The government of Hong Kong has launched an open tender for the purchase of a land parcel designated for data center use.

The approximately 116,365 sqm (1,300,000 sq ft) land parcel is located in the Northern Metropolis, an infrastructure project in the northern, land-rich parts of Hong Kong that covers Yuen Long District and North District. The development sits on the border between Hong Kong and mainland China, giving it quick access to Shenzhen.

The parcel is located in Sandy Ridge, which is only separated from Shenzhen by the Shenzhen River. It is part of the development’s ‘Boundary Commerce and Industry Zone.’

Under the terms of the tender, which was published today, the “maximum gross floor area that may be attained is 250,000 sqm (2.7 million sq ft), and no less than 70 percent of the gross floor area must be dedicated to high-tier data center use.”

The government has stated that proposals will be weighted based on two criteria, with 70 percent weighting on technical quality and 30 percent on price. If accepted, the tenderer will be required to enter into a service deed with the government, which provides for the government’s monitoring of the tender’s implementation.

The invitation closes on December 31.

The Northern Metropolis, announced in 2021, was conceived as part of the government’s broader attempt to revitalize Hong Kong’s economy and integrate it with various cities in the southern Chinese province of Guangdong, otherwise known as the Greater Bay Area.

Policymakers have also stated that the 30,000-hectare development will operate under more flexible land use policies in order to attract logistics and technology companies.

But the plan has faced setbacks since its inception. In a policy address delivered last month, Hong Kong’s chief executive, John Lee, stated that he remained “deeply concerned about its progress, given the sheer size of the area and the magnitude of the investment required.”

Hong Kong’s status as a financial hub and its fiber connectivity have made it a notable data center hotspot.