16-8-2023 (HONG KONG) Hong Kong continues to attract prominent figures in the virtual assets industry, with Li Lin, the founder of global cryptocurrency exchange Huobi, reportedly renting a lavish mansion in the upscale Beacon Hill neighborhood. This move showcases Hong Kong’s growing appeal as a hub for virtual assets and highlights the city’s ability to draw key players from mainland China.
The opulent residence, situated in the prestigious Mont Verra project developed by Kerry Properties, spans an impressive 11,692 square feet. The rental agreement, under the name matching that of Li Lin, was finalized earlier this month. Insiders estimate the monthly rent to be around HK$1.17 million (US$150,000).
The rental arrangement is structured as a “lease with option to purchase,” enabling the lessee to acquire the property for an estimated HK$1 billion during the 90-month lease period or extend the tenancy for an additional three months after expiration. While Kerry Properties has confirmed the tenant’s name as Li Lin, further details regarding his identity and nationality remain undisclosed.
This magnificent mansion, the most luxurious among the three available in the Mont Verra project, boasts impressive features such as a banquet hall, theatre, entertainment room, gymnasium, library, five maid rooms, and a swimming pool. Considered a gem in the city, the property was recently made available for sale through a tender process.
Within the same Mont Verra project, three apartments have already been sold at prices ranging from HK$240 million to HK$258 million (S$44.7 million), as public transaction records reveal. The development is adjacent to another Kerry Properties venture, Mont Rouge, where Beijing’s national security office in Hong Kong purchased a 7,171 sq ft villa for a record HK$508 million (S$88.1 million) last year.
In the wake of last year’s global crypto market downturn, Li chose to sell all his stakes in Huobi to Hong Kong-based About Capital Management. Both Huobi and Justin Sun, founder of blockchain and crypto token Tron, have denied allegations of Sun acquiring a significant 60% stake in Huobi for US$1 billion through this acquisition.
Huobi, originally established in Beijing, was among the first group of Chinese crypto companies to relocate outside the mainland due to escalating government crackdowns on the industry. Recently, Huobi underwent a rebranding process, removing the symbol for “coin” from its Chinese name.
Hong Kong has been actively positioning itself as a major center for digital assets, enticing crypto entrepreneurs and investors, particularly those from mainland China where cryptocurrency trading faces restrictions. The leasing of the Mont Verra mansion serves as a testament to the city’s commitment to becoming a hub for the industry.
However, Hong Kong’s residential property market currently faces challenges such as high-interest rates, an excess of unsold units, and a lack of purchasing power from mainland China. A midyear property market report released by real estate services company JLL last month highlighted a 1.2% decrease in home prices in the second quarter compared to the previous three months, with a further 5 to 10% drop predicted for the second half of the year. Property consultancy Knight Frank projects a potential 1.5% decline in luxury home prices in Hong Kong by the end of this year.
