Athletes' paradise: The Urban Renewal Authority says the Sai Yee Street redevelopment project will feature a sports retail city designed to preserve the current unique business character there.

The Urban Renewal Authority has kicked off a $3.14 billion sports retail city project under the Sai Yee Street redevelopment in Mong Kok which will see the birth of a sports activity zone through urban regeneration.

Construction is due to be completed by 2013 at a cost of about $1.14 billion. It will cost another $2 billion to acquire property from existing owners and to pay compensation to or re-house tenants.

The authority said today the sports retail city is designed to enhance the unique local character of the sports retail trade in Fa Yuen Street, Nelson Street and Shantung Street - dubbed "Sneaker Street" due to its concentration of trainers shops.