Residential buildings stand in the Shouson Hill, center, and Deep Water Bay, right, areas of Hong Kong, China, Jan 15, 2018.  (VIVEK PRAKASH/BLOOMBERG)

The US has sold its consulate staff compound in one of Hong Kong’s most exclusive neighborhoods for HK$2.57 billion (US$332 million) to local developer Hang Lung Properties Ltd.

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The price, announced Thursday by CBRE Group Inc which handled the sale, was lower than the HK$3.1 billion to HK$3.5 billion valuation from Vincorn Consulting and Appraisal Ltd. A spokeswoman for Hang Lung Properties confirmed the firm was the buyer.

A US government representative said the decision to sell the compound was part of its global reinvestment program and it would not affect their "presence, staffing or operations in any way"

The site in Shouson Hill, on the southern side of Hong Kong Island, comprises six low-density apartment buildings spread over almost 95,000 square feet (8,825 square meters). The property was sold with vacant possession, giving the buyer potential to develop luxury housing with views over Deep Water Bay, CBRE said.

A US government representative said Wednesday the decision to sell the compound was part of its global reinvestment program and some of the proceeds from the transaction would be reinvested into multiple properties the US owns in the special administrative region.

“It will not affect our presence, staffing or operations in any way,” the spokesperson said in a statement.

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Shouson Hill is one of the city’s most exclusive neighborhoods where some of the city’s richest tycoons, including Li Ka-Shing, own houses. The US government purchased the property in 1948, records lodged with the Land Registry show.

An adjacent property was bought by Chinese developer China Resources Land Ltd for HK$5.9 billion in 2018.