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Profit-share scheme for flat owners

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SCMP Reporter

A PROFIT-SHARING scheme is to be implemented for property owners affected by Land Development Corporation projects.

A flat-for-flat exchange option also will be offered to affected owners in addition to more cash compensation.

The new options have been worked out to speed up property acquisitions in the face of growing resistance from residents over compensation terms.

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Under the proposed scheme, those who choose to take part in corporation redevelopments are required to surrender their units as an investment.

After the project is completed and the new properties sold, the participants would share corporation profits in proportion to their initial investment.

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The owners' participation scheme would apply to both residential and commercial property, but the flat-for-flat option would be offered only to domestic households, corporation chairman Mr Steven Poon Kwok-lim said yesterday.

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