SHKP's $12.5b Ma Wan resort and housing project approved
Sun Hung Kai Properties (SHKP) is going ahead with a project which may rank among the most ambitious developments Hong Kong has seen - the $12.5 billion housing and resort project on Ma Wan, between Tsing Yi and Lantau Islands.
SHKP yesterday signed a deal with the Government, which approved the project only after the developer agreed to build and pay for the entire infrastructure requirements.
This involves the construction of roads, a ferry pier and community facilities including a fire station, a police post, a primary school and support systems.
The development, approved by Executive Council last year after more than five years of lobbying and preparation, occupies 12.65 hectares on the northeastern section of the site.
The project will provide three million square feet of gross floor space in 45 residential blocks, providing about 3,600 flats ranging in area from 600 sq ft to 2,000 sq ft.
SHKP vice-chairman and managing director Thomas Kwok Ping-kwong said the project would create a major residential centre in the territory.
The company's involvement was an indication of its confidence in Hong Kong's future, he said.
Analysts said the size of the project and its timing indicated the company's belief in the longer-term strength of the residential property market.
Director of Lands Bob Pope said the development would provide homes and support facilities for more than 10,000 people, as well as leisure facilities for the public.
According to the company, it plans to transform part of the site into a park, which will become a tourist attraction.
It declined to give details, but has said previously that it intended to build a $1 billion theme park, which would be developed in phases.
The first phase would be ready in five years and the entire park project completed in eight years.
Observers said the deal between SHKP and the Government was a strong indication the developer had agreed to a land premium of $4 billion for the site.
The entire project will be carried out in phases, with the first expected to be completed in 2002.
Based on the gross floor area of three million sq ft, the accommodation value of the project will be about $1,327 per square foot, lower than market expectations.
To help commuter traffic and shorten travelling time from main urban areas, there will be a ferry service to Central.
A slip road will link Ma Wan to the Lantau Link, which opened recently.
A bus service between Ma Wan and Tsing Yi will also be provided.
SHKP said the northwestern section of the site would be developed by the company to provide village-style housing and flats for the present Ma Wan residents.
RESORT TOWN Project will provide homes and facilities for 10,000 A $1 billion theme park will be a new tourist attraction Ferry service to Central included
