Development of the InnoCell adjacent to Hong Kong Science Park
Proposed scope and programme
In response to Mr CHAN Chun-ying’s enquiry on whether the plot ratio of 5.4 for the proposed InnoCell had reached its maximum plot ratio usage of building residential units, Commissioner for Innovation and Technology (“CIT”) said that the total maximum gross floor area of 15 300 square metres (“sq m”), equivalent to a plot ratio of 5.4 would be the maximum plot ratio permitted on the lot concerned.
Financial analysis of the project
In response to Mr CHAN Chun-ying’s and the Chairman’s enquiry about the cash flow projection of the InnoCell, Chief Executive Officer, Hong Kong Science and Technology Parks Corporation (“CEO, HKSTPC”) replied that assuming an occupancy rate of 95%, the InnoCell was anticipated to generate an annual rental income of about $58 million. With variable costs of around $29 million and depreciation of about $27 million per year respectively, the rental income would provide adequate operating cash flow for the InnoCell to make the project financially viable and self-sustainable.
Anticipated demand
Mr CHAN Chun-ying expressed support for the InnoCell and that the development be financed by a high proportion of government-backed commercial loan. Noting that the Government of the Shenzhen Municipality had promulgated the “Measures on Improving the Talents Housing System” in order to make Shenzhen a more attractive place for talents, Mr CHAN enquired if the Administration would draw reference to the Shenzhen Government’s practice by formulating an overall policy to address the housing needs of innovation and technology (“I&T”) talents.
S for IT said that as Shenzhen had a high proportion of migrant population, it had traditionally maintained a policy on providing housing for immigrants. In comparison, Hong Kong’s housing policy was not so much focused on addressing the housing needs of overseas/mainland talents. The InnoCell was a project of HKSTPC.