The Government's recent release of new guidelines on serviced apartments was welcomed by some industry participants who say it will sustain the quality of serviced apartments.
Regal Riverside Hotel's general manager, Barry Yung Sai-bun, said the Government supported the restrictions on the serviced apartments in the light of some low-quality products in the market.
Last month, the Government issued the guidelines on the definition of serviced units in a move to prevent developers building 'apartment-like' serviced flat projects.
The Government would only allow 'hotel-like' serviced flats to be built.
Under the revised definition, a serviced apartment is an establishment held under central management to provide residential accommodation with central air-conditioning.
At least 75 per cent of the units in a serviced apartment project must be furnished studios or two-room units with a small pantry or kitchenette.
The sizes of the units are expected to be between 430 square feet and 750 sq ft.