Opinion | Boosting Hong Kong’s housing supply must not come at the expense of subdivided flat residents
- The government’s proposal to lower the threshold that would trigger the compulsory sale of old buildings would affect a large number of subdivided flat residents
- A progressive approach would allow time to find a balance between the need for redevelopment, the property interests of minority owners, and the concerns of tenants
While subdivided flats are not a long-term viable solution, they currently serve as a lifeline to residents who otherwise would not be able to afford housing in urban districts where they work, have family or send children to school. Many have also been on the public housing waiting list for over five years. Left unchecked, being evicted from their current homes may lead to great difficulty re-establishing their lives in distant corners of Hong Kong.
Under the current provisions for compulsory sale of a building, parties with an 80 per cent share in a building can force the remaining owners to sell their units for redevelopment. The changes being considered would lower this threshold to 70 per cent for buildings over 50 years old, and to 60 per cent for buildings over 70 years old.
There is no doubt that bringing old and dilapidated buildings up to modern standards can benefit the community. At the end of 2019, there were 35,700 private residential buildings in Hong Kong, including 6,996 over the age of 50 and 5,255 dilapidated “three nil” buildings, that is, those that lack an owners’ corporation, any form of residents’ organisation, or property management company.