KCRC - Property Development at West Rail Tsuen Wan West Station

The Challenge

• Limited options with large floorplate opened for a new distribution centre
• Difficulty of securing a competitive rental for a tight budget
• Break clause required for a one year plus on year logistics contract

The Solution

• Regular review of the market conditions by referencing to the latest market information through the extensive network of CBRE
• Close liaison amongst the consultancy team to resolve issues within a short timeframe
• Weekly meetings between the consultancy team and the Client to ensure efficient and effective communication

The Result

• Several highly innovative development options have been formulated for selection by the Client
• Consultancy team to complete the assignment in line with a tight time schedule

Lease Modification, Lam Tei, Tuen Mun Henderson Land Development Co. Ltd.

The Challenge

• Lease modification to reduce the number of residential car parking spaces and other provisions under the prevailing Government Lease
• Additional obligations imposed by the Government during the modification process
• The aggressive position taken by the Government

The Solution

• Proactive discussions and negotiations with the Government to resolve issues
• In-depth investigation of factors impacting the value of the proposed development before and after the lease modification
• Provision of concrete analysis and supporting information in support of the valuation

The Result

• Avoid imposition of unreasonable obligations by Government as part of the modification
• Securing a major reduction of some 40% in land premium after lodging an appeal, resulting in substantial saving to the Client