Core Viewpoint - The "Tian'an" project in Tuen Mun, Hong Kong, has attracted significant attention due to substantial price reductions, reflecting the stark contrast between the market's upward and downward phases [1][2]. Group 1: Project Background - The project, originally named "Evergrande·Junlong Bay," was launched in 2019 and achieved remarkable success by selling all 151 units during its first phase, targeting small-sized apartments for first-time buyers [1][4]. - Evergrande acquired the Tuen Mun land for HKD 6.6 billion, with a floor price of HKD 8,300 per square foot, setting a record for the area during a market upturn [2]. Group 2: Price Reduction Details - On June 16, the project significantly reduced prices for 27 units, with usable areas ranging from 223 to 461 square feet, and total prices between HKD 2.148 million and HKD 4.173 million, with some units seeing price cuts exceeding 60% [1][6]. - For example, a unit's price dropped from HKD 5.78 million to HKD 2.287 million, marking a 60.4% decrease in price per square foot [6]. Group 3: Market Context - The ongoing high supply of new residential properties in Hong Kong has compelled developers to adopt aggressive pricing strategies to clear inventory, with current first-hand residential inventory recorded at 21,400 units as of the end of May [1][6]. - The price drop at the "Tian'an" project is not an isolated case, as other new developments in the region are also offering discounts of 20% to 30% compared to similar second-hand properties [6][19]. Group 4: Impact on Secondary Market - The secondary market has also experienced significant price declines, with many units seeing drops of over 50% [11]. - For instance, a unit sold on May 21 for HKD 2.08 million represented a 54% decrease from its previous purchase price [11]. Group 5: Future Market Predictions - The Hong Kong property market is expected to see an improvement in new home transactions, with an estimated 1,980 registrations for June, a 23% increase from May [16][19]. - Despite the anticipated recovery in the new home market, the secondary market remains under pressure, with a forecasted continued dominance of the first-hand market in the short term [21].