International real estate firm Savills has successfully completed the sale of Smart A, 348 – 352 & over 70% Undivided Share of 354 Prince Edward Road West, Kowloon City ("the Property") for approximately HKD 320 million.
The Property has a total gross area of approximately 42,000 square feet. It is an eight-storey, one-stop education-themed commercial building with a well-defined positioning. Currently, the basement and ground floor are occupied by PARKnSHOP, while the first to seventh floors are designated for commercial use, offering flexibility to accommodate the operational needs of various education providers and businesses.
Strategically located in the core living district of Kowloon City, the Property benefits from a well-established neighbourhood with comprehensive community amenities. It is in close proximity to the Kai Tak Development Area and To Kwa Wan, surrounded by a dense residential catchment that generates strong pedestrian traffic. The Property also enjoys excellent connectivity, being just a 4-minute walk from Sung Wong Toi MTR Station.
Mr. Jason Wo, Senior Director, Investment of Savills said, “Smart A is a well-established tutoring hub in the district, with tenants comprising reputable tutorial centres and related education institutions. The Property currently generates a monthly rental income exceeding HKD 1.3 million, delivering a yield of over 5%. Upon full leasing of the remaining units, the yield is expected to further improve, approaching 6%, highlighting its strong upside potential.
More importantly, the transaction also includes the ownership of 354 Prince Edward Road West, securing additional redevelopment potential for the purchaser. Amid the growing scarcity of prime urban sites, this asset presents a textbook investment opportunity, offering stable rental income with long-term redevelopment prospects, and a compelling ‘offensive and defensive’ investment strategy.”