Hong Kong's Airport Authority will scour the globe to secure HK$70 billion (310 billion baht) of investment to help fund an expansion to an infrastructure project billed as a "landmark of Asia".
Cissy Chan, the authority's commercial executive director, said on Thursday the body would cover the remaining HK$30 billion of the HK$100 billion expansion called "Skytopia".
"We will fund it with our internal resources. And then for the other initiatives, we will work with the private sector accordingly," she said.
Chan was speaking at an event that welcomed 300 business leaders from Hong Kong, mainland China and overseas to learn more about the expansion of the authority's Airport City development blueprint.
Skytopia will feature an arts hub, a 600-berth yacht marina, the city's largest water recreation area, a "jet fresh market" to rival Tokyo's Tsukiji Fish Market and a development called Skycity that will host a hotel, offices and commercial activities.
"The project is expected to cost around HK$100 billion, of which about HK$30 billion will be on infrastructure costs," Chan said.
The authority, which manages the city's airport, earlier revealed its intention to raise HK$10 billion for the project by issuing bonds.
Chan said the body was confident it could attract investors from around the world despite the pessimistic economic outlook on the mainland and in Hong Kong.
"We are going to conduct a global investment recruitment exercise. All these projects have a lot of potential for [returns]. I think for the private sector, they will also have their own considerations, in terms of the feasibility and the desirability of the project," she said.
"And we are very confident in terms of recruiting investors from not only Hong Kong, but also mainland China and overseas."
Fred Lam Tin-fuk, the authority's chairman, emphasised that the area would not just be a place for passengers to board their flights or enter the city.
"Our vision is to develop Skytopia into a landmark of its own, and a world-leading destination, attracting visitors from within Hong Kong and the prosperous Greater Bay Area, as well as major markets in Asia and the rest of the world," he said.
"The Airport Authority's role is to build the key infrastructure and create a platform for experts and investors to deliver services and products through their specially designed facilities."
The wider Airport City project, which the authority has billed as a "landmark of Asia", is an ambitious plan that aligns with recent calls by Beijing to position Hong Kong as a global sea, land and air hub with the private sector playing a bigger role in driving future growth.
The project was initiated in 2019 and is scheduled to be completed by 2031. Under the expanded development blueprint, the site will be the largest in the region, integrating commercial activities, popular culture, art trading, entertainment and leisure.
The original blueprint was also first unveiled in 2019, combining the airport's core functions with related business segments featuring projects such as a new hotel and three grade-A office towers as well as 11 Skies, an integrated retail, dining and entertainment complex scheduled to open in phases from the second half of 2025.
Ryan Ip Man-ki, vice-president of Our Hong Kong Foundation, a think tank, said the authority had taken the right approach by targeting high-end customers.
"After all, the selling point of Hong Kong is about its quality and high-end service such as its private jet facilities. As long as the Airport Authority provides a comprehensive set of supporting measures for customers, the expanded project can appeal to high-end and wealthy patrons," he said.
But Ip noted it would not be easy to lure investors given the worsening external environment, with groups such as the MTR Corporation competing for capital investment.
"Investors will adopt a wait-and-see attitude, waiting for 11 Skies to start operations and examining the flow of people and its performance before deciding whether to invest in the expanded project or not," he said.
Law Cheung-kwok, a senior adviser at the Chinese University of Hong Kong's aviation policy and research centre, said it was too early to assess the economic feasibility, financial returns and investor interest as the first phase of the project, which included 11 Skies, had not been launched.
"So far the responses for 11 Skies have not been enthusiastic. Investors need to see how well it is received and the complex's performance before making assessments," Law said.
Among the new projects to promote high-end commercial, tourist and leisure activities are Skytopia's vision of creating an ecosystem for the arts industry, building AsiaWorld-Expo Phase 2, developing a marina with ancillary facilities, opening a market for imported fresh food and providing more public spaces.
The authority said the expansion would be Hong Kong's first "one-stop" arts project comprising galleries and studios for trading, creating and appreciating art, as well as a storage facility for works.
Skytopia will also feature the city's biggest marina with about 600 berths and a new "sportainment" complex that combines indoor and outdoor sports concepts for adventure, exploration and entertainment.
A "jet fresh market" will be designed to consolidate the city's position as a hub of high-end fresh food from around the world.
Driverless autonomous vehicles will also serve a designated area in the development, while a promenade will provide a 1.5km-long walk and a piazza.