Real Estate Sector Proposes Major Reforms for Urban Renewal and Northern Metropolis
SingTao · 2 SOURCESabout 3 hours ago2 MIN
Summary
The Real Estate Developers Association of Hong Kong has submitted a comprehensive policy paper to the government, addressing the inaugural five-year plan and the upcoming 2026 Policy Address. The submission focuses on three major areas: urban renewal, Northern Metropolis development, and planning mechanism reform. The developers outlined multiple challenges facing urban redevelopment, including insufficient incentives for new capital investment and extended project timelines, while proposing solutions such as transferable plot ratios and expanded designated areas under the Lands Resumption Ordinance. Meanwhile, Development Secretary Bernadette Linn emphasized that the Northern Metropolis has entered its harvest period, with significant progress already visible across multiple development zones.
Key Points
- Over 27% of Hong Kong's urban housing stock exceeds 50 years in age, facing obstacles from height restrictions and near-exhausted plot ratios
- The association proposes introducing transferable plot ratios, one-stop approval systems, and expanding designated areas under the Lands Resumption Ordinance to cover Hung Hom, Quarry Bay, and Shau Kei Wan
- The government has resumed over 520 hectares of private land and completed formation of about 120 hectares as of 2025/26, with 900 hectares expected in the next five years
- Infrastructure priorities include the Northern Link and its branch line, Hong Kong-Shenzhen Western Railway, and North Metropolis Highway
- The Northern Metropolis is projected to deliver approximately 70,000 housing units and 1 million square meters of commercial floor area over the next five years
Why It Matters
These proposals come at a critical juncture as Hong Kong prepares its first five-year plan and Policy Address for 2026. The measures could significantly accelerate urban renewal in aging districts while establishing the Northern Metropolis as a strategic growth engine. Successful implementation would address long-standing land supply constraints and create new opportunities for Hong Kong to integrate more deeply with the Greater Bay Area, particularly as the 15th Five-Year Plan explicitly calls for accelerated Northern Metropolis development .
These proposals come at a critical juncture as Hong Kong prepares its first five-year plan and Policy Address for 2026. The measures could significantly accelerate urban renewal in aging districts while establishing the Northern Metropolis as a strategic growth engine. Successful implementation would address long-standing land supply constraints and create new opportunities for Hong Kong to integrate more deeply with the Greater Bay Area, particularly as the 15th Five-Year Plan explicitly calls for accelerated Northern Metropolis development .