Government announces quarterly land sale programme for January to March 2015

The Government announced today (December 19) that it will sell by tender four residential sites and one commercial site in the fourth quarter of this financial year. The sites are capable of providing about 1,500 flats and 45,500 square metres of commercial floor area respectively.

The four residential sites to be put up for sale in the next quarter are located in Pak Shek Kok, Sai Kung, Ma On Shan and Sheung Shui respectively.  

The Secretary for Development, Mr Paul Chan, said, "The two residential sites in Ma On Shan and Sheung Shui are newly added to this year's Land Sale Programme. Thanks to the efforts of relevant departments in resolving some technical issues, these two sites are now ready for sale. We have included them in this financial year's Land Sale Programme, and will put them up for sale in the next quarter."

On railway property development projects, subject to market conditions, the MTR Corporation Limited (MTRCL) plans to tender in the next quarter other package(s) of LOHAS Park (about 1,200 flats). In addition, the Urban Renewal Authority (URA) will tender the Fuk Wing Street project in Sham Shui Po for joint-venture development (about 90 flats).

It is estimated that the private housing land supply from the above three sources in the fourth quarter of 2014-15 has a capacity of producing about 2,800 flats in total.

Mr Chan reviewed the private housing land supply situation in 2014-15, pointing out that due to more time needed to communicate with the local community and District Councils and explore solutions to address their concerns in the rezoning process, the Government had adjusted the mix of land supply for private housing in this financial year and encouraged the MTRCL and URA to expedite the implementation and tendering of their projects. 

Throughout the year, the Government has continued to identify additional suitable housing sites for housing development. With the concerted efforts of the relevant bureaux and departments, the Government announced in June, September and December this year that a total of four new residential sites were added to the 2014-15 Land Sale Programme. In addition, one Pak Shek Kok site, the tender of which had failed in 2013-14, was also added to the 2014-15 Land Sale Programme in the course of the year and successfully sold.

Mr Chan said, "After three rounds of adjustments, the 2014-15 Land Sale Programme has a total of 39 residential sites which have a capacity of producing about 17,100 flats. Twenty sites have been sold/will be put up for sale in this financial year, which can provide about 6,300 flats."

Railway property development projects are always an important source of private housing land supply. The MTRCL successfully tendered its property development projects at Tai Wai Station (about 2,900 flats) and Package 5 of LOHAS Park (about 1,600 flats) in October and November 2014 respectively. The MTRCL has just completed the invitation of Expression of Interest in respect of Package 6 of LOHAS Park (about 2,400 flats). Subject to market conditions, the MTRCL is prepared to commence the tendering procedure for the project at Tin Shui Wai Light Rail Terminus (about 1,500 flats) in this quarter.

As for URA projects, the URA plans to award the tenders for joint-venture development of the two projects at Hai Tan Street/Kweilin Street/Pei Ho Street and Nos. 229A–G, Hai Tan Street (about 910 flats in total) within the third quarter of this financial year. 

It is estimated that, as of the third quarter of this financial year, the land supply from various sources, including government land sale (about 4,800 flats), railway property development projects (about 8,400 flats), URA projects (about 2,600 flats) and private redevelopment or development projects subject or not subject to lease modification (about 2,100 flats), could provide about 17,900 flats.

"Combining the land supply from the first three quarters and that from the fourth quarter announced just now, the aggregate private housing land supply for 2014-15 is estimated to be capable of providing about 20,700 residential units, about 10 per cent above the average annual target of 18,800 flats. This is a record high since the Government introduced the private housing land supply target in 2010. This fully demonstrates the Government's resolve in continually increasing housing land supply and the efforts and achievements of relevant departments," Mr Chan said.

In the fourth quarter of 2014-15, a commercial site in Kowloon Bay, capable of providing about 45,500 square metres of floor area, will also be tendered to meet the market demand for commercial space.

In 2014-15, the Government has/will put up for sale a total of four commercial/business sites (about 170,000 square metres of floor area); one industrial site (about 12,000 square metres of floor area); and one hotel site, (about 1,100 hotel rooms).

"The Government will closely monitor the market situation and spare no efforts in identifying sites, with a view to steadily supplying land to the market to meet the community's demand for private housing," Mr Chan said.

The list of the government sites to be tendered from January to March 2015 is attached. The Lands Department will separately announce the detailed land sale arrangements before individual sites are tendered.

Ends/Friday, December 19, 2014
Issued at HKT 19:31