Hong Kong Offers Affordable Land to Tech Companies

Hong Kong is rolling out the welcome mat for technology companies with a plan that could transform its northern border region into a world-class innovation hub.

The operator of San Tin Technopole announced Wednesday that it will offer tech companies land at prices similar to the city's recent Sandy Ridge Data Centre deal. That project set a new benchmark by charging less than twice mainland China's land costs, a dramatic reduction from previous rates that were 10 times higher than neighboring Guangdong province.

Sunny Chai, chairman of the government-owned San Tin Technopole Company, explained that high land costs had been blocking advanced manufacturing companies from choosing Hong Kong. The new approach removes that barrier while keeping Hong Kong's other advantages like rule of law and international connectivity.

The scale of San Tin Technopole sets it apart. With 210 hectares dedicated to innovation and technology, the site is 17 times larger than Hong Kong's existing Science and Technology Park in Tai Po. That extra space makes it ideal for companies needing room for both large-scale manufacturing and research facilities.

The government is backing the project with serious funding. A proposal to Hong Kong's Legislative Council requests $10 billion Hong Kong dollars for development, with $3 billion earmarked for creating the innovation zone and $6 billion for initial infrastructure.

The Ripple Effect

The strategy is already working. More than 45 mainland and overseas companies have expressed clear interest in setting up operations in the Northern Metropolis development area. These firms span education, pharmaceuticals, advanced construction, logistics, and cutting-edge manufacturing sectors.

The government is sweetening the deal further with a preferential policy package that includes not just affordable land grants but also tax reductions and potential co-investment opportunities. These incentives give Hong Kong's investment promotion agencies powerful tools to close deals with target companies.

San Tin Technopole Company is even speeding up the development process by contracting private sector operators directly rather than relying solely on government departments. For one client needing more than 20 hectares, the company is exploring redeveloping fish ponds near the former Lok Ma Chau border crossing.

The approach reflects Hong Kong's determination to compete for technology investment while maintaining its unique position as a bridge between mainland China and the world.

Dozens of companies are already lining up to join Hong Kong's newest innovation neighborhood.