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Long Term Ho
Building Consensu
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TABLE OF CONTENTS
FOREWORD
EXECUTIVE SUMMARY
CHAPTER1 BACKGROUND
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MEASURES TO MAXIMIZE
RENTAL HOUSING RESOUR
Latest Position of the P
CHAPTER6
Review of Public Rent
ROLE OF VARIOUS HOUSINCHAPTER7
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ANNEXES
ANNEXA Membership of the Long
Committee
ANNEXB Membership of the Long
Group
ANNEXC Key Initiatives to Impr
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Hong Kong used to have
in. The resettlement housing and
1960s, and the public housing pro
improved the living condition of m
extensive urban land previously oc
the development of new towns. T
for the social and economic devel
about a virtuous cycle of upward so
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multi-pronged approach to resolve
of priority. It aims to break throu
way for a new chapter in housing d
Entitled Building Co
consultation document seeks to b
adequate and affordable housing
Kong public rental housing (P
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prevailing policies and changes in
conditions. At present, the Stee
total housing supply should rang
the next ten years, and that the m
adopted as the supply target.
takes time to make new land availa
a great challenge for the Governm
every opportunity to increase hous
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actions against illegal SDUs whic
safety regulations. It also propo
licensing or registration system t
suggestion that transitional housin
vacant sites for the inadequately
subject to constraints in terms of
and relevant support in transport
with regard to the actual circumstan
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facilities and public space is v
environment. A balanced and h
adopted for the development of new
industrial, commercial and comm
employment opportunities so as to
traffic. Furthermore, in dealing
should not confine ourselves to a
should also consider how to pro
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EXECUTIVE SUMMARY
An Overview of our Housing Pro
Housing tops the list of l
concern, and is widely recognized a
The Government formed the Lon
Committee (the Steering Commi
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The Vision for Our Long Term H
3. According to the 2013 Phousing policy objectives are to: (a
public housing to meet their basic h
choose accommodation according
circumstances, and encourage those
own homes; (c) provide subsidized
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6. Taking into account all thenet increase in the number of ho
displaced by redevelopment, house
and other factors (such as non-loca
Hong Kong who may purchase flats
to the market etc.), the estimated
projection period from 2013-14 to
420 150 units to 479 250 units, with
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The Elderly
10. The Hong Kong Housing Alow-income elderly, and addresses
such as adopting universal design pr
The Steering Committee recommen
provide affordable rental housing
elderly people, and to continue to
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14. The Steering Committee reenhanced by increasing the annual PQPS. The Steering Committee
points to applicants above the age o
40 and then over 35 with a view to
PRH. The Steering Committee als
given to setting out a roadmap to
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17. The Steering Committee strengthened the inspection and
buildings. As for SDUs in domGovernment has taken enforcem
Ordinance (Cap. 123). The Steerin
to further step up its enforcement ac
considers that the introduction of
system for SDUs in domestic and c
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would be difficult to allocate top pr
for the time being. Nevertheless,
that the Government should instill iin the future by demonstrating its de
housing problem, and establish a
promotes upward mobility. Given
for upward mobility (especially tho
education), increasing the supply of
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(a) Relaunching the Home Staacute housing supply situ
scheme will only be counprices, and thus should not
(b) relaunching the TenantGovernment should not re
to tenants will inevitably a
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were aged 35 or below, nearly
education attainment. Since those
would most likely earn an income egraduation, and as the limited P
reserved for people with relativel
Steering Committee recommends
review the income and assets of QP
reviews with a view to removing ap
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28. The number of overcrowdebut has dropped to 3 200 as at Mar
appreciates the HAs efforts to imtenants by providing transfer oppor
The Steering Committee considers
relax the existing overcrowding
conditions of existing PRH hous
limited PRH resources at the expens
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Hong Kong Housing Society
32. The mission of the HS is tocommunity in housing and related se
HS has been involved in various
provision of public rental units and
projects. It has also taken on the
out innovative housing schemes, inc
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community concerns, but at the sam
and serious land supply problem
Government has secured sufficient lhousing demand in the next three to
challenges in the medium and lon
target recommended by the Stee
community cannot reach consensus
long term housing supply in Hong K
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decade, or three new towns roughly
Bearing in mind past experience in w
new town development because tooresidential development, the Steerin
towns in future should generall
communities and in an integrated m
to flourish. It also considers that th
consider relocating some non-resid
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43. Please send us your viewsfacsimile on or before 2 December 2
By email : [email protected]
By post : Secretariat, L
Steering Com
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Chapter 1
BACKGROUND
1.1 Housing tops the list of lconcern, and is widely
stable society. As clear
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The Steering Commi
inter-departmental Wor
Permanent Secretary for The membership lists of
Working Group are set
respectively.
