Financial Secretary Paul Chan on Sunday said the large-scale land disposal approach in Northern Metropolis development could leverage resources in the private market and achieve a win-win result.

His remarks came after the government awarded the first tender for a major land parcel to HSK New Development that comprises six shareholders: China Overseas Land and Investment, China Merchants Land, China Resources Land, China Travel Service, JD.com and a subsidiary of Sino Land.

Writing in his weekly blog, the finance chief noted the consortium consists of firms with capabilities in infrastructure development, technological innovation, facility operations, supply chain management and ecosystem building.

Chan said the bid price was not the government’s sole consideration. Instead, the authorities placed greater emphasis on whether the bidder could introduce strategic industries, create jobs and drive the development of industry chains.

The minister said the large-scale land disposal approach could effectively mobilise resources in the private market and make good use of the market’s flexibility, sensitivity and expertise to speed up development progress.

The approach would also ensure that projects – from design and construction to future operations – better meet users’ needs, while reducing the government’s financial input, he added.

Chan said the tender marked a milestone for the development of the Northern Metropolis, and the government would maintain communication with the market.

He added that a financial advisory taskforce would tailor-make financing arrangements for the Northern Metropolis development.


Edited by Aaron Tam