The MTR Corporation has received eight bids for the second phase of a commercial and residential development near Kam Sheung Road Station, a strategic location within Hong Kong's Northern Metropolis project. This large-scale initiative aims to strengthen the city’s economic foundation and promote closer integration with the Greater Bay Area.
The Kam Sheung Road Station Phase Two project features a planned residential gross floor area (GFA) of up to 767,882 square feet and a commercial GFA of as much as 438,633 square feet. Market estimates place the project’s value at approximately HK$5.7 billion. Analysts noted that the substantial number of bids exceeded initial expectations, indicating strong developer confidence in the Northern Metropolis development.
Among the contenders were prominent developers such as CK Asset Holdings, Henderson Land Development, Sun Hung Kai Properties, and Wheelock Properties, each submitting individual proposals. Additionally, a consortium formed by Sino Land, China Overseas Land and Investments, Great Eagle Holdings, and China Merchants Land also entered a joint bid.
The site’s appeal is partly due to its proximity to Kam Sheung Road Station, which is poised to become an interchange between the existing Tuen Ma line and the forthcoming Northern Link. This enhanced connectivity is expected to improve access within the region, particularly benefiting future residential communities like those planned in Kam Tin South, Yuen Long. Once operational, the upgraded station will facilitate smoother travel across districts and provide convenient access to cross-border train services via the East Rail line.
To mitigate investment risks associated with the retail sector, the MTR Corporation has incorporated an option allowing the winning developer to sell back the retail component at a predetermined buy-back price of HK$1.6 billion. Under the tender terms, the developer can either retain and self-develop the retail portion—with a buildable area ranging between about 108,000 and 439,000 square feet—or develop a shopping center of approximately 280,000 square feet, which MTR would then repurchase.
Industry experts have highlighted this buy-back mechanism as a key factor enhancing the project’s attractiveness amid ongoing uncertainties in the retail market. Hong Kong’s retail sector has shown gradual improvement, with total sales rising roughly 12 percent during the first two months of 2026 compared to the previous year—a positive trend supporting renewed investor interest.
The Kam Sheung Road development forms a crucial part of the Northern Metropolis plan, which aims to create new economic and residential hubs in northern Hong Kong while expanding transportation linkages within the Greater Bay Area. The MTR Corporation stated that the project’s integration with the existing rail network will provide excellent connectivity, supporting the growth of both current and future communities in the region.