K11 ARTUS plans to change its serviced apartments but was rejected by the city planning, citing insufficient reasons

New World (00017.HK) K11 ARTUS (the residence) in Tsim Sha Tsui, which is currently used as a hotel, was rejected by the Town Planning Board last month for its proposal to convert the site into serviced apartments.

According to the minutes of the Town Planning Board meeting, the application proposed to change about 10% of the floor area from hotel to residential use. However, the Town Planning Board considered that the application site is located on the Tsim Sha Tsui waterfront, which is a hub for Hong Kong's commercial and tourism industries, and deemed that the application did not align with planning intentions, and the applicant failed to provide sufficient planning justification.

It is reported that some members expressed concerns that once the hotel is converted to residential use, the units may be sold separately, leading to the rejection of the application. Additionally, other members pointed out that in the past, there were hotels in Hung Hom waterfront that also attempted to convert to residential use but were rejected. Approving the current application could set a bad precedent for other waterfront areas