The Urban Renewal Authority (URA) on Friday unveiled plans for a HK$1 billion redevelopment project in To Kwa Wan that will affect around 180 households and 20 shops.

Blocks with even numbers between 324 and 354 Ma Tau Wai Road will be demolished. The buildings are three to nine storeys high and were constructed between 55 and 69 years ago.

The URA said the blocks, containing many subdivided flats, have been poorly maintained.

New buildings up to 120 metres in height will be built, offering around 230 residential units, with the blocks linked to nearby open space and an underground shopping street leading to To Kwa Wan MTR Station.

Michelle Tong, the URA’s general manager for acquisition and clearance, outlined the compensation available for the flat and shop owners and residents affected.

“We will offer acquisition consideration to the owners and the value will be based on the market value at the time when we issue the acquisition offer. We will ask surveyors appointed through ballot to assess the market value and the home purchase allowance value at the time before the offer was issued,” she said.

“For the tenants, we will check their eligibility and if they fulfil the eligibility then we will offer the ex-gratia allowance or the rehousing arrangement.”

A freezing survey will commence on Friday, followed by a public consultation exercise from September 25 to October 9.

The URA said it expects the project to be completed by 2033 or 2034, assuming no appeals are filed against it.