Housing Bureau

In the past year, we have been working on 75 pledges, of which:

The following sets out the detailed report for each main programme area.

Public Rental Housing

Year Pledge Present Position
Action Completed
1996 1. To complete by the end of 1996 the clearance of the remaining Temporary Housing Areas (THAs) built before 1984. All the 14 pre-1984 THAs were cleared.
1996 2. To provide a total of five Housing Information Centres in districts where there are substantial numbers of elderly people living in old tenement buildings by the end of 1996-97. These centres provide easy access to information on public housing, particularly for elderly people living in inadequate private sector accommodation. Five Housing Information Centres were set up in Hung Hom, Wan Chai, Tsuen Wan, Yau Ma Tei and Shamshuipo.
1996 3. In 1996-97, we will identify more older public rental blocks in the urban fringe area for potential use as interim housing. Conversion work for Block 11 of Shek Lei Estate into interim housing was completed, while work for Block 10 of Shek Lei Estate is in progress. For more effective use of land, we shall introduce new Vertical Interim Housing as a new form of interim housing, and no further old rental blocks will be converted to Interim Housing at this stage.
1996 4. In 1996-97, to spend $4 billion on maintenance and repair work in public rental housing estates, as well as the refurbishment of vacant flats prior to reallocation. We spent $4 billion on maintenance of public housing estates and renovation of vacant flats in 1996-97.
1996 5. To require better-off tenants to pay market rent for the public rental housing flats they occupy from April 1997. All tenants whose incomes/assets exceeded the prescribed limits or who opted not to declare their incomes/assets were required to pay market rent from April 1997.
1996 6. To publish in October 1996 a document entitled "Knowing Your Rights and Responsibilities" setting out the range of services provided by the Housing Authority and clients' reciprocal obligation to observe the rules and regulations of the Housing Authority. Rights of complaint and appeal, and access to public housing information and personal data will also be included. The document entitled "Knowing Your Rights and Responsibilities" was published in October 1996 and 1.4 million copies were distributed.
1996 7. To assess the result of a pilot scheme introduced in early 1996 to privatise the management of three new public rental housing estates. To examine the performance of private companies, the cost-effectiveness of the scheme and reactions from tenants and staff. To consider privatising the management of all new estates from 1997 onwards and extending the scheme to existing estates if the results are favourable. The pilot scheme to privatise management of new public rental estates was successful. Management of public rental estates will continue to be privatised in future.
1996 8. To enhance safety in public rental housing estates and THAs by implementing measures by the end of 1997 to improve the adequacy of emergency vehicle accesses (EVAs) and fire services installations (FSIs). Necessary improvement works to EVAs and FSIs were carried out in all public rental estates, THAs and Home Ownership Scheme (HOS) courts.
1995 9. To complete by 1997 the installation of security facilities in all public housing estates. We will also substantially complete our programme for improving lighting in public housing estates by 1997. Improvements were completed in all the 931 targeted blocks. The improvement of lighting in public rental estates was implemented together with the installation of security facilities.
1995 10. To launch a publicity campaign to advertise existing priority housing schemes for senior citizens and to encourage those eligible to apply for public housing. The publicity campaign was carried out in December 1996.
1995 11. To minimise the number of vacant flats in public rental housing by reducing the turn-around time for each flat from an average of four months to less than three months. Average turn-around time was reduced to less than three months.
1995 12. To minimise the number of vacant flats in public rental housing by revising procedures for inspection and taking over new flats from project managers. Streamlined procedures for the completion and inspection of flats in building contracts were adopted to minimise the number of vacant flats.
1993 13. To clear by 1997 the backlog of around 4?00 elderly single people on the Housing Authority's 1993 waiting list. We rehoused all the 4?76 elderly single persons on the Housing Authority's 1993 waiting list.
1992 14. To rehouse by 1997 almost three-quarters of our temporary housing population as at October 1992. The target population of 49?00 persons were rehoused.
Action in Progress: On Schedule
1996 15. To make at least one offer of rehousing to all those who were living in THAs in September 1995 by the end of 1997. In the past 12 months, we made at least one offer of rehousing to 8?00 persons living in THAs in 1995, bringing the total number of THA residents in 1995 given at least one offer of rehousing to 37?00 (or 97% of the total).
1996 16. To introduce amendments to the Housing Ordinance in 1997 to increase sanctions against the false declaration of income and assets. The amendments were introduced into the Legislative Council in April 1997. As some of the issues were not resolved at the Bills Committee, the Bill was allowed to lapse. We hope to introduce the amendments again into the SAR Provisional Legislative Council in the 1997-98 session.
1996 17. In 1997, to work proactively with other departments involved in public housing production to ensure quick and responsive action to achieve public housing targets. We reviewed the housing production process and examined measures to streamline relevant planning work. New approval procedures have been proposed to streamline the planning and construction process.
1995 18. To take action to relieve overcrowding in public housing estates. In the coming three years, we will rehouse at least 24?00 families with living space now below 5.5 square metres per person. In 1996-97, we will rehouse about 8?00 such families. We rehoused 8?00 overcrowded families over the past 12 months.
1995 19. To work towards the extension of the Estate Management Advisory Committee (EMAC) Scheme to all public rental estates by 1997. The scheme was extended to 149 estates, or 90% of all public rental estates in Hong Kong.
1995 20. To reduce by 2001 the average waiting time for a public rental flat for eligible applicants from seven to under five years. In the past 12 months, we provided rental flats to over 9?00 waiting list applicants. The average waiting time was approximately 6?years.
