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Journal of Chinese
Architecture and Urbanism Industrial space renewal in Hong Kong and Shanghai

Table 1. Comparison of industrial space renewal policy and practices in Hong Kong and Shanghai
City Hong Kong Shanghai
Items of renewal
Political economic milieu Roll-back neoliberalism characterized by laissez-faire Roll-out neoliberalism characterized by active state
policy and less intervention from the government, “small intervention, “strong government,” or “omnipotent
government, large market” for economic regrowth government” for socioeconomic rebalance
Industrial adjustment De-industrialization with the hollowing out of Post-industrialization, with manufacturing transferring to the
manufacturing to Pearl River Delta and inland outskirts, Yangtze River Delta, and inland
Planning approach Gradualist planning with multi-interaction, social process Blueprint and rational planning, scientific decision-making to
consolidated by partial exploration form a stable social process
Policy evolution of the two Relaxation of policy in line with the market response, improve Informal to formal renewal; functional renewal into commerce,
rounds of renewal floor ratio of industrial buildings and waive fees for wholesale creative industry, and producer service industry; seek a balance
reconstruction, promote renewal, and secure public interest between state and market in line with the market response
Participatory bodies in two First round: slow renewal, market is reluctant to join First round: informal and passive renewal, SOEs make profits
rounds of renewal Second round: active renewal, relaxation of renewal policy from administratively allocated land
to introduce private capital Second round: formal and active renewal; state
encouragement, enterprises followed
Outcomes of the two Offering space for economic transition Propelling industrial land renewal but with resistance after the
rounds of renewal First round: unsatisfactory results due to rising price and informal renewal
rent of industrial buildings First round: loss of land income and unordered space function
Second round: improved results under active participation under informal renewal
of market Second round: regulated market with the fair market response

5. Discussion and conclusion with few exceptions in the New Territories, Yuen Long,
and Kwai Chung.
The evolving policies on industrial space renewal in Hong
Kong and Shanghai have exemplified the dissimilarities of In Shanghai, governments, especially those with
renewal paths and planning approaches against different authority in land approval and development, dominate
political-economic contexts (Table 1). In Hong Kong, the industrial land renewal, and most projects are large scale
“small government, large market” concept was embraced in the nature. As the value of land in Shanghai has been
by local governance, leading to a gradualist, sometimes increasing annually, industrial enterprises occupying a
tough negotiable renewal process. The established Urban large amount of land in the city center constantly moved
Renewal Authority (URA) has aimed to intervene in out and left room for high-value-added urban functions.
building and land redevelopment, but often confronted With intervention from the government, holistic renewal
resistance from uncooperative landlords that hindered is possible, and the plan is blueprint and comprehensive
the process, resulting in the failure or limited success in nature to deploy functions in space. In Shanghai, the
of renewal plans, such as the Cheung Hing and Wing municipal, district, and street office level authorities
Hong industrial buildings. In this regard, the wholesale ensured the smooth progress of the renewal project through
reconstruction would be replaced by partial or minor systematic plan implementation. This “strong government”
renewal under market pressure. This is indeed a result force-led renewal paradigm showcases the efficiency and
of “continuous limited comparison” by all parties in the executive power of the top-down planning and control
society, rather than a “rational comprehensive decision- system and explains why such a large-scale renewal project
making” by individual leaders (Lindblom, 1959). is possible. As indicated in the case of Bright Dairy and
Although such renewal may sacrifice some efficiencies Food factory area renewal, unified deployment from the
for urban development, negotiable forces from society Minhang district government has fostered a systemic,
could also be the sources of conditional equity that are holistic renewal plan, which not only resumed industrial
indispensable for modernity and legalization. It reflects land for higher density development, but also responded to
that renewal has been solidified to social regulations policy initiatives of the central and Shanghai government,
through partial exploration in the context of pluralistic offering public rental housing to resolve social issues.
gradualism. Another significant feature of Hong Kong’s Based on research and scientific decision-making, the
industrial space renewal is the small scales of the projects, renewal has evolved to be a stable social procedure under
which are often industrial buildings located in a confined blueprint-style comprehensive rationalism (Taylor, 1998).
territory. This is especially true in Shatin and Kowloon, Yet, over-unification is likely to lose diversity, leading to a

Volume 5 Issue 2 (2023) 7 https://doi.org/10.36922/jcau.0431