Hong Kong’s Urban Renewal Authority (URA) has eased the threshold for a massive redevelopment project in Kwun Tong district after last week’s tender failed to meet the minimum investment requirement.
The URA has removed the investment threshold, extended the development period to 72 months from 56 and raised the number of small flats allowed to be built in the project, the Hong Kong Economic Journal reported Wednesday.
The move came after the project failed to draw the minimum investment requirement of HK$8 billion (US$1.03 billion) from developers on Tuesday.
The URA had hoped to announce the winning bid by the end of next month.
Under the revised terms, developers not previously invited to bid on the project can join any 10 pre-qualified bidders to form a consortium.
Market veterans said the cancellation of the minimum investment threshold will result in future bids coming in at just HK$3 billion to HK$4 billion, the report said.
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