Hong Kong’s search for new land sites continues despite sluggish economy and sufficient supply, development chief says

Despite a sluggish economy and an existing land supply that exceeds future demand, Hong Kong authorities are persistently seeking more land for their reserves. This was reaffirmed by the Secretary for Development, Bernadette Linn Hon-ho, during a television interview. She emphasized that the search for land is a long-term and continuous task, regardless of the current economic slowdown.

Recently, the government withdrew a residential site in Tung Chung from sale due to low bid amounts. This marked the second withdrawal of government land in the current financial year. The site, reclaimed land covering 10,648 square meters, was projected to accommodate 414 private flats. Four tenders for the land parcel were submitted by three developers and a joint venture of two firms.

Linn expressed understanding towards the developers' cautious approach, influenced by external market factors. However, she remains optimistic about the economy's recovery. She encourages her team to remain resilient in the face of these withdrawals, as the current situation is not indicative of the future. She expressed confidence in the industry developments outlined in the Chief Executive's policy address, predicting a bounce back in many sectors.