The continued presence of the garrison in the Central area, combined with ongoing economic development and population growth, resulted in an increased demand for development land in the Central and Wan Chai districts, which were bisected by military lands.

Between 1890 - 1904 the Praya Reclamation Scheme expanded Central's usable land area by some 24 hectares, and extended the waterfront as far north as present-day Connaught Road. Some of this land was reserved for public use, most notably the attractive civic precinct at Statue Square.

In 1921 a further massive reclamation project in Wan Chai and Causeway Bay started, and by 1930 a further 36.4 hectares new land were created between Arsenal Street and the Causeway Bay typhoon shelter, with a northern frontage along Gloucester Road.

A large-scale reclamation project was undertaken in Kowloon in the 1920s, between Tai Kok Tsui and Sham Shui Po. Some of this land was reserved for military use, but most was subsequently developed for commercial and residential purposes.