The Land Development Corporation (LDC) will save $3 billion in rehousing costs with the granting of three sites to house people made homeless by its projects.
The announcement was part of a package of measures announced by the Government yesterday to speed urban renewal, including the creation of an independent Urban Renewal Authority to manage the development process.
The Government agreed to grant three sites at one-third of their market value to the Housing Society to build 2,000 flats.
Corporation chairman Lau Wah-sum said it would pay the land and construction costs of the sites and the Housing Society would build and manage the premises.
'It will relieve the LDC's financial burden to rehouse the affected people and we can direct the saved amount for resettlement to finance more renewal projects,' he said.
This would allow the corporation to go ahead more quickly with projects held up by the shortage of rehousing space.
Mr Lau said the Government had not said where the sites were.
