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The area is suffering from traffic congestion and unhygienic conditions due to proliferation of hawking activities along side streets.
Moreover, the area is in lack of government and community facilities and in acute shortage of parking and off-street loading and unloading spaces.
"The scheme area has been designated as 'Comprehensive Development Area' to enable the LDC to undertake comprehensive redevelopment of the area," a spokesman for the Town Planning Board said.
"The scheme plan provides a planning framework for the redevelopment of the scheme area so as to restructure the existing land uses and street patterns, avoid piece- meal redevelopment, optimise development potential, facilitate the provision of 'Government/Institution/Community' facilities and improve the environmental and traffic conditions of the scheme area.
"The proposed redevelopment, as shown on the Land Use Diagram, will comprise commercial and residential uses with the much-needed social welfare facilities.
"In particular, a new Urban Council market with a dry goods shopping arcade will be incorporated in the development.
"Social welfare facilities to be provided in the scheme include a day nursery and a home help centre," the spokesman added.
To achieve efficiency in land use, a portion of Stone Nullah Lanc will be closed and form part of the development site.
Upon redevelopment, Wan Chai Road, Tai Yuen Street and Queen's Road East will be widened to facilitate vehicular circulation.
Apart from the provision of a bus bay along Queen's Road East, sufficient parking spaces and off-street loading and unloading facilities will also be provided within the development.
LDC will be required to submit a master layout plan for the scheme area to the Town Planning Board for approval.
The draft scheme plan is available for public inspection until July 19 at:-