XN000022-1977-10-05 — Page 23

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WEDNESDAY, OCTOBER 5, 1977

HOME OWNERSHIP FLATS FOR SALE EARLY NEXT YEAR ON FAVOURABLE TERMS

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APPLICATIONS FOR FLATS IN THE FIRST SIX ESTATES OF THE HOME OWNERSHIP SCHEME WILL BE INVITED FROM MEMBERS OF THE PUBLIC EARLY NEXT YEAR UNDER VERY FAVOURABLE TERMS COMPARED TO THOSE IN THE OPEN MARKET.

THIS WAS ANNOUNCED BY THE GOVERNOR, SIR MURRAY MACLEHOSE, IN HIS OPENING ADDRESS TO THE LEGISLATIVE COUNCIL TODAY.

SIR MURRAY SAID THE FLATS, VARYING IN SIZE BETWEEN 400 AND 600 SQ. FT., WOULD BE SOLD TO ELIGIBLE BUYERS AT PRICES BELOW THOSE PREVAILING IN THE OPEN MARKET.

+ON THE STRENGTH OF A GOVERNMENT PARTIAL GUARANTEE AGAINST DEFAULT, SPECIAL MORTGAGE ARRANGEMENTS HAVE BEEN NEGOTIATED WITH LEADING BANKS WHICH WILL PROVIDE FOR A STANDARD REPAYMENT PERIOD OF 15 YEARS, INTEREST RATES OF BETWEEN 7-1/2 AND 9 PER CENT PER ANNUM AND A MINIMUM DOWN PAYMENT OF 10 PER CENT OF THE SALE PRICE,+ HE SAID.

+ INITIALLY, ELIGIBLE HOUSEHOLDS WILL BE THOSE EARNING UP TO $3,500 A MONTH, AND PUBLIC HOUSING TENANTS WHO ARE WILLING TO SURRENDER THEIR EXISTING TENANCIES IRRESPECTIVE OF INCOME, HE ADDED.

OTHER RULES OF ELIGIBILITY AND DISQUALIFICATION WOULD BE ANNOUNCED SHORTLY.

SIR MURRAY SAID THAT UNDER THE HOME OWNERSHIP SCHEME, IT IS PROPOSED TO BUILD 42,000 FLATS FOR SALE OVER THE NEXT NINE YEARS AND THE PROGRAMME ENVISAGES THE COMPLETION OF 8,500 IN 1979/80, AND BETWEEN 5,000 AND 6,000 IN EACH OF THE SUCCESSIVE YEARS TO 1985/86.

THE GOVERNOR ALSO DISCLOSED THAT NEGOTIATIONS ARE WELL IN HAND WITH REAL ESTATE DEVELOPERS FOR AN EXPERIMENTAL PRIVATE SECTOR PARTICIPATION SCHEME, AND HE COMMENDED THE FINANCIAL SECRETARY AND THE WORKING PARTY FOR HAVING TAKEN THE HOME OWNERSHIP SCHEME TO THIS ADVANCED STAGE.

HE WAS CONFIDENT THAT THE SCHEME WOULD BE A SUCCESS AND MEET A NEED FELT BY MANY FOR THE SENSE OF SECURITY THAT HOME OWNERSHIP CONFERS.

ON PUBLIC HOUSING, SIR MURRAY SAID THE HOUSING PROGRAMME IS NOW IN TOP GEAR,+

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HE SAID 47 SITE FORMATION, PILING AND BUILDING CONTRACTS WOULD BE LET THIS FINANCIAL YEAR THREE TIMES THE NUMBER OF LAST YEAR - AND THE RATE OF COMPLETION OF FLATS INCLUDING THOSE UNDER THE HOME OWNERSHIP SCHEME WOULD RISE FROM 14,000 THIS YEAR TO 20,000 NEXT YEAR, AND TO OVER 40,000 IN 1979/80 WITH CAPACITY FOR ABOUT 250,000 PEOPLE.

/+THIS IS