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Hong Kong housing
Hong KongHong Kong Economy

Give 30 per cent of development profits to land owners to ease housing shortage, Hong Kong rural leader says

Shap Pat Heung rural committee chairman Leung Fuk-yuen says this would speed up taking back of land in New Territories for building homes

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Leung Fuk-yuen, chairman of the Shap Pat Heung rural committee, is a long-time defender of Hong Kong villagers’ interests. Photo: Jonathan Wong
Su Xinqi

The government should consider giving 30 per cent of the profits from development back to land owners to speed up land resumption in the New Territories and help ease the city’s housing shortage, a rural leader suggested on Monday.

Leung Fuk-yuen, chairman of the Shap Pat Heung rural committee, said on a radio programme: “If the government plans to develop more flats through public-private partnership, it must understand that not all land is controlled by the large developers.”

“There are other individual land owners … The government should consider giving 30 per cent of the profits from development to them … because they provide the ‘flour’ [for the bread],” he added, citing the example of mainland Chinese cities such as Guangzhou and Shenzhen that had adopted such profit-sharing models to drive redevelopment. 

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Leung, 61, known as “Uncle McDonald” for his pompadour hairstyle, is a long-time defender of Hong Kong villagers’ interests. He has chaired the Shap Pat Heung rural committee for 14 years, which ensures him a seat on the influential Heung Yee Kuk, a government-recognised advisory group representing New Territories villagers.

An aerial view of farmland in Ping Che in the New Territories. Photo: Roy Issa
An aerial view of farmland in Ping Che in the New Territories. Photo: Roy Issa
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The kuk consists of 27 rural committees, including the one chaired by Leung.

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