23 developers vying for Tai Wai Station project

Even mid-sized developers were lured.

The MTR’s 2,900 unit Tai Wai Station development project has drawn expressions of interest from 23 developers, compared with 15 expressions of interest when the project was last released two years ago.

According to a research note from Barclays, in addition to drawing interest from the large developers, several mid-sized developers also expressed an interest in the project.

These include the likes of Lai Sun Development, Emperor International, Kowloon Development, CSI Properties, Asia Standard as well as Link REIT.

Here's more from Barclays:

A day after the close of the expression of interest deadline, the MTR released the new terms for the Tai Wai Station tender.

Some key tender terms include:

New land premium has been set at HK$10.356bn or AV of HK$3,832psf. Compared to the HK$12.7bn land premium set two years back, the land premium has been reduced by 18%.

Retention of retail podium – Under this option, whereby the MTR retains the commercial podium upon completion, the MTR will cover HK$7.5bn or 72% of the land premium. Alternatively, the developer could choose to retain both the residential and commercial portions with no subsidy from the MTR.

Profit sharing – Profit sharing for the project will commence once 70% of the development costs have been recouped. The minimum profit sharing ratio is set at 15%.

Developers have until October 13 to submit their tenders.