ENG-1961 — Page 213

LAND AND HOUSING

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a number of families having higher incomes. It is now concentra- ting largely on families earning from $400 to $700 a month. Housing built by the Authority consists of multi-storey self- contained flats in large estates with provision for shops, clinics, schools and kindergartens. Playgrounds and other amenities are provided and a high standard of planning and construction is maintained. By the end of 1961 the Authority had housed approxi- mately 38,500 people in 6,130 flats in its first three estates, with rents ranging from $48 to $169 a month, 8,149 flats were under construction designed to house 46,300 people. A schedule of the Authority's programme is shown in Appendix VIII.

The Authority is financed by Government through a revolving fund which now amounts to $156 million. It pays interest on the first $45 million at 34% per annum and on the remainder at 5% per annum. Up to the end of 1961 it had spent over $100 million and its rent roll had reached $8 million a year. Sites are provided by Government at one-third of the estimated market value, and rents are calculated on the basis of amortization of capital expenditure on buildings and land at 5% over 40 years. On this basis the Authority is required to balance its budget. Selection of tenants is carried out on the basis of housing need and a points system is operated. Management is of a high standard and regular maintenance is carried out.

Administration, and the carrying out of the Authority's deci- sions, are the duty of the Housing Division of the Urban Services Department, under the direction of the Commissioner for Housing. The salaries of the staff, who are all civil servants, are reimbursed to Government by the Authority, with a 30% surcharge to cover overheads.

Both the Housing Authority and the Housing Society work on the basis of 35 square feet per person of living space in each unit of accommodation, excluding kitchen, toilet and bathroom. This is regarded as a basic minimum for good permanent housing.

RESETTLEMENT

Hong Kong's resettlement programme has attracted world-wide attention. Few visitors depart from Hong Kong unimpressed by what they have seen of the housing of hundreds of thousands of