Wharf Holdings is struggling to rescue its serviced-apartment project in Kwai Chung, after the Government's recent decision to delete this category from the land-use list. The new policy deprives developers of the right to build serviced apartments, and Wharf's proposed project in Kwai Chung has been thrown into doubt as a result. Sources said that Wharf wanted to go through a variety of channels to express its opposition to the new policy and would join other developers in protesting against the deletion of serviced apartments. Wharf had submitted an application to the Town Planning Board for rebuilding an industrial-office building in Kwai Hei Street, Kwai Chung, into serviced apartments. It proposed to build a 100,000 square foot development with 200 serviced suites. The application was deferred for technical reasons. However, before the case was re-submitted to the planning board, the board had decided to delete serviced apartments from its list for approvals. The Kwai Chung project is part of Wharf's programme to redevelop industrial projects to enhance its portfolio of residential developments. The re-zoning, involving two other industrial properties, was intended to add three residential or serviced-apartment buildings to Wharf's property portfolio. Wharf wants to re-zone a 32,000 sq ft site in the Yau Tong industrial area into a residential tower of about 250 units measuring 600 sq ft to 900 sq ft. The Real Estate Developers' Association is considering lodging a complaint with the Government on the serviced-apartment issue.