The Private Subsidised Sale Flat Pilot Scheme is aimed at boosting public-private partnership for affordable housing through a public tendering approach involving three Government sites; and a private land approach to rezoning of private land.
An initiative introduced in the 2022 Policy Address, the approval of its policy framework by the Chief Executive in Council in June 2023 has outlined key parameters on pricing; land premium; flat size; quality assurance; eligibility criteria of buyers; among others.
Read:
- Ada Fung, Former Deputy Director of Housing, Hong Kong Housing Authority
- Winnie Ho, Secretary for Housing, the Government of the Hong Kong SAR
- Policy Address 2022 to Boost Quantity, Speed, Efficiency and Quality of Housing Supply
Fixed discount rate for the sale price of private subsidised sale flats (SSFs) is set at 35 per cent of the market price. Under the public tendering approach, a reserve price will be determined based on this discount rate. The tenders, to open by end-2023 for a formed site in Tung Chung Area 122 and in the first quarter of 2024 for an unformed plot in Cheung Man Road, Chai Wan, are estimated to roll out 1,600 flats and 700 flats each, while options for the third parcel are under review.
All units built under the pilot scheme must comply with the minimum saleable area (SA) of 26 square metres for land sale sites. In addition, at least 70 per cent of the flats should be no smaller than 34.8 square metres in SA. Being positioned as private development, the authorities will not buy back any unsold units to incentivise quality. To this end, the employment of an independent checker by developers to conduct final inspection of building works is also made mandatory.
The eligibility criteria and alienation restrictions concerning selection of buyers will follow those under the prevailing Home Ownership Scheme (HOS) and housing policy. Minor modification to assist target groups under the private land approach is subject to consideration by the Secretary for Housing on a case-by-case basis.
For details on the key parameters, please refer here. —Construction+ Online
Source: The Government of the Hong Kong Special Administrative Region
