ENG-1983 — Page 170

HOUSING

Construction

117

In forwarding the government's housing programme, the Housing Authority is now firmly geared to achieving the target of about 231 000 flats over the next five years. This programme comprises 168 000 public rental flats, 40 000 Home Ownership flats, and another 23 000 flats built for sale under arrangements with private developers called the Private Sector Participation Scheme. During 1983, some 31 building contracts worth a total of $2,784 million were let. At the end of the year, 85 contracts were in progress which, on completion over the next few years, will provide 108 000 rental flats, 25 300 Home Ownership flats, 22 schools and 18 commercial centres. In addition, six temporary housing areas and one factory project containing 2 200 working units were also under construction.

Home Ownership Scheme

The Home Ownership Scheme (HOS) is administered by the Housing Authority with funds provided by the government to build flats for sale at cost to public housing tenants and to families in the private sector with limited incomes. Since Phase I sales started in 1978, a total of 31 500 flats under this and the related Private Sector Participation Scheme have been sold to qualified families, 42 per cent of them being public sector estate tenants who, although not subject to restrictions on income and property ownership, were required to surrender their existing tenancies for reallocation to families in need of rental housing.

Two HOS sales exercises were mounted during 1983. The first, under Phase IVB, consisted of 3 300 flats in three projects and was put on the market in January. The flat prices ranged from $116,000 (48.2 square metres in gross area) at Wang Fuk Court in Tai Po to $267,300 (63.2 square metres) at King Shan Court (Stage II) in Ngau Chi Wan. Phase VA consisted of 4 900 flats in four projects and was opened for application in July. The flat prices ranged from $147,700 at Siu Shan Court in Tuen Mun to $318,000 at Yee Kok Court in Sham Shui Po, with flat areas of 48.3 to 62.2 square metres. Both phases were over-subscribed, by 3.7 times and 4.3 times respectively.

Under the Private Sector Participation Scheme, seven sites were sold during the year. Development of these seven sites will produce some 13 000 flats for sale to eligible families. Following a sharp decline in the prices of private flats, the Middle Income Housing Programme, which was designed to help families with incomes up to double those applicable to the main home ownership 'schemes, ceased to be necessary and was discontinued. The only project built under this programme, an estate of 2 240 flats at Tuen Mun, attracted very few buyers from the original target group. The strict eligibility criteria were therefore relaxed, and the flats offered for sale to a wider potential market.

Urban Housing and Redevelopment

Y

On Hong Kong Island, due to the scarcity of developable land, most new public sector housing results from redevelopment areas. In Chai Wan, 1 300 flats were completed at Wan Tsui, including 300 for home purchasers, while site formation started for buildings which will contain 1 550 flats. To the south of the island, a hill is being removed under the Housing Authority's biggest-ever site formation contract which, upon completion in 1984, will provide building sites for 10 000 flats on the island of Ap Lei Chau.

In east Kowloon, the final 700 flats at Shun On Estate and 1 300 HOS flats at Lok Nga Court were completed. Projects under construction comprise various phases at Lok Wah, Sau Mau Ping, On Kay Court and Lam Tin North Extension which will provide 10 700