Tung Chung Residential Site Tender by Government – RTHK
Development Secretary Bernadette Linn expressed optimism about the success of a residential site put up for tender this quarter, highlighting the potential for meeting the annual land sales income target. The parcel, located in Tung Chung, is set to offer approximately 745 flats after its initial unsuccessful tender in September 2023.
Listening to Market Feedback
Linn announced the last land sale programme for the 2024/25 fiscal year, revealing insights gained from the real estate industry. Responding to industry feedback, the government aims to streamline the process by offering simpler, smaller-sized plots with fewer site requirements and government facilities.
Market Expectations Met
The current tender aligns with market expectations by introducing straightforward tender conditions and eliminating the need for constructing government facilities. Situated on reclaimed land, the site’s development does not necessitate additional site formation works, potentially reducing overall development costs.
Adapting to Demand
While the parcel was not originally part of the land sale programme for the fiscal year, Linn emphasized the government’s responsiveness to developers’ demands. By selecting land types in high demand, such as smaller and simpler sites, the administration aims to stimulate market activity and encourage increased participation in bidding for sites.
Revenue Target Outlook
Despite these positive developments, Linn refrained from making definitive statements regarding the achievement of the HK$33 billion annual land sales revenue target. Emphasizing a pragmatic and cautious approach, she highlighted the importance of aligning land supply with market preferences to maintain a competitive environment for developers.
Land Supply Assessment
Taking a comprehensive view of various land sources, Linn estimated that the land supply for the fourth quarter could yield around 1,100 new private residential units. This strategic approach reflects the government’s commitment to balancing market dynamics with sustainable urban development.
Personal Touch:
Growing up in a bustling city, I have witnessed the transformative impact of urban planning and real estate development on local communities. The delicate balance between meeting market demands and fostering sustainable growth is crucial for creating vibrant, livable spaces that benefit residents and investors alike. As we navigate the complexities of land sales and development, it’s essential to consider the long-term implications of our decisions on the urban landscape and the people who call it home.
