Urban renewal in Eastern Kowloon: affordable housing and upgraded transport links
- The more affordable eastern side of Kowloon is set for continued growth as transport links are extended, older industrial areas are redeveloped and newer phases of residential areas like Lohas Park come on stream
The city’s new home sales have defied predictions during the recovery from the Covid-19 pandemic. Developers are seizing this opportunity to sell their housing stock, taking advantage of improving market confidence. But given the challenges Hong Kong faces, whether these early positive signs develop into a sustained recovery is yet to be confirmed.
Kowloon East, which includes Kwun Tong, the fast-developing Kai Tak area where gentrification is transforming neighbourhoods, will remain a major source of new housing supply in the coming months. With the final development site recently sold, cranes will continue to tower above Lohas Park and Tseung Kwan O for the next two or three years.
Initially, home sales fell to new lows in the first quarter of 2020 when the pandemic first took hold. Monthly home sales hit rock-bottom in January; fewer than 3,000 homes traded in that month amid widespread Covid-19 concerns. Sales staged a modest recovery to reach levels above 4,000 in the ensuing months, according to Land Registry figures, and by October 2020, property consultant Knight Frank reported that monthly home sales had improved further to 5,024 over the month of September, up 15 per cent on the preceding month.
Once a manufacturing mecca, Kowloon East is transforming into a trendy residential hub that appeals to professionals and young couples, with new property projects scattered around Kai Tak, Kwun Tong and nearby areas. Kwun Tong has been given a large-scale facelift with new buildings and increased public space since the Urban Renewal Authority began working on rejuvenating the area in 2007. Another plus is that Kowloon East has green spaces and a range of community facilities.