1995 21. To implement a fast-track programme to produce nearly 10?00 new public rental and HOS flats by 1998 on sites in or adjacent to existing housing estates. Work was completed on 3 projects (involving about 2 000 flats) and started on 18 other projects (involving 7 300 flats).
1995 22. To provide by 1997 decent accommodation for all elderly people currently living in bedspace apartments. We are continuing to rehouse elderly persons to public rental housing through the waiting list, compassionate rehousing and welfare institutions. Since 1995, about 450 elderly people living in bedspace apartments have been rehoused.
1995 23. To provide new types of housing for the elderly from 1997. We will also upgrade the Housing for Senior Citizens flats by improving the flat design and providing more living space. We completed designs of two new types of Housing for Senior Citizens flat, one in small household blocks, and the other above carparks or podiums. We have also completed designs to upgrade standard facilities for housing for senior citizens.
1995 24. To replace fresh water pipes in 450 public housing blocks (200?00 flats) with non-ferrous piping (at a cost of $755 million) over the next three years. Water pipes were replaced in 70 further blocks in the past 12 months, bringing the total number of blocks with replaced pipes to 95.
1995 25. To detect and remedy as soon as practicable all structural defects, particularly in older housing blocks. Over the next five years, to implement a Special Repair Programme for about 230 blocks of older public rental housing intended for redevelopment (at a cost of about $1 billion). We inspected 86?00 flats (or 85% of total number of older public rental flats intended for redevelopment), and repaired 33?00 of these flats.
1994 26. To build 141?00 new public rental flats before April 2001. In 1996-97, to build over 18 000 public rental flats; and to renovate about 13 600 flats for reallocation. We built 20 100 new rental flats in 1996-97. A total of 60?09 flats were completed since April 1994. We also renovated over 19?00 flats for reallocation in 1996-97.
1994 27. To build an additional 22?00 flats for the elderly on five new urban sites and in a number of existing public housing estates over the next four years. In the past 12 months, we built about 7 000 flats for the elderly. We will meet the overall target by 1998-99.
1993 28. To tackle urgently the problem of some 27?00 elderly people living in sub-standard accommodation but who are not on the Housing Authority's waiting list. Since 1 October 1993, over 20 400 elderly persons registered on the waiting list.
Action in Progress: A Pledge to Catch Up
1996 29. To maintain progress in redeveloping our older public housing blocks. In 1996-97, to redevelop nearly 22?00 flats, including 7?00 non-self-contained flats. We aim to redevelop all non-self-contained flats before 2001 and to complete the programme by 2005. In 1996-97, we redeveloped 30 old blocks (14?00 flats) including 16 non-self-contained ones (3?00 flats). This falls short of our target by 27 blocks (7?00 flats) which was due to the delay in completion of a few estates. We expect to catch up in 1997-98 when the estates are completed. Up to September 1997, we completed 59% of the total programme, including 66% of the non-self-contained blocks.
On-going Commitments
1996 30. To give better-off tenants priority in the purchase of subsidised home ownership flats in order to encourage them to vacate their public rental flats for use by more needy families. This measure will take effect when the next phase of HOS flats is ready for sale. Over 1?00 better-off tenants purchased HOS flats in the most recent phases (18C and 19A) of the Scheme.
1995 31. To minimise the number of vacant flats in public rental housing by speeding up the allocation of new flats to waiting list applicants. In the past 12 months, 92% of new flats designated for Waiting List applicants were allocated within three weeks of completion.
1995 32. To minimise the number of vacant flats in public rental housing by allocating in advance flats under refurbishment to avoid delays in occupation. In the past 12 months, 64% of the flats were offered to applicants in advance.
1995 33. To minimise the number of vacant flats in public rental housing by allowing tenants eligible for rehousing as a result of redevelopment of rental estates to select flats before construction is completed. A pilot scheme to allow redevelopment tenants to select flats in advance of completion was successful. 80% of new flats allocated to tenants rehoused in redevelopment exercises or clearances of temporary housing areas and squatter areas are now selected in advance of completion.
1995 34. To minimise the number of vacant flats in public rental housing by ensuring that tenants will be able to move into new flats within three weeks after physical completion of the building. The 30 new blocks completed in the past 12 months were all ready for occupation within three weeks of completion.
1995 35. To ensure that repairs and maintenance are carried out promptly in response to requests from public housing tenants. Estate management staff to visit every public rental flat in the territory, irrespective of age, at least once every 18 months. 165 public rental estates have adopted the Maintenance Information and Infrastructure Support System to monitor tenants' requests for repair and maintenance. Over 90% of simple repair work is now completed within 14 days. Separately, estate management staff completed a first round of visits to all rental flats from October 1995 to March 1997. They have now embarked on a second round.
1995 36. Housing Authority to develop new designs of temporary accommodation which will provide more space and better quality living and will gradually replace the existing type of temporary housing. Construction of the Sha Kok Mei prefabricated interim housing scheme is nearing completion, while work on the second project at Long Bin has commenced. Separately two sites for Vertical Interim Housing were identified.
1995 37. To improve co-ordination between government departments and bureaux to deal effectively and flexibly with emergency clearances of squatter areas resulting from poor weather or dangerous slope conditions. We are continuing to improve co-ordination between government departments and bureaux.
1993 38. To give priority to the elderly who apply for public housing. In the past 12 months, the following numbers of elderly single persons were allocated rental housing :

