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Following is a question by the Hon Frederick Fung and a written reply by the Secretary for Transport and Housing, Professor Anthony Cheung Bing-leung, in the Legislative Council today (April 29):
Question:
The Chief Executive has indicated in this year's Policy Address that the Government must actively explore ways to increase the supply of subsidised sale flats through a multi-pronged approach by engaging public or non-profit-making organisations including the Hong Kong Housing Authority (HA), the Hong Kong Housing Society (HKHS), the Urban Renewal Authority and the Hong Kong Settlers Housing Corporation Limited (HKSHCL). By so doing, more property choices and home ownership opportunities will be provided for low and middle-income families. It has been reported that one of the directors of HKSHCL told the media in June and September last year that HKSHCL was considering the demolition of Tai Hang Sai (THS) Estate, the only private low-cost housing estate owned by HKSHCL, for redevelopment into 5 000 Home Ownership Scheme (HOS) flats. That director told the media in January this year that authorisation had been obtained in respect of the redevelopment plan of THS Estate, and the offer of cash compensation to residents of the Estate in lieu of rehousing arrangement was under consideration. It has also been reported that the chairperson of the mutual aid committee of Block 8 of THS Estate published the results of a survey in early February this year which showed that 82 per cent and 35 per cent of the residents of THS Estate surveyed supported the redevelopment of the Estate into a public rental housing (PRH) estate and an HOS court respectively. The Concern Group on the Rights of Tai Hang Sai Estate Residents and the Hong Kong Association for Democracy and People's Livelihood organised a residents' meeting and a community forum on redevelopment issues in January and March this year respectively, and the 400 named residents of THS Estate attending the events had indicated support for the suggestions that the Government participates in the redevelopment of the Estate, takes up the responsibility of providing in-situ rehousing by rehousing residents of THS Estate in the PRH units either in the original district or in the original estate, as well as gives them the concession of having priority to buy HOS flats. In this connection, will the Government inform this Council:
(1) of the latest work progress in increasing the supply of subsidised sale flats through HKSHCL; the difficulties encountered in the work; whether it knows the redevelopment approach of THS Estate;
(2) whether, prior to the delivery of this year's Policy Address, the authorities held any formal or informal discussions with HKSHCL the increasing of the supply of subsidised sale flats, and discussed with HKSHCL the idea of building an HOS court on the site of THS Estate; if they did not, of the basis on or the conditions under which the authorities included HKSHCL in the Policy Address as one of the organisations to be engaged in increasing the supply of subsidised sale flats;
(3) as it was stated in the written representation made by the representative of HKSHCL to the Town Planning Board in 2010 that "the representer [HKSHCL] acted as a custodian of public resources for the benefit of the public. The land within the representation site [the site of THS Estate] was a public resource to meet the housing need of low-income group...", and the Government granted the present site at a concessionary rate in 1961 for the development of THS Estate and stipulated in the land lease that HKSHCL should build flats on the site for letting to persons with low income, whether the authorities have assessed (i) if HKSHCL possesses the skills, capabilities and statutory authority required for developing subsidised sale flats as HA and HKHS (the two organisations responsible for providing subsidised housing) do, (ii) if the proposed practice of providing cash compensation to residents of THS Estate is in line with the established practices of HA and HKHS, and if such practice is in the best interests of those residents, and (iii) if the development of subsidised sale flats will violate the lease terms of the site of THS Estate; if the assessment outcome is that it will violate the lease terms, of the factors the authorities will take into account in considering whether to approve HKSHCL's application for lease modification; and
(4) given that as indicated in a report of the 2011 Population Census, more that 30 per cent of residents in THS Estate are elderly people aged above 65, and the residents of the Estate have clearly expressed their wish for the Government to step in by participating in the redevelopment of the Estate, and have requested the Government to offer in-situ rehousing to the affected residents by rehousing them in the PRH units either in the original district or in the original estate, as well as give them the concession of having priority to buy HOS flats, whether the authorities have formulated plans to respond to the aspirations of the residents; whether the authorities will repossess the site of THS Estate by invoking the relevant lease terms of the site of the Estate, rehouse the residents of THS Estate by following the practices adopted by HA for rehousing residents affected by PRH redevelopment, and reserve the site for PRH development; if they will not, of the reasons for that?
Reply:
President,
With inputs from the Development Bureau, my reply to the Hon Frederick Fung's question is as follows.
For some low and middle-income families, Home Ownership Scheme (HOS) flats and other forms of subsidised sale flats often serve as their first step of home ownership. As the Chief Executive stated in the 2015 Policy Address, there is a marked increase in demand from low and middle-income families for HOS flats or other subsidised flats. The Government will actively explore ways to increase the supply of subsidised sale flats through a multi-pronged approach by engaging public or non-profit-making organisations including the Hong Kong Housing Authority (HA), the Hong Kong Housing Society, the Urban Renewal Authority and the Hong Kong Settlers Housing Corporation Limited (HKSHCL). By so doing, more choices and home ownership opportunities will be made available for low and middle-income families.
In respect of HKSHCL, the Government granted a parcel of land at a concessionary rate to HKSHCL in 1961 for the development of Tai Hang Sai Estate and stipulated under the land lease that HKSHCL should build on the land granted at least 1 600 flats for letting to persons of small means. As a private rental housing estate, Tai Hang Sai Estate was built and managed by HKSHCL as the lessee, and not owned or managed by the Government or HA. The redevelopment arrangements of Tai Hang Sai Estate are also determined by HKSHCL.
HKSHCL from time to time seeks the Government's views on its ideas to redevelop Tai Hang Sai Estate, including whether its ideas comply with the planning requirements and lease conditions of the lot concerned. As far as the Government understands, HKSHCL is still considering various feasible options to redevelop Tai Hang Sai Estate on its own. At present, HKSHCL has no intention to surrender the land on which Tai Hang Sai Estate stands to the Government. Upon the submission of a more concrete proposal by HKSHCL, the Government will consider matters relating to compliance with planning requirements and modification of lease conditions of the lot concerned according to the applicable policies. At present, the Government has no plan to resume the land concerned.
As the redeveloper, in examining various redevelopment proposals, HKSHCL should continue to cater for the housing needs of the residents of Tai Hang Sai Estate and to properly rehouse them. Currently, the number of people awaiting allocation of HA's public rental housing (PRH) flats is large and is continuously increasing. The demand for HOS flats is also keen. From the policy perspective, HA cannot substitute HKSHCL in rehousing residents affected by its redevelopment plan. Otherwise, it would be unfair to other PRH and HOS applicants.
In accordance with the current mechanism, Tai Hang Sai Estate tenants who have the need to reside in HA's PRH flats and satisfy the eligibility criteria may submit applications and wait for PRH allocation according to their priority. Tenants who have imminent needs to reside in PRH flats on health and social grounds can apply for "Compassionate Rehousing" through recommendation by the Social Welfare Department.
Ends/Wednesday, April 29, 2015
Issued at HKT 13:17
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