1 3 The Steering Committee
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three-month period from
The objective of the surv
SDUs in the territory aprofile of tenants living th
Steering Committee with
its assessment on the lon
Kong. The report of th
Hong Kong is availabl
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Chapter 2
AN OVERVIEW OF OURHOU
2.1 This Chapter reviews thehousing policy and gives asituation.
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ownership rate had increas
in 1971 to about 52% in 19
in the private housing matowards wealth creation.
was mounting concern abo
community as prices reach
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Tenants Purchase Scheme
The TPS was launched in 1998
buy their units at a significant prices of TPS flats are set Replacement Cost, under which current cost of replacing it, with aand other relevant factors. On further discount from the list pric
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maintaining that the overarfor families in need should
of HOS flats ceased from flats was also halted. Onearlier increase in PRH target for PRH was achievthe original schedule.
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Chart 2.1 Residential property
180
200
220
Index (1999 = 100)
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a bid to overcome the imreinvigorate their econom
liquidity and low interest demand for residential proinvestors. The residentiaon an almost uninterruptesoaring by 117% between2012.
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2.13 By the time the current-ter2012, Hong Kong was c
problem characterized by
(a) Severe supply-demanprivate housing botfaced the problem of leading to higher pric
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Chart 2.2 Number of residenti
ten years
26036 1732135000
40000
45000
50000
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Chart 2.3 Affordability ratio (
40%
50%
60%
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Table 2.1 Average annual gr
household, 1996 to 2
Total
Population
(Mid-yearHouseho
(From the pop
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considers that the Governpay attention to the po
implementation of policadjustments where necescircumstances.
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Chapter 3
THE VISION FOROUR
LONG TERM HOUSING STRA
Housing Policy Objectives
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The Long Term Housing Vision
3.3 The Steering Committee hadevelopment and current s
and has come to the view t
its previous housing strate
objectives. Specifically
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1 157 7001
by end Ma
44%2
of all units wit
Chart 3.1). Meanwhwere living in public
than half (46%) of
Given the current su
persistent decline in
case for the Govern
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3.4 Taking the above consideCommittee recommends
strategy (LTHS) for the cupon the vision of prov
housing to the peop
re-establishing a housing
mobility.
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situation in the housing m
built up over many year
resolve the deep-rooted supThe ultimate aim must be
management to the devel
policies which can resol
proactive and pragmatic m
overcome the challenges
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infrastructure and the actu
these challenges, the Chief
commitment to (a) increproduction target of at leas
years starting from 2018; (
four years starting from 2
annual average of 5 000
supply of housing land in
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(c) measures to maximizeto ensure that scarce
those who are genuine
(d) consideration as to whagents (including the
Authority and the priv
adequate housing to
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Chapter 4
PROJECTION OF LONG TERM H
4.1 In order to formulate the Lon
Steering Committee has rev
housing demand. This
h d l d l f
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Therefore, the Steering Com
fixed target, a range of proje
possible housing demand s
and property market situchanges in the basic housing
household formation. Fo
projection would have to be
policies on the average waitin
(PRH) or the Quota and Point
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4.7 This being the case, only th
count towards the number of n
(a) net increase in the numbe(b) those who will be displac(c) those who are inadequate
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Question 2
Do you have any views o
adopted for projecting the lon
Projection of Housing Demand
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factors including the ageing p
increasing number of one-pe
and longer life expectancy a
taken into account factors afresidents such as Hong Kon
Mainland; Type I babies (wh
residents and whose mothers
parents are both non-Hong K
Permit Holders settling in H
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vacancy rate would be 1% poi
4.15 The results of the economet
number of household formato 316 050, depending on
market situations. This rep
domestic household projecti
ten-year projection period (o
Steering Committee agrees
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Table 4.1 New housing deman
redevelopment
Redevelopment progra
(i) Redevelopment of PRH4The HAs redevelopment of Pak Tin E
The HAs interim housing units to be
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(c) Inadequately Housed Households
4.17 As the objective of the projec
to estimate the number of u
adequate accommodation in H
currently inadequately housed
housing units, either in publi
widely accepted definition
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cubicles, bedspaces and c
buildings). Following the
these households should be
households (IHHs).
4.20 With regard to households
according to the results of the
Kong (SDU Survey) commi
is estimated that there are a t
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comprehensive survey and is
Survey (i.e. 7 900 households
conservative approach and
Population Census (i.e. 11 100the SDU Survey (i.e. 7 90
projecting housing demand.
4.23 For the figures in paragraph 4
not available in the 2011 Po
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Table 4.2 Estimated number
Category of IHH
(i) Households living in units
of temporary structures (e.
squatters and roof-top struc
(ii) Households living in non r
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Question 3
Do you have any views on
inadequately housed?
(d)Miscellaneous
4 26 A f h b i
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students per year needing
the private housing ma
average two non-local st
the estimated housing deyear; and
(c) apart from the demand fr
some buyers from outsid
but without channelling
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Gross Total Housing Demand and To
4.29 In gist, it is estimated that the
households in the projection pof 316 050 and 271 950 re
displaced by redevelopment,
46 300 households displaced
period. On IHHs, it is estim
Kong is 74 900 As for the
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average vacancy rate in the pr
5.2%) as the basis for estima
of gross total housing demand
situation of private flats, we pthe next ten years should ra
units, with a proposed
(mid-point). Details are sum
Ch t 4 1 G t t l h i
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4.32 The Steering Committee cons
needs one adequate housing
housing need is satisfied by
(regardless of whether it is PRlonger need another unit in
Within the public housing se
part of the demand for privat
Home Ownership Scheme (H
the Governments housing po
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4.35 Taking into account the abov
the limitations of the pro
Committee further recomm
demand projection be updain policies or circumstances
deriving an appropriate hou
Question 5
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Chapter 5
HOUSING NEEDS OFSPECIFIC GROUPS IN THE C
5.1 Given limited land and ho
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Table 5.1 Change in ag
Age Group2001
0-14 16.5%
15-24 13.7%
25-44 36.8%
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Housing Schemes for the Elderly
Single Elderly Persons Priority
priority processing over the ap
would be accorded to elderly o
wish to live alone. The elderly
age or above, and must have atta
flat allocation The HAs curren
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physiotherapist. These m
by and large, the mobilit
within the estates are more
5.6 In terms of the provision facilities for the elderly, pu
consultation with relevan
Welfare Department (SW
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payment thereafter. Duri
to pay management fees
management and basic car
optional services provided
basis. The two SEN dev
and Jordan Valley respecti
flats. The Joyous Living
designed for elderly aged
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Unless private elderly
and operated on a
developers own resou
a drain on land resourc
for the development
potential costs involve
scarce land resources,
that there is a need to
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and meals delivery serv
population, the Steering Co
and Welfare Bureau to c
such services can be furthe
5.11 In addition, the Steering Kong Planning Standards
certain guidelines on the
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Question 6
Should the Governme
development of elderly hohigh-income elderly as
community? If so, what so
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5.14 Under the QPS, points arethe following three determi
(a) Age at the time of appto applicants aged 18those aged 19, six poin
(b) PRH residency : for apfamilies in PRH 30 po
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5.17 The Steering Committeerefined by increasing the
at 8% of total PRH unit
applicants, subject to a cap
the QPS, and by allocatin
age of 45 with a view to
earlier access to PRH, a
award of additional point
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Inadequately Housed Househo
5.20 The Steering Committee accorded to addressing the
regard, their housing nee
account in the long term
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5.22 Since rental is one of particularly for those living
recommends that PRH
solution for eligible hou
revealed in the SDU Surv
to live in SDUs for va
convenience of location an
space and some household
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accommodation at the Po
Affected households who h
three months and passed
fulfilling the eligibility cri
Interim Housing under th
through the WL system.
