MTR Corp is inviting expressions of interest from developers in a 1.53 million square feet residential-retail project at Hang Hau Station on the Tseung Kwan O railway line. It is the corporation's second offering of a development project in Tseung Kwan O. Last month, a New World Development-led consortium won the joint-venture development rights for the 1.04 million sq ft Tseung Kwan O Area 55b residential development. Analysts expect MTRC to release more Tseung Kwan O property development projects this year with the anticipated August opening of the line. An MTRC official said the Hang Hau Station project was due to be tendered in the second quarter - after the land premium was settled with the Lands Department. It is expected to be completed in 2006. The corporation secured a substantial land premium reduction in the Area 55b project, making the average land value about HK$600 per square foot - the key sweetener for developers. The Hang Hau Station development can be sub-divided into two packages. The first will provide three residential towers with 760,831 sq ft of residential area and 37,674 sq ft of retail area. The second will comprise 731,631 sq ft of residential area, also in three blocks. Developers can show an interest in the entire development or separate packages. Surveyors said the project was too big for many small developers. SK Pang Surveyors managing director Pang Shiu-kee said considering the huge investment at the Hang Hau Station project only large developers would be attracted. Mr Pang also said there was a serious over-supply of flats in Tseung Kwan O, despite improved transport facilities. New World Development senior manager Andrew Choi said it was too early to say if the company was interested. Another developer said it would join the project if the land premium was low.