Authority defends level of compensation over Kwun Tong project
Homeowners affected by the Kwun Tong town centre redevelopment would be paid compensation of HK$5,937 per square foot of their flats but owners said yesterday that they wanted almost double that.
Announcing the offer yesterday, Urban Renewal Authority chairman Barry Cheung Chun-yuen dismissed owners' hopes as 'fantasy', adding that their valuation method was unprofessional.
An authority source said the acquisition price of HK$9,233 proposed by the flat owners was not based on objective valuations. According to their valuation report, the price was an average of five luxurious residential developments located in Wan Chai, Olympic, Hung Hom, Tin Hau and Tsim Sha Tsui, which the source said were hardly comparable with those in Kwun Tong.
'Income of residents living in Wan Chai is twice that of those living in Kwun Tong,' the source said. 'The luxurious apartments quoted by residents are close to parks and business districts while Kwun Tong is close to industrial sites.'
Mr Cheung said the authority's offer would be enough to buy a much better apartment in neighbouring districts, such as Galaxia in Diamond Hill and Laguna City in Lam Tin.
For example, the authority said a flat owner who was paid HK$3 million in compensation for a 520 sq ft flat would be able to buy a flat worth HK$2.4 million currently available in Laguna City. The owners would even have saved HK$600,000, Mr Cheung added.
