Hong Kong Signs Northern Link Full-Line Deal
The government and MTR Corporation agreed on financing, design and construction for the second part of the Northern Link railway.
Updated on Nov. 10, 2026 in Construction
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The Chief Executive in Council approved the second-part financial package on 10 November 2026, and the government and MTR Corporation signed the full-line project agreement. Verified second-part building costs stand at about 54.8 billion Hong Kong dollars at July 2025 prices.
Why it matters
The rail-plus-property model provides the financial support for delivering the second part of the project. The combined construction budget is 28 per cent below the earlier projection, which the parties say reflects cost savings.
Second-part building costs are about 54.8 billion Hong Kong dollars and the whole scheme totals roughly 86.2 billion dollars, both at July 2025 prices. The combined budget is 28 per cent below the earlier projection, though the stub does not detail how the savings were achieved.
The players
MTR Corporation
MTR Corporation is the operator of Hong Kong's mass transit railway network and a party to the Northern Link agreement.
Mable Chan
Mable Chan is Hong Kong's Secretary for Transport and Logistics, who witnessed the signing of the Northern Link agreement.
Jacob Kam Chak-pui
Jacob Kam Chak-pui is the non-executive chairman of MTR Corporation, who witnessed the signing of the Northern Link agreement.
The details
Hong Kong's Secretary for Transport and Logistics Mable Chan and MTR non-executive chairman Jacob Kam Chak-pui witnessed the signing. The main line is a 10.7-kilometre underground railway with five stations, and the spur includes about six kilometres underground with a 1.1-kilometre portion on the Shenzhen side.
Timeline
8 July 2025: First-part financial clearance was approved.
February 2026: The Highways Department issued the Hong Kong Railway Standards.
10 November 2026: The second-part financial package was approved and the deal signed.
2034 or earlier: Targeted simultaneous opening of the main line and spur.
Market Landscape
The project applies the Hong Kong Railway Standards issued by the Highways Department in February 2026 to a cross-boundary line. A dedicated railway approval team has trimmed building-plan processing time by 30 to 50 per cent, which may shape how future rail projects in the territory are approved.
Once services begin, peak-hour travel between Kam Sheung Road and Kwu Tung is expected to fall from about 60 minutes to roughly 12 minutes. Journeys from San Tin to Huanggang are put at about 11 minutes.
The takeaway
Large cross-boundary rail projects can be financed through rail-plus-property models that pair transit construction with commercial and residential development. Parties on both sides say they will keep pursuing innovative construction methods to open the line as early as practicable.
Further reading
Explore more construction news to see how large infrastructure projects like this one are financed and delivered.
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