?1?90 in groups of two or more;

?1?70 as singletons; and

?1?80 with families.


Subsidised Home Ownership

Year Pledge Present Position
Action Completed
1996 1. In 1997-98, to introduce legislation to relax the resale restriction on HOS and Private Sector Participation Scheme (PSPS) flats. This measure will help to increase market turnover to meet housing demand and free public rental housing flats for reallocation to those in genuine need. Legislative amendments to relax the resale restrictions on HOS and PSPS flats were enacted, and the secondary market for HOS/PSPS flats came into operation on 5 June 1997.
1996 2. In 1997-98, to meet the aspirations of more middle-income families for home ownership by raising the Sandwich Class Housing Scheme (SCHS) income limit from $50,000 to $60,000 a month. We increased the SCHS income limit from $50,000 to $60,000 a month in December 1996.
1995 3. To examine ways to make HOS and PSPS flats more affordable to eligible households. The maximum mortgage repayment period for HOS/PSPS flats was extended from 20 to 25 years. Increased flexibility was provided in relation to the interval between mortgage instalment repayments.
1995 4. To improve the design and building quality of new HOS flats. This will provide a wider choice of flats to suit the needs and preferences of individual households. The first batch of new design blocks, the Concord Blocks, is under construction.
1995 5. To ensure that all flats built under the PSPS are of a high quality by imposing higher standards on developers and tighter monitoring and control of their performance. The Conditions of Sale were tightened up and implemented in new PSPS developments. A new objective- weighted scoring system was adopted in July 1997 in assessing future tenders.
1995 6. In addition to the 20?00 SCHS flats already scheduled for completion by 2001, we will identify land and make funds available to the Housing Society to enable another 10?00 flats to be built in the next eight years. 13 sites for the construction of 12?00 flats were granted to the Housing Society. Another 17 potential sites for building 18?00 flats have been identified. Loans for paying land premium will be made available to the Housing Society as and when required.
Action in Progress: On Schedule
1996 7. To provide land for the Housing Authority and the Housing Society to produce a total of over 150?00 flats by 2001 under the HOS, PSPS and Flats For Sale Scheme (FFSS). In 1996-97, to complete about 17?00 flats under these schemes. In 1996-97, about 17?00 flats under the HOS, PSPS and FFSS were completed.
1996 8. In 1997-98, to consider a new Elderly Citizens Housing Scheme, together with the Housing Society, to build small flats in urban areas for sale or lease to the elderly. We identified two sites for a pilot scheme which will provide a total of about 500 flats by 2001.
1996 9. In 1997-98, to promote home ownership and complement efforts to release public rental housing flats for those in genuine need by considering permitting the sale of SCHS flats to public housing tenants who meet the normal eligibility criteria. Proposals were included in the Long Term Housing Strategy (LTHS) Review Consultative Document issued in January 1997. Public comments will be taken into consideration in reaching a decision on the way forward.
1995 10. To examine ways to make it easier for tenants of public rental flats to own their own homes, including the option of selling public rental flats to existing tenants. Proposals have been included in the LTHS Review Consultative Document, issued in January 1997. Public comments will be taken into consideration in reaching a decision on the way forward.
1995 11. To introduce a new incentive scheme to encourage tenants affected by the Housing Authority's redevelopment programme to opt for home ownership. Proposals were included in the LTHS Review Consultative Document, issued in January 1997. Public comments will be taken into consideration in reaching a decision on the way forward.
1995 12. To provide over 175?00 flats for sale in the public sector (151?00 HOS/PSPS and 24?00 SCHS flats) before April 2001. In the past 12 months, we sold over 15 600 HOS/ PSPS flats, bringing the total of such flats sold since 1994 to over 50 000. Since 1994, 5 954 SCHS flats have been sold.
Action in Progress: Under Review
1996 13. In 1997-98, to consider with the Housing Society the feasibility of a further scheme to build specially-designed flats for non-elderly singletons and two-person households. The LTHS Review recommended that the Housing Authority should increase the supply of small public rental flats to meet demand. If this proposal is accepted, the Housing Society should instead concentrate its resources on other projects.
On-going Commitments
1995 14. To examine ways to increase significantly our production of HOS flats. We identified 1?06 rental flats for transfer to HOS for sale. Other transfer blocks were also identified.
1992 15. Just under 60% of families will own their own homes by 1997. Home ownership rate as at September 1997 was 52%. We are considering further measures to increase the home ownership rate to 70% by 2007 as announced by the Chief Executive.