5 24 Some Steering Committ
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Question 11
What are your views on t
or landlord registrationresidential and composite
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(a) Non-owner occupiedthe cumulative increa
these households was
($21,400), while the ov
Even though the medi
households in 2011 w
households in Hong K
had risen faster than th
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5.29 On the other hand, the Semployment income of y
higher than that of the
instance, for those youngattained education level at
monthly income from ma
2011, which was higher th
$11 000 for the entire work
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5.32 As at the fourth quarterpersons or above earning
earning up to $20,000 (i.e.
flats and the HSs subsidVilla) represent some 64%
households in Hong Ko
therefore supports the Go
development of HOS a
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5.33 The Government has pledgflats in total over the four
thereafter an annual avera
batch of some 2 100 new H2016 and pre-sale is curren
Steering Committee reco
should be proactive in i
more HOS units on top
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needs, the Steering Co
minimum income/asset
applicants for future s
subsidized home ownershpeople from making home
out of their affordability, a
chance for individuals wh
buying properties with th
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purchase their own ho
Committee has come to
current acute housing
government loan schemeand have the effect of p
the then HSLS was intr
downturn and coincided
which severely undermine
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5.43 However, as rental contSteering Committee co
should be cautious. Re
imposition of statutory limincrement allowable upon
categories of residential u
measures may appear to b
the measure mainly targets
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Question 14
There are divergent views
the following schemes:
financial assistance to f
providing rent subsidy
(including control on rent
your opinion?
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Chapter 6
MEASURES TO
MAXIMIZE
PUBLIC RENTAL HOUSING R
6.1 Public rental housing (PR
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6.4 As at 30 June 2013, thapplicants and 115 600 under the QPS on the WL
applicants and elderly onand 1.5 years respectively
6.5 The Steering Committee ifaced by the HA in main
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6.8 The Steering Committee WL who are aged 35 ochance of upward mobil
registered when they werearn an income exceedgraduation. The Steerinlimited PRH resources
people with relatively
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Table 6.1 Subsidy Income Lim
from 1 April 2013
Subsidy
(with
Household SizeHouseholds
income in the f
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Table 6.2 Income and net ass
effect from 1 April 20
Household Size
Income L
(per mon
(three times theWL Income
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their names from thetenants), while leavithe PRH units.
Governments policya family to look after
(b) tightening up the Wedrive tenants to th
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example, the HA reserveseach sales exercise for Galso given priority in fl
Form applicants may puryet paid in the HOS account all the relevantMembers consider that th
be maintained, but recom
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increasing number of PRH
6.15 The existing under-occup6.3 below. Neverthelestep-by-step approach under-occupation cases w
prescribed standards, (i.eand 68 m2 for two-perso
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resources and therefore crecently endorsed by thecases, which will tak
Specifically, the prioritizone-person households wii.e. a 20% allowance under-occupation standarrevised thresholds for diff
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Question 17
What are your views on t
further enhance its undeincentives for under-occup
flats on the one hand, a
under-occupation cases on
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opportunities to overcrow
end March 2013, the ave
PRH estates was 13 m2.
that in some cases, the othe HAs offer for transfe
places of work and stud
further relax the existing
Committee considers t
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commenced in January Meter Readings Operatiosecurity guards. The HD
investigation into some 9consumption under the O2013, some 1 100 PRH fthis initiative.
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Ch t 7
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Chapter 7
ROLE OF VARIOUS HOUSING
The Private Sector
7.1 The private sector has ahousing in Hong Kong. A
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Hong Kong Housing Authority
7.6 The HA was establisheOrdinance (Cap. 283). Ithousing to meet the needs
private rental housing. public rental housing (March 2013, about 710
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of subsidized sale project(FFSS) and the Sandwich Cwell as providing various hlow to middle-income ownership. As at today, estates, and has developedthe SCHS. As at end Marwith a total population of 8
4
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role in the provision of suthe Steering Committee reshould continue to grant
latters housing projects s
Urban Renewal Authority
7.12 The URA was establish
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7.15 Apart from being an ifacilitator role under th
buildings which have mult
redevelopment. The URAto undertake related work(Pilot Scheme). Since tJuly 2011, the company hthe qualified applications h
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medium-sized flats to cater
7.18 Urban renewal is integral tof the public. The Steerithe URA be invited to ex
role in the provision o
middle-income household
of small and medium-size
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endeavours to streamline approval processes.
7.22 For instance, the Planpromulgated a Practice N4/2005, setting out guidelinenquiries and discuss therelevant government depa
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at this stage to within one the tender and constructimprovements in the constuse of pre-cast building techas already been streamlinwords, the total productseven years in the past, havyears where possible in
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2009 (i.e. after the financiaquarter of 2013, which w10.2% for the past ten yeathe other hand, based on Construction Industry Couvalue of construction wconstruction projects and 25:75 in 2007-08. In 20
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construction industry increconducted before the launcBuild Up in early 2011conducted in December 20
7.28 In the long term, the forelargely met through a thrre-training of local work
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Chapter 8
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Chapter 8
MEASURES TO INCREASE H
Overview
8.1 As mentioned in earlier problem lies with the
i id i l b ildi
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rise residential buildings o
8.4 The Steering Committeconcern about these issu
most conscious of the p
problems facing Hong K
provided sufficient land t
private housing demand f
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th
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the area.
