International real estate firm Savills has been appointed as the sole agent for the sale of KASA, 487 – 489 Nathan Road, Yau Ma Tei, Kowloon ("The Property"). The indicative price is approximately HK$450 million.
The Property is a 15-storey building with a total gross floor area of approximately 37,228 sq ft. The ground floor comprises three retail shops, while 1/F to 14/F are fully leased to student housing operator Kudian and operated as a student residence providing 162 rooms.
Strategically located on Nathan Road, the Property is adjacent to Yau Ma Tei MTR Station, with the station entrance just a 30-second walk away. Major tertiary institutions are within a 10 to 15-minute commute, while the surrounding area offers comprehensive retail, dining, transportation and community amenities, supporting strong and sustainable demand for student accommodation.
Mr. Raymond Wan, Chief Senior Director of Investment at Savills Hong Kong said, “Against a backdrop of cautious investment sentiment, assets offering stable income streams and strong cash flow visibility continue to command investor interest. KASA benefits from an 8-year master lease with Kudian for the upper floors, providing secure rental income and an estimated yield of approximately 4.5% when combined with the ground-floor retail component. This arrangement offers buyers enhanced income certainty while reducing operational risk. At the same time, opportunities to reposition and optimise the retail component through reletting and tenant mix enhancement provide further potential to unlock the Property's long-term value.”
Mr. Claude Cheung, Senior Associate Director of Investment at Savills Hong Kong said, “The 2026 Policy Address highlighted the Government’s continued support for student accommodation, with 41 applications under the ‘Hostels in the City Scheme’ already confirmed as eligible and the first dedicated student hostel site expected to be launched within this financial year. While new supply will take time to materialise, KASA offers investors an immediately income-producing asset with an established operating and leasing structure. Together with the value-add potential of its ground-floor retail component, the Property presents a compelling combination of stable returns and long-term growth potential.”