Financial Assistance to Home Buyers

Year Pledge Present Position
Action Completed
1996 1. In 1997, we will assist more middle-income families by launching a further phase of the Sandwich Class Housing Loan Scheme administered by the Housing Society. A sum of $1.38 billion has been allocated to help another 3?00 families to buy their own homes under the Sandwich Class Housing Loan Scheme. Another phase of the Scheme was launched in September 1997.
1995 2. To help over 4?00 middle-income families to buy their own homes by providing low-interest loans totalling $2illion under the Sandwich Class Housing Loan Scheme. In 1996-97, to provide about $470 million in loans to 800 families under the Sandwich Class Housing Loan Scheme. In 1996-97, loans amounting to $477 million were made to assist 800 families under the Scheme. So far, 4?00 families have benefited from the Scheme.
Action in Progress: On Schedule
1995 3. To help about 6?00 families to buy their own homes by providing interest-free loans totalling some $2 billion over the next two years under the Housing Authority's Home Purchase Loan Scheme (or a total of $4 billion for 12?00 families over the six-year period up to April 2001). In 1996-97, to increase the provision of interest-free loans and subsidies under the Housing Authority's Home Purchase Loan Scheme to help 7?00 families buy their own homes. Since October 1995, about 10?00 families were granted interest-free loans/subsidies totalling over $5 billion under the Home Purchase Loan Scheme. In 1996-97, interest-free loans and subsidies were provided to 7 000 families under the Scheme.


Private Sector Housing

Year Pledge Present Position
Action Completed
1996 1. To bring into effect in late 1996 the Estate Agents Bill which was introduced in November 1995 to regulate estate agents and protect home purchasers. The Estate Agents Ordinance was enacted in May 1997 and brought into effect in August 1997. The Estate Agents Authority will be established in October 1997.
1996 2. To introduce in late 1996 a housing information system to integrate the latest housing-related information from various departments into a comprehensive central database, including information on the private sector. The system will greatly assist in the formulation and review of housing policies and targets. The system became fully operational in July 1997.
1994 3. To facilitate the production of 195?00 private housing flats between April 1995 and March 2001. We disposed of sufficient sites to enable the target production of 195?00 private flats to be produced before April 2001.
1994 4. To set up a project monitoring system and a land inventory system in order to forecast housing supply more accurately and find sites for housing more easily. The inhouse flat production forecast model is operational.
1994 5. To grant an extra 70 hectares of land for housing before 1997-98, subject, where appropriate, to the agreement of the Sino-British Land Commission. A total of over 70 hectares of additional land which will produce about 47?00 public and private flats was disposed of.
1994 6. To produce more accurate forecasts on the supply of new flats from redevelopment after completing a comprehensive assessment of the redevelopment potential of the older urban areas at a cost of $8 million. A computerised database of potential redevelopment sites was established and areas with redevelopment potential were identified.
Action in Progress: On Schedule
1996 7. To introduce a new service in 1997 to facilitate access to property-related information by the public and estate agents. Vetting of the tender document of the proposed infoline service by the Office of the Telecommunication Authority was completed. The service will be introduced by the Rating and Valuation Department before the end of 1997.
Action in Progress: Behind Schedule
1996 8. To enhance the protection of home buyers' interests in 1997 by introducing legislation to ensure that developers provide accurate information about uncompleted residential flats in sales brochures. Drafting of the proposed legislation is underway. The legislation cannot be introduced into the legislature in 1997 because it is not considered an essential item.
1996 9. To introduce amendments to the Landlord and Tenant (Consolidation) Ordinance in 1997 to simplify the procedures for renewing private tenancies and increase the penalties for unlawful eviction and harassment. Drafting of the proposed legislation is underway. The legislation cannot be introduced into the legislature in 1997 because it is not considered an essential item.
On-going Commitments
1994 10. To invest $8 billion over the next five years to speed up the formation of land and the development of infrastructure for housing. In 1996-97, to spend about $270 million on this. Cumulative expenditure up to March 1997 is about $210 million. It is estimated that the total expenditure by March 2001 on all projects already identified will be around $8.5 billion.
1994 11. To continue to monitor closely the residential property market with the objective of maintaining an orderly market and to guard against any revival of speculation. Measures were introduced in January and March 1997 to increase flat supply and dampen speculation. In particular, the pre-sale period of private residential flats was extended from 12 months to 15 months, and that of subsidised home ownership flats and Sandwich Class Housing flats from 12 ?18 months to 24 months before the estimated date of completion of the development. We also required property developers to put onto the market all flats for pre-sale within six months of the date of consent given and to put a reasonable quantity of flats onto the market for each batch for pre-sale.

We will continue to monitor the residential property market closely and will take appropriate action as necessary.
1992 12. To continue to work with the private sector to maximise the supply of competitively-priced private flats. We continue to encourage private developers to bring to our attention major projects (each of 200 or more flats) which can benefit from fast-tracking by the Housing Project Action Team chaired by the Secretary for Housing.

Regular meetings are held with organisations and companies to exchange views on housing supply and related issues.


Long Term Housing Strategy

Year Pledge Present Position
Action Completed
1996 1. To issue a public consultation document in late 1996 on the conclusions蟵nd recommendations arising from the LTHS Review. The consultative document was issued in January 1997 for consultation until the end of May 1997.
1996 2. To monitor changes to the estimate of flat requirement (390?00 for the period between 2001 and 2006) arising from the LTHS Review by using the model produced by the Working Group on Housing Demand. An updated housing demand forecast was finalised taking into account existing policy and the latest statistics.
Action in Progress: On Schedule
1996 3. To monitor the implementation of the final decisions arising from the LTHS Review by establishing in 1997 an advisory committee to advise the Secretary for Housing on these matters. Proposed membership and terms of reference are being considered.
1996 4. To find ways of maximising the development potential of scarce land resources suitable for residential purposes. Proposals in the LTHS Review Consultative Document are being developed in consultation with policy bureaux and departments.
On-going Commitments
1996 5. To ensure a steady and adequate supply of land each year to the Housing Authority, the Housing Society and private developers. Various initiatives in the LTHS Review Consultative Document are being developed in consultation with relevant policy bureaux and departments.
1996 6. To maintain administrative flexibility to shorten the lead-time between planning and completion of flats by streamlining administrative procedures. To continue to apply our standards and guidelines with some flexibility so as to achieve a proper balance between the different aspirations of the community. Various initiatives, including some in the LTHS Review Consultative Document, are being developed by the Steering Committee on Land Supply for Housing.


Preparing For The Transition

Year Pledge Present Position
Action Completed
1995 1. To take into account the projected number of new immigrants from China in forecasting housing demand. Our housing demand forecast, takes into account new immigration statistics.


Progress Report