CK Asset will demolish and rebuild three towers at its scandal-hit Starter Homes project in Hong Kong after investigations revealed significant deviations in steel bar installations. The decision follows a corruption and construction scandal that led to government prosecutions against the original contractor. Experts are calling for a strengthened inspection regime and a blacklist for errant contractors.

The scandal highlights potential systemic issues in Hong Kong's building inspection regime, raising concerns about construction quality and safety in private developments. The extensive remediation and rebuilding efforts by CK Asset underscore the significant financial and reputational risks associated with construction failures, potentially impacting developer costs and future project timelines.
CK Asset has opted to demolish and rebuild three residential buildings at its Starter Homes project on Anderson Road in Kwun Tong, following a significant scandal involving shoddy steel work. Investigations revealed that reinforcing steel bars in all six towers of the project deviated substantially from government-approved plans.
The Buildings Department has accepted structural remediation proposals for three of the six towers, allowing work to proceed. For the remaining three buildings, CK Asset has chosen complete demolition and reconstruction, a plan that the authority has approved. The developer explained that while the overall structures posed no immediate danger, the process of assessing and formulating individual repair strategies for each building was extremely slow, taking nearly two years for the first three towers. Demolishing and rebuilding the remaining three from scratch was deemed the most time-efficient and cost-effective solution.
This decision follows legal action initiated by the government in August 2025, when the Buildings Department launched 205 prosecutions against the project's original contractor, authorized signees, and relevant technical personnel for failing to install reinforcing steel bars in accordance with the Buildings Ordinance. Court hearings for these charges are scheduled to commence on June 11, 2027. Lawmakers and engineering sector leaders have called for a review of Hong Kong’s building inspection mechanism and the implementation of a blacklist to bar errant contractors from government tenders.
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