Little remains of the leather factory that occupied this site in the 1970s, a period when Peng Chau was an industrialized island home to important Hong Kong factories. Since then, the largely car-free island has developed a reputation as an idyllic spot, known for its seafood, fishing, and beaches, and in place of the factory, a colorful community art space has sprung up, with junk-art sculptures, murals, and installations set against a backdrop of crumbling walls. From Wing On Street, the Leather Factory sign appears above a covered, graffiti-lined alleyway. A…