MTR is an operator of sustainable rail transport services across the globe.
With over 45 years of railway project experience, the company offers end-to-end expertise spanning design, planning, construction, commissioning, maintenance, and operations.
Beyond railway delivery, MTR creates communities through the seamless integration of rail, commercial, and property development. Employing over 50,000 staff, MTR serves more than 10 million passenger journeys daily across Hong Kong, the United Kingdom, Sweden, Australia, and Mainland China.
Its innovative Rail + Property (R+P) model drives a commitment to sustainable finance and responsible environmental stewardship and is one of the key factors of its success.
At the heart of MTR’s vision is the aspiration to keep cities moving sustainably. This strategy not only ensures long-term financial sustainability but also plays a pivotal role in shaping vibrant, low-carbon, and well-connected communities. By integrating rail systems with urban development, MTR enhances the quality of urban life while reducing reliance on public resources.
A catalyst for sustainable communities
MTR’s successful R+P model is a unique approach that integrates property development with railway expansion. Under this model, MTR is granted development rights for land near stations or depots along railway routes.
MTR then builds the new rail line and partners with private developers – selected through a tender process – to build properties.
MTR shares in the profits from these developments. By capturing the increase in land and property value once the new railway lines are completed, MTR generates funds to finance railway construction, as well as ongoing operations and maintenance.
This model effectively leverages the economic value of property development to bridge funding gaps for the construction and operation of new rail lines, allowing MTR to deliver efficient and reliable transportation systems while minimising the financial burden on public resources.
The model also optimises land use, transforming underutilised areas into mixed-use developments that combine residential, commercial, and recreational spaces. This holistic approach enhances quality of life while securing revenue streams for MTR to fund future railway projects and upgrades.
MTR’s R+P model has been successfully applied to several flagship projects that demonstrate its impact on sustainable urban development, including the Kowloon Station development in Hong Kong.
Seamless connectivity, convenience and comfort are hallmarks of the landmark development – a mixed-use community with gross area of more than one million square metres.
The station was built with two underground levels providing separate platforms for the Airport Express and Tung Chung railway lines. The site is located in a prime area of Hong Kong and the high-speed rail terminus is just a short walk away, providing the fastest connections into Mainland China.
Kowloon Station has three levels of station concourses including in-town check-in facilities for airport travellers and a luxury shopping space. Passenger flow has been prioritised to maximise the efficiency of the station.
All static functions including housing, offices and hotels are accessible from the station podium level while dynamic functions, which include transportation and retail, are located beneath the podium level.
The topside development was divided into seven packages and completed phase by phase over 10 years due to the project scale, construction complexity, vertical multiplicity and property market at the time.
A total of about 6500 residential units, one super-tall skyscraper – the international commerce centre – and two five-star hotels are all situated on top of Kowloon Station.
Another landmark project was the LOHAS (Lifestyle of Health and Sustainability) Park in Tseung Kwan O New Town, one of nine new towns in Hong Kong built mainly on reclaimed land. LOHAS Park has a gross area of 1.6 million square metres on a 33-hectare site, comprising 50 residential towers, a 45,000-square-metre shopping centre, with community facilities including schools, transport interchange, and extensive landscaped open space.
All facilities in the LOHAS design are seamlessly connected by a pedestrian network featuring covered, sheltered, and barrier-free walkways. Residents can access all facilities within pedestrian zones without needing to cross any roads.
About 40 per cent of the land is dedicated to open spaces and green areas, with 3000 trees planted trees in the park. This lush, green site will feature a 2000 square metre Central Park, which will be developed and managed by MTR.
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In addition to these two flagship projects, the Southside, with a gross area of approximately 400,000 square metres, comprises a lifestyle shopping mall and a six-phase property development located atop the MTR Wong Chuk Hang Depot and adjacent to Wong Chuk Hang Station.
Upcoming developments such as Tuen Mun South Station and the Northern Link will continue to leverage the R+P model.
Revenue from MTR’s property rental, management, and development businesses remains a critical source of funding for railway construction and maintenance, reinforcing a safe, reliable, and sustainable transport system.
“MTR’s Rail + Property model exemplifies how innovative urban planning and transport systems can work hand-in-hand to create sustainable, vibrant cities,” said Raymond Yuen, MTR’s CEO of Australian Business.
“By leveraging property development to fund railway expansion, MTR not only ensures financial sustainability but also transforms urban landscapes into thriving, low-carbon communities.
“As global cities continue to confront challenges of climate change and urbanisation, MTR’s Rail + Property model stands as a crucial driver for a smarter, greener urban development. MTR is eager to share its expertise with Australian communities and others around the world.”
