XN000022-1986-07-02 — Page 25

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WEDNESDAY, JULY 2, 1986

SPEAKING DURING THE RESUMED DEBATE ON THE LANDLORD AND TENANT (CONSOLIDATION) (AMENDMENT) BILL 1986, MR LEE SAID HE SUPPORTED THE BILL BECAUSE IT WAS DIFFICULT TO INSIST THAT LANDLORDS SHOULD BENEFIT THEIR TENANTS PERMANENTLY BY CHARGING RENTALS SIGNIFICANTLY BELOW THE PREVAILING MARKET RENT.

HOWEVER, HE POINTED OUT THAT TENANTS LIVING IN CONTROLLED PREMISES IN THE PRIVATE SECTOR MAINLY BELONGED TO THE +SANDWICH CLASS+ WHO WERE NOT WELL-OFF AND YET WERE NOT QUALIFIED TO APPLY FOR PUBLIC OR HOME OWNERSHIP SCHEME HOUSING SINCE THEIR INCOME HAD EXCEEDED THE SPECIFIED LIMIT OF $8 500 PER MONTH.

HE NOTED THAT THE PROPOSED RENT INCREASE WOULD AFFECT 26 000 HOUSEHOLDS OF OVER 100 000 PEOPLE AND THERE WOULD BE A FURTHER INCREASE OF 30 PER CENT EVERY TWO YEARS IN THE SUBSEQUENT FOUR YEARS WHICH WOULD BRING THE RENT TO 100 PER CENT OF THE PREVAILING MARKET RENT.

MR LEE THEREFORE HOPED THAT THE GOVERNMENT WOULD CONSIDER EXTENDING THE HOME OWNERSHIP AND PRIVATE SECTOR PARTICIPATION SCHEMES AND RAISE THE MONTHLY INCOME LIMIT OF $8 500, AND THUS BENEFIT THE +SANDWICH CLASS+.

HE ALSO SAID THE ESTABLISHMENT OF A HOME PURCHASE LOAN FUND WAS WORTH CONSIDERING.

THROUGH THIS SCHEME, LOANS AT LOW INTEREST RATES COULD BE MADE AVAILABLE TO PEOPLE IN THE SANDWICH CLASS+ TO ASSIST THEM IN MAKING DOWN-PAYMENTS FOR BUYING PRIVATE PREMISES, HE SAID.

HE SUGGESTED THAT THE FUND COULD BE ADMINISTERED EITHER BY THE GOVERNMENT OR BY THE BANKING INDUSTRY AND IT COULD BE SPECIFIED THAT ONLY THOSE WITH EARNINGS BELOW A CERTAIN INCOME LIMIT WOULD BE ELIGIBLE TO APPLY.

THERE COULD ALSO BE STIPULATIONS THAT THE PREMISES PURCHASED SHOULD BE USED SOLELY FOR ACCOMMODATION OF THE APPLICANT'S HOUSEHOLD AND THAT EACH HOUSEHOLD COULD APPLY ONLY ONCE, MR LEE ADDED.

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