Urban Renewal Authority Considers Financial Strategies Following Failed Tender for Kowloon City's Redevelopment Project
Financial Pressure on Urban Renewal Authority
The Urban Renewal Authority (URA) is navigating financial challenges following the failure of a tender for the redevelopment project in Kowloon City. As disclosed by Managing Director Wai Chi-sing, the URA is considering issuing bonds and pursuing other borrowing methods to support the project moving forward.
Background of the Development Project
Wai outlined that the URA is attempting a self-initiated approach for the Kai Tak Road/Sa Po Road initiative to secure community benefits. The authority revealed that the tender attracted only one bid, which was deemed noncompliant.
Financial Implications and Future Plans
The authority’s liquidity position as of March 2024 showed a dramatic decrease to HK$18.19 billion. To cope with rising project costs estimated at HK$82 billion over the next five years, additional financing methods will be necessary. Wai emphasized the importance of maintaining financial stability while promoting urban renewal initiatives.
- Community nursery to be constructed.
- Plans for a public square and retail outlets.
- Underground parking facility with 300 public spaces.
This article was prepared using information from open sources in accordance with the principles of Ethical Policy. The editorial team is not responsible for absolute accuracy, as it relies on data from the sources referenced.