XN000022-1994-11-22 — Page 10

TUESDAY, NOVEMBER 22, 1994

ADMINISTRATION AND RESOURCE MANAGEMENT DIVISION

IT WILL PROVIDE GENERAL SUPPORT TO THE BRANCH, MONITOR AND REVIEW THE RESOURCE REQUIREMENTS OF THE DEPARTMENTS INVOLVED IN LAND SUPPLY AND HOUSING PRODUCTION AND MANAGE EXPENDITURE FOR PUBLIC WORKS PROJECTS REQUIRED FOR IMPLEMENTING THE RECOMMENDATIONS OF THE TASK FORCE.

AS AN INTERIM

ARRANGEMENT, THE SECRETARY

ENVIRONMENT AND LANDS WILL OVERSEE THE WORK OF THE UNTIL THE NEW SECRETARY IS IN POST IN DECEMBER.

LBAC

0

LBAC BRIEFED ON HOUSING BRANCH

*

FOR PLANNING, HOUSING BRANCH

THE LAND AND BUILDING ADVISORY COMMITTEE (LBAC) WAS BRIEFED YESTERDAY (MONDAY) ON THE RESPONSIBILITIES AND ORGANISATION OF THE NEW HOUSING BRANCH ESTABLISHED.

THE COMMITTEE, CHAIRED BY MR CHENG HON-KWAN, WAS ALSO BRIEFED ON THE FINDINGS OF THE REVIEW OF THE OFFICE MARKET AND THE FINAL REPORT ON LAND AUCTION ARRANGEMENTS.

THE COMMITTEE WAS TOLD THAT THE HOUSING BRANCH WAS ESTABLISHED ON NOVEMBER 18 AND WAS RESPONSIBLE FOR REVIEWING AND CO-ORDINATING THE GOVERNMENT'S LONG-TERM HOUSING STRATEGY WHICH AIMED TO PROVIDE ADEQUATE HOUSING TO MEET THE DEMAND, TO PROMOTE HOME OWNERSHIP AND TO ENSURE EFFECTIVE USE OF HOUSING RESOURCES IN BOTH THE PUBLIC AND PRIVATE SECTORS.

THE SECRETARY FOR HOUSING WOULD ALSO BE RESPONSIBLE FOR HOUSING POLICIES AND PROVISION, WITH SPECIAL EMPHASIS ON MONITORING THE DEMAND FOR PRIVATE HOUSING SUPPLY, INCLUDING THE DEVELOPMENT OF REHOUSING POLICY.

MEMBERS NOTED THAT THERE WERE FOUR DIVISIONS IN THE BRANCH RESPONSIBLE FOR PUBLIC HOUSING, PRIVATE HOUSING, MANAGEMENT, AND ADMINISTRATION AND RESOURCE MANAGEMENT.

HOUSING

PROJECT

INFORMED

ON THE REVIEW OF THE OFFICE MARKET, THE COMMITTEE WAS THAT THE PRICES OF THE OFFICE ACCOMMODATIONS, IN PARTICULAR HIGH QUALITY ACCOMMODATIONS, HAD INCREASED BY AN ANNUAL AVERAGE OF 33.5 PER CENT BETWEEN 1991 AND 1994.

BY COMPARISON, RENTAL HAD BEEN MORE MODERATE, AVERAGING 12.8 PER CENT ANNUALLY OVER THE SAME PERIOD.

MEMBERS NOTED THAT THE SCOPE FOR SPECULATION WAS LIMITED OFFICES WERE PREDOMINANTLY OFFERED FOR RENT DIRECTLY BY DEVELOPERS.

SINCE THE

SINCE IT WAS DIFFICULT TO DRAW A LINE BETWEEN INVESTORS AND SPECULATORS IN THE OFFICE MARKET WHERE BUYERS LOOKED FOR AN INVESTMENT RETURN, THE GOVERNMENT DID NOT SEE THE NEED FOR ANY ADMINISTRATIVE MEASURES TO DAMPEN SPECULATION AT THIS TIME.

/ON THE

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