Hong Kong's old and decaying industrial buildings are expected to get a new lease of life when Chief Executive Donald Tsang Yam-kuen announces plans for the sector in his policy address today.
A key relaxation of rules on the re-use of existing industrial buildings will be announced, whereby provided basic safety and fire concerns are addressed a wide range of new uses will be permitted, said Nicholas Brooke, the chairman of property consultant Professional Property Services.
'New uses likely to be permitted will be in the area of creative industries, innovation and technology, housing for the elderly, and even starter homes; with minimum waiver fees or modification premiums likely to be levied,' he said.
The chief executive has previously signalled that the government proposes to promote six knowledge-based sectors it has identified as new engines of economic growth - medical and educational services; testing and certification; innovation and technology; and the cultural, creative and environmental sectors.
Tsang is expected to unveil measures to promote conversion and usage of run-down or under-used industrial buildings into affordable working spaces to cater for the arts as well as service-oriented industries such as testing and certification, and innovation and technology.
To smooth the way for the redevelopment of old industrial buildings, the government may lower the threshold at which a developer can enforce a compulsory buy-out of all unit owners in the target buildings from the standard acceptance rate of 90 per cent to 80 per cent.