XN000022-1986-05-28 — Page 26

WEDNESDAY, MAY 28, 1986

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MOST TENANTS WILL RETAIN SECURITY OF TENURE

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AT THE TIME OF THE 1985 REVIEW OF THE OPERATION OF RENT CONTROL IT WAS ENVISAGED THAT RENT CONTROL WOULD BE PHASED OUT BY ABOUT 1991, THE SECRETARY FOR HOUSING, THE HON JOHN TODD, TOLD THE LEGISLATIVE COUNCIL TODAY (WEDNESDAY).

TO ALLAY THE FEARS OF THOSE WHO WOULD EVENTUALLY BE AFFECTED BY DECONTROL. MR TODD SAID IN BECOMING DECONTROLLED. TENANTS LOSE THE PROTECTION OF RENT CONTROL UNDER PARTS I AND II OF THE LANDLORD AND TENANT (CONSOLIDATION) ORDINANCE, BUT VIRTUALLY ALL WILL CONTINUE TO ENJOY THE PROTECTION OF SECURITY OF TENURE GIVEN BY PART IV.

+THIS ENSURES THAT, PROVIDING A SITTING TENANT IS PREPARED TO PAY A MARKET RENT, HE WILL BE PROTECTED FROM ANY UNREASONABLE DEMANDS OF HIS LANDLORD.+

FOR EXAMPLE A TENANT WHO CONSIDERED THAT THE RENT DEMANDED WAS ABOVE THE MARKET RATE MIGHT APPLY TO THE LANDS TRIBUNAL FOR A DECLARATION OF THE GOING MARKET RATE FOR HIS PREMISES, HE EXPLAINED.

MR TODD WAS REPLYING TO QUESTIONS BY THE HON LEE YU-TAI ON RENT CONTROL ON PRIVATE HOUSING.

HE SAID THAT IN 1981, FOLLOWING A RENT CONTROL REVIEW, THE GOVERNMENT ANNOUNCED THAT ITS LONG TERM POLICY OBJECTIVE WAS TO PHASE OUT RENT CONTROL AS SOON AS CIRCUMSTANCES PERMITTED, SUBJECT TO SOCIAL AND ECONOMIC CONDITIONS.

AT THE SAME TIME, PROVIDED A SITTING TENANT WAS WILLING TO PAY A MARKET RENT HE SHOULD BE PROTECTED FROM UNREASONABLE DEMANDS FROM HIS LANDLORD SEEKING TO TAKE ADVANTAGE OF HIS POSITION, MR TODD SAID.

HE NOTED THAT THERE HAD BEEN ANNUAL REVIEWS OF THE OPERATION OF RENT CONTROL IN 1983, 1984 AND 1985.

HE ADDED THAT HE EXPECTED TO SPEAK ON THE 1986 REVIEW IN THE COUNCIL NEXT WEEK TO GIVE A FULLER AND CLEARER EXPLANATION OF THE GOVERNMENT'S OBJECTIVES AND OF HOW THE GOVERNMENT PROPOSED TO ACHIEVE THESE OBJECTIVES UNDER THE SOMEWHAT COMPLEX WORKINGS OF THE LANDLORD AND TENANT (CONSOLIDATION) ORDINANCE.

TURNING TO THE NUMBER OF TENANCIES CURRENTLY UNDER RENT CONTROL AND THEIR MONTHLY RENTALS, THERE WERE CURRENTLY SOME 2 200 PRE-WAR DOMESTIC UNITS UNDER CONTROL UNDER PART OF THE LANDLORD AND TENANT (CONSOLIDATION) ORDINANCE, AND A FURTHER 105 000 POST-WAR TENANCIES UNDER CONTROL UNDER PART II OF THAT ORDINANCE.

/PERMITTED RENTS