has a gross floor area of approximately 30,244 sq. ft. (GFA to be verified) and offers a total of 92 fully furnished guest rooms. Situated in a prime location, it is only about a five minute walk from North Point MTR Station. The transaction was concluded at HK$183 million.

Prime Location and Market Demand

This transaction underscores investors’ confidence in the development potential of North Point. With the Hong Kong government actively positioning the city as an “International Hub for Post secondary Education,” the city is attracting a large influx of overseas and Mainland students. Leveraging its excellent connectivity to key Central Business Districts (CBDs) and multiple tertiary institutions, North Point has emerged as a preferred location for high quality student housing and long stay serviced apartments.

Daniel Mok, Senior Director, Capital Markets, CBRE Hong Kong, said: “Demand for high quality student accommodation, serviced apartments, and boutique hotels remains strong. Alongside the robust tourism rebound driven by various government promotion initiatives, the M1 Hotel project in Chun Yeung Street attracted active interest from different buyer groups. High quality, single owned accommodation assets on Hong Kong Island are extremely rare. Our Capital Markets team is now assisting the new owner in identifying suitable operators. We are confident that, with the new owner’s support, the property can be refreshed and ready for pre leasing and move in by students in the upcoming academic term.”

New Owner’s Collaboration Intentions

The new owner is seeking partnerships with experienced student housing operators, long stay serviced apartment brands, hotel operators, or tertiary institutions. Their goal is to transform the property into a landmark accommodation offering in the district, catering to increasing lodging demand.

Vendor’s Perspective

Mr. Roy Lo, Million Group said: “The favourable transaction price demonstrates the scarcity value of quality hotel assets. We remain confident in the resilience of Hong Kong’s real estate market and plan to reinvest part of the proceeds into the local residential market to capture future growth opportunities.”

For enquiries about property details or interesting with master leasing partnership, please contact Daniel Mok, Senior Director (Tel: +852 6072 6980 | E-289498), or Murphy Dik, Associate Director (Tel: +852 9819 4953 | S-557916), Capital Markets, CBRE Hong Kong.