Urban renewal projects attract wide interest

PUBLISHED : Saturday, 02 March, 2002, 12:00am
UPDATED : Saturday, 02 March, 2002, 12:00am

The Urban Renewal Authority's (URA) three residential developments in Tsuen Wan and Western District have attracted initial interest from 29 developers and contractors.

Surveyors expect two of the three projects to be attractive to many small to medium-size developers because of their location and small scale.

The URA would produce a short list of candidates and launch a tender sale for the three projects soon, an official said.

He did not indicate if developers would carry out projects separately or in joint ventures with the authority.

Among those to declare interest are Kerry Properties, Cheung Kong (Holdings), Sun Hung Kai Properties, New World Development, Henderson Land Development, Wharf (Holdings), K Wah International, Nan Fung Development, Concord Group, Emperor International Holdings, Hopewell Holdings, Manhattan Realty, Paul Y Construction and Chun Wo Construction.

The three projects are part of the authority's plan to redevelop some of the run-down sites in the urban area.

The largest of the three projects is at Sha Tsui and Yeung Uk roads in the Tsuen Wan town centre. The 218,000 square foot site could provide a floor area of 1.15 million sq ft of residential space and 245,000 sq ft of retail space.

S K Pang Surveyors managing director Pang Shiu-kee estimated the average cost would be between HK$1,200 and HK$1,300 per square foot, meaning only major players could afford the huge investment.

The two smaller sites are a 78,000 sq ft residential project at 33 Ka Wai Man Road in Western District and another in Yeung Uk Road, Tsuen Wan, which provides 360,000 sq ft of residential area and 52,000 sq ft of retail space.

Developers have been invited to choose to bid for the whole package of three projects or any individual project.

A small developer said he needed to study details of the projects. He considered there were many opportunities for small players this year considering the forthcoming tender sale of residential projects for Westrail and Ma On Shan Rail.

Another developer said he would be cautious in taking part in the URA development projects because the terms were unlikely to be attractive.