To Kwa Wan project gets 7 bids

The Urban Renewal Authority said it has received seven tenders for the combined development of four projects with market valuations of between HK$6 billion and HK$6.6 billion in To Kwa Wan.

Henderson Land Development (0012), Sino Land (0083), Sun Hung Kai Properties (0016), K Wah International (0173) and Wheelock Properties were said to be among the developers who submitted the offers.

The four projects with a total site area of 5,438 square meters covering two adjoining sites, namely Hung Fook Street / Kai Ming Street and Wing Kwong Street / Kai Ming Street, were first announced between 2013 and 2017.

Upon completion, the two adjoining sites in total will provide a maximum total gross floor area of 48,942 sq m.

Henderson's executive director Augustine Wong Ho-ming told local broadcaster Radio Television Hong Kong that he was optimistic about the prospect of the project, but did not disclose whether the developer's bidding price was aggressive.

Wheelock Properties chairman Stewart Leung Chi-kin told RTHK that the potential impact of the pandemic has been taken into account when bidding for the development, and he was worried that the fifth wave of Covid outbreak may pull down the city's economy.

CHFT Advisory & Appraisal valued the project at HK$12,000 to HK$12,500 per square foot.

Senior director Alex Leung believed Henderson and Kerry Properties (0683) who won the adjacent two URA projects will have a greater motivation to bid for these projects located at the center of the To Kwa Wan area.

Earlier this week, Henderson formed a joint venture with Empire Development Hong Kong and Hysan Development (0014), aiming to co-develop the HK$8.2 billion Bailey Street and Wing Kwong Street development project.