8.8 To enhance flat productiapproval from the Town
residential development taking into account the
For example, the plot rat
Fo Tan PRH projects as w
d f h i d
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are used for housing deve
had been zoned or wer
procedures for rezoning
2013. The PlanD will
rezoning of the remaini
continue to look for othe
may have potential for re
demand in the community
ll h 13 i d
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all the 13 sites are dev
remaining three private
estimated that some 5 80
them are developed or
examining the possibility
to other uses, includi
commenced another revi
which is expected to be co
f it bl d ti
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of suitable decanting re
Pak Tin Estate was anno
The HA will achieve a
production upon redeve
Estates of about 1 700 fla
respectively.
8.15 Taking into account
h d ith l ti
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ahead with reclamation
endeavouring to keep th
marine ecology to a minim
selection criteria formu
engagement, the Civil
Department (CEDD) has
reclamation sites3
for f
provide a total of abou
M j D l A
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Major Development Areas
New Development Areas
8.21 NDAs are a major sourcterm housing needs, as w
development needs of Ho
come on stream and be
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come on stream and be
2022-23 onwards.
Review of Deserted Agricultural
Long
8.25 To make more gainful ucurrently used mainly fo
engagement commenced
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engagement commenced
21 July 2013. Accordin
the Livable Town opti
option for Tung Chung
and 33 000 residential flaWest could provide arou
entire study is anticipat
addition, the Government
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Question 22
In your opinion, how sh
balance between developm
your views on the varioussupply as set out in this ch
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Line Extension and the S
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Line Extension and the S
land parcels that were on
adjacent to the extended
potential for further deve
Committee considers thmindful of the lessons le
new towns (such as T
Owing to the developme
9 5 Notwithstanding the abo
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9.5 Notwithstanding the abo
the view that in the lo
consider relocating som
as large-scale industrial
view to releasing the devareas for housing
Committee understands t
highly complex and cons
manner members of the
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manner, members of the
accept that in order to
environment, they may
conventional urban distri
concerned, the Steeringsubject to the provision
housing (PRH) develop
Housing Authority can
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Chapter 10
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Chapter 10
SHARE YOURVIEWS
10.1 This consultation docuCommittees considerati
id f i T
(f) Question 6 : Shou
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( ) Q
support the developm
the middle and high
some in the commu
should be given? (Ch
(g) Question 7 : Wrecommendation for
(l) Question 12 : W
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( ) Q
recommendation to
each Home Owne
singletons? (Chapter
(m) Question 13 : Wrecommendation to s
for White Form appl
under-occupied hous
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p
the one hand, and
under-occupation cas
(r) Question 18 : Whpriority between allo
and further relaxin
overcrowded PRH
By email : [email protected]
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y @ g
By post : Secretariat,
Steering Co
1/F, Block 2Housing Au
33 Fat Kwo
Ho Man Tin
10.7 To safeguard data privac
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g p
which submit their views
such as residential/retu
identity card numbers,
numbers and signatures, their submissions.
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LONGTERMHOUSINGSTRAT
MEMBE
Chairman: Secretary for Transpor
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LONGTERMHOUSING S
MEM
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KEY INITIATIVES TO IMPRO
TERM HOUSING SITUATION
I. Housing and Related Land
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II. Demand-side Management
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8. In response to the continuo
property market, the Governmen
management measures on 26 Octobextend the holding period for the Sp
Buyers Stamp Duty on residentia
except for a Hong Kong Permanen
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LIST OF ABB
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AWT Average w
BD Buildings
C&SD Census an
CEDD Civil Engi
HSP Housing S
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HSP Housing S
IHH Inadequate
IFA Internal flo
Interim Scheme Extending
Market to
SDU Survey Survey on
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SDU Survey Survey on
SEN Senior Cit
SRA Policy on Housing R
SSD Special St
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LIST OF CHART
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Charts
Chart 2 1 Residential property price ind
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Table 6.1 Subsidy Income Limits under
effect from 1 April 2013
Table 6.2 Income and net assets limits u
Rational Use of Public Hous
April 2013
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