Editorial | Reduced threshold for sellers at old Hong Kong buildings must get balance right
- Redevelopment of Hong Kong’s ageing districts is to be welcomed, but feelings of those who are affected have to be respected
Legislation and the policies that come with it are essentially about balancing public good and individual interests in society. This is especially important when private property rights come up against those of the public during the course of development.
A case in point is the latest proposal to lower the threshold for redeveloping old buildings. It is important to ensure urban renewal is carried out as smoothly as possible while safeguarding the interest of homeowners.
Currently, when it comes to urban redevelopment, at least 80 per cent of owners must agree to sell a building that is 50 years old. However, as it attempts to speed up the renewal process, the Development Bureau has proposed reducing the threshold for owners wanting to sell.
Blocks between 50 and 59 years old in designated areas would only need 70 per cent of owners to agree.
A 65 per cent threshold would apply to buildings some 60 to 69 years old in designated districts, and to those aged 70 and above regardless of their location. Subject to approval by the legislature, an amendment bill may take effect as early as the first half of next year.
The number of private buildings 50 years old and above has risen from 4,500 to 9,600 over the past decade, with only 1,600 undergoing redevelopment. The Urban Renewal Authority, a statutory body, accounted for just a quarter of such projects over the past 10 years, and suffered a deficit of HK$3.5 billion in the last financial year.