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Redevelopment in Hong Kong must be accelerated in response to urban decay and land shortages. However, due to a lack of incentives and effective policy tools under Hong Kong's floor area ratio regulations, there has been limited public–private partnerships in the urban renewal process, reducing both the public welfare and the efficiency of land use. We review the evolution of Hong Kong's density schemes for addressing urban redevelopment issues to identify the most important barriers to private sector involvement. We also summarise the international experience and identify viable policies, compare cases in Hong Kong with successful transfer of development rights (TDRs) examples, point out TDRs' shortcomings, and propose targeted policy optimisation strategies. On a practical level, this study has implications for the creation of targeted density policies to address Hong Kong's ageing infrastructure and facilitate the urban transformation of Hong Kong and similar high-density cities so that they can continue to support sustainable urban growth. [ABSTRACT FROM AUTHOR]

This paper investigates the time-varying and land use-induced spillover effects of urban redevelopment, providing a lens through which to understand the welfare implications of both the temporal dynamics and the land use changes that occur through urban transformation. By analysing redevelopment project and housing transaction data from Hong Kong between 2005 and 2020, we find significant, positive spillover effects of urban redevelopment on local housing prices following the redevelopment announcement, with diminishing magnitudes as the redevelopment project proceeds. We also find heterogeneous spillover effects associated with different functional land use changes in redevelopment projects. The direction and extent of these externalities depend on the trade-off between the changes in local amenities and the changes in the level of competitiveness in the local housing market. • Redevelopment has time-varying and land use-induced spillover effects. • In general, spillover effects show a diminishing magnitude as the project proceeds. • The time-varying spillover patterns depend on the specific changes in land uses. • Redevelopments pose negative spillovers through the competitiveness channel. • Redevelopments pose positive spillovers through the amenity channel. [ABSTRACT FROM AUTHOR]