XN000022-1980-02-13 — Page 8

WEDNESDAY, FEBRUARY 13, 1980

6.

AS THERE COULD BE PRACTICAL DIFFICULTIES IN SUCH A COMBINATION, HE PROPOSED THAT 25 PER CENT OF LAND PRODUCED IN THE NEW TERRITORIES SHOULD BE RESERVED FOR AUCTION, 25 PER CENT FOR LETTER B EXCHANGE AND THE REMAINING 50 PER CENT FOR THE PRIVATE SECTOR PARTICIPATION SCHEME.

HE HOPED THAT A COMPREHENSIVE AND LONG-TERM HOUSING POLICY COULD BE AGREED UPON AND PUBLISHED BY THE GOVERNMENT BEFORE THE EXPIRY OF THE AMENDED LEGISLATION.

COMMITTEE STAGE

SPEAKING AT THE COMMITTEE STAGE OF THE BILL MR SCOTT SUGGESTED THAT THE PROPOSALS MADE BY UNOFFICIAL MEMBER. THE HON T.S. LO TO AMEND THE LANDLORD AND TENANT (CONSOLIDATION) (AMENDMENT) BILL BE LEFT TO THE NEW COMMITTEE OF REVIEW TO CONSIDER.

MR LO PROPOSED THAT LUXURY FLATS AND FLATS RENTED BY CERTAIN CATEGORIES OF CORPORATIONS, FIRMS, PUBLIC BODIES AND GOVERNMENTS BE EXCLUDED FROM THE PROPOSED RENT CONTROL. THE PROPOSALS DID NOT HAVE THE ENDORSEMENT OF THE COUNCIL,

MR SCOTT, IN REPLY TO HIS PROPOSAL THAT FLATS WITH A RATEABLE VALUE OF OVER $100 000 AND AN INTERNAL FLOOR AREA OF OVER 2 300 SQ FT BE EXCLUDED FROM CONTROL, POINTED OUT THAT IS WAS DIFFICULT TO ARRIVE AT A SATISFACTORY DEFINITION OF 'LUXURY PREMISES'.

+ANY DEFINITION WILL INVOLVE MARGINAL CASES, AND I SUGGEST STRONGLY TO MEMBERS THAT SUCH DEFINITIONS AND MORE IMPORTANT WHETHER SUCH CATEGORISATION IS REQUIRED SHOULD BE LEFT TO THE COMMITTEE OF REVIEW TO EXAMINE IN THE WHOLE CONTEXT OF THE LEGISLATION,+ HE SAID.

HE NOTED THAT MR LO'S PROPOSAL WOULD EXCLUDE LESS THAN 500 TENANCIES FROM RENT CONTROL.

AS TO THE OTHER TENANCIES PROPOSED FOR EXCLUSION BY MR LO, MR SCOTT SAID THAT UNDER NORMAL CIRCUMSTANCES, THERE WAS SOME STRENGTH IN THE ARGUMENT THAT RENTS WERE A PART OF THE EXPENDITURE OF PROF IT-MAKING ORGANISATIONS, AND AS SUCH THEY SHOULD NOT BENEFIT BY RENT CONTROL.

HE SAID HOWEVER THE PRESENT SITUATION WAS ABNORMAL, WHICH WAS THE REASON FOR THE BILL, AS A HOLDING OPERATION.

HE ALSO NOTED WITH INTEREST THE POINTS MADE BY ANOTHER UNOFFICIAL MEMBER, DR RAYSON HUANG TODAY WHO ASKED WHY GOVERNMENTS AND CORPORATIONS, AND TAX PAYERS, SHOULD SUBS ID ISE LANDLORDS.

MR SCOTT DETAILED SOME DIFFICULTIES AND INEQUITIES WHICH WOULD ARISE IF MR LO'S PROPOSAL TO DIFFERENTIATE BETWEEN SUBSIDIARIES OF FIRMS AND CORPORATIONS SET UP BEFORE OR AFTER FEBRUARY 15, 1973 IN CONFERRING PROTECTION WAS ACCEPTED.

/HE HOPED