Subdivided flats in Hong Kong : the evolution of governanceand policy instruments

Abstract

It is every human’s desire to live in a stable and comfortable environment. This is particularly true in Chinese society, where the “home” is so important. Since colonