Henderson Land Group has thrown its support behind the Hong Kong government’s latest development blueprint, backing plans to speed up the Northern Metropolis and calling for a more flexible approach to land supply as the city balances housing needs with economic growth.
Henderson Land Group Chairman Dr Martin Lee Ka Shing said the company supports the direction set out in the HKSAR Government’s First Five Year Plan and the 2026 Policy Address. He described the Northern Metropolis as an important engine for Hong Kong’s future development and said the group would continue to support government initiatives aimed at strengthening the city’s long term economic prospects.
Northern Metropolis Seen as Major Growth Area
The Northern Metropolis has emerged as one of the government’s largest development projects, with plans covering housing, infrastructure, business facilities, education and technology. The area is expected to play a significant role in reshaping Hong Kong’s northern districts and strengthening connections between the city and the wider Greater Bay Area.
Lee said the scale of the project creates an opportunity to build a new centre for education, innovation and talent development.
One area he singled out was the proposed university town. Lee said the development should become a key part of the Northern Metropolis, bringing universities and research activities closer to technology and other emerging industries.
The concept goes beyond simply adding new university facilities. A university town could create closer links between students, researchers, technology companies and businesses, while also providing a base for talent development in the northern part of Hong Kong.
For developers and businesses, such infrastructure could also influence where future economic activity takes place. Housing, transport, education and commercial development are closely connected, meaning progress in one area can affect the pace and viability of projects elsewhere.
Faster Approvals Could Shorten Development Timelines
Lee also welcomed government efforts to simplify statutory approval procedures for major projects in the Northern Metropolis.
Large scale developments often require multiple approvals before construction can move forward. The process can involve planning, land, environmental, transport and other regulatory requirements. Henderson Land said efforts to streamline those procedures could reduce the time required to move projects from planning to actual delivery.
For the Northern Metropolis, where development is expected to take place across a large area and over an extended period, the speed of the approval process could have a direct effect on when new homes, infrastructure and commercial facilities become available.
Lee said measures that shorten the land development cycle would help accelerate the implementation of major projects.
The issue is particularly relevant to Hong Kong’s housing strategy. Bringing land through the planning and development process more efficiently can affect how quickly housing sites reach the market, while delays can push back construction and completion schedules.
The government has been pursuing different measures to increase and manage land supply as it works to address housing requirements and support economic development. Henderson Land’s comments indicate that the private sector is closely watching how those measures affect the timing and availability of development opportunities.
Developer Calls for Flexible Land Disposal
While supporting continued land development, Lee also argued for a measured approach to the release of land.
His position is that the government should not treat land disposal as a fixed process operating independently of economic conditions. Instead, authorities should consider wider economic circumstances when deciding the pace at which land is brought forward.
That approach would involve coordinating different sources of land supply while taking account of housing demand and business conditions.
Hong Kong’s land supply comes from several channels, including newly developed areas, redevelopment opportunities and other government land releases. The timing of those sources can influence the amount of land available to developers and the pace at which new projects can enter the market.
Lee said authorities should coordinate those sources rather than viewing individual land releases in isolation.
The approach also reflects the changing conditions facing Hong Kong’s property market. Demand for housing can shift with population changes, interest rates, employment conditions and broader economic activity. Business demand can also vary across different sectors and locations.
A more adaptable land strategy would allow the government to respond to those changes while continuing its longer term development programme.
Housing and Economic Growth Remain Closely Linked
For Henderson Land, the question of land supply is not limited to residential development.
Hong Kong’s property sector is closely tied to the wider economy. Construction activity creates demand across multiple industries, while commercial and residential developments can support new business districts, transport links and community facilities.
The Northern Metropolis is intended to bring several of those elements together.
The development plan includes new housing alongside infrastructure and economic facilities, meaning decisions over land supply could influence both the availability of homes and the city's capacity to accommodate businesses and workers.
Lee’s comments therefore place the company’s support for the government’s policy direction alongside a call for flexibility in implementation.
Rather than abandoning long term land development plans, the approach would mean adjusting the timing of individual land releases according to market and economic conditions.
That distinction is important for a project as large as the Northern Metropolis. Major infrastructure and community planning require years of preparation, while demand for particular types of housing, offices or commercial space can change much faster.
Maintaining a long term development framework while allowing individual stages to respond to changing conditions could help align land supply with actual demand.
Henderson Land Signals Continued Support
Lee said Henderson Land remains confident in Hong Kong’s economic future and intends to continue supporting government initiatives aimed at long term development.
The company’s position places particular emphasis on three areas: advancing the Northern Metropolis, developing the university town concept and making land approval and disposal processes more adaptable.
For the government, private sector support could be important as it moves from planning to implementation across the Northern Metropolis. Large projects require substantial investment from both the public and private sectors, while the timing of approvals and infrastructure can affect when developers are able to begin construction.
The government’s First Five Year Plan and 2026 Policy Address provide the broader policy framework. The next challenge will be translating those plans into completed infrastructure, new communities, education facilities and commercial projects.
Henderson Land’s response suggests that the property sector is looking for both continuity and flexibility: continued commitment to expanding land supply, combined with the ability to adjust the pace of land disposal as housing demand and economic conditions change.
As Hong Kong advances the Northern Metropolis, the central question will be how quickly policy plans can become physical projects while keeping land supply aligned with the needs of residents and businesses. How effectively the government balances those two demands will shape the pace of development across the city’s northern districts.