HOUSING
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environmental standards. By the end of 1983, there were 2 250 owners' corporations in existence.
The district offices of the City and New Territories Administration offer assistance and advice to owners and tenants in forming owners' corporations and mutual aid committees. By the end of 1983, the district offices had assisted in forming a total of 5 200 such building organisations, of which 3 846 were mutual aid committees. Mutual aid committees have aims similar to owners' corporations, but they are not incorporated bodies or legal entities in themselves, and membership is open to all residents of a particular building.
A standing committee, on which relevant government departments were represented, was set up in 1982 to consider problems associated with multi-storey building management and to suggest solutions. During 1983, the committee met regularly and concentrated on reviewing existing policies and examining ways in which owners' corporations and mutual aid committees could be further encouraged to perform their management functions. effectively. It also completed a pilot study on private building management in a district of Kowloon and put together a programme of action designed to enable owners and tenants to improve their living environment through self-help efforts.
Rent Control in the Private Sector
Statutory controls on rents and security of tenure in Hong Kong date back to 1921. The present legislation governing these matters is the Landlord and Tenant (Consolidation) Ordinance which embodies a number of different ordinances previously regulating different aspects of landlord and tenant matters.
The legislation is complicated but is under constant review to improve its working and to achieve the long-term objective, recommended in 1981 by a Committee of Review and endorsed by government, that as soon as circumstances permit rent control should be phased out.
The Rating and Valuation Department publishes several booklets to help people understand their position in relation to the legislation, and provides a mediatory and advisory service to deal with the many practical problems arising from rent controls. It also operates a scheme under which rent officers attend urban and New Territories district offices on set days each week to deal with referred cases and answer enquiries on landlord and tenant matters. 'Heavy penalties are prescribed for harassment of a protected tenant with intent to induce him to quit. However, provisions exist to help the parties to reach agreement whereby the tenant surrenders his protected tenancy for a consideration.
Pre-war Premises
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Legislation controlling rents of pre-war premises and providing security of tenure was instituted by proclamation immediately after World War II and in 1947 was embodied in the Landlord and Tenant Ordinance since re-enacted as Part I of the Landlord and Tenant (Consolidation) Ordinance. This legislation applies to both domestic and business premises and restricts rents by reference to pre-war levels (standard rent), while excluding from control new or substantially reconstructed buildings. Provision, however, has been made for the de-control of pre-war business premises from July 1, 1984.
Increases in rents have been permitted annually in recent years, the latest being in May 1983 when the legislation was amended to provide for permitted rents to be 16 times (previously 12 times) the standard rent in the case of domestic premises and 40 times (previously 27 times) for business premises. In neither case is the permitted rent to exceed the prevailing market rent. There are provisions for the Commissioner of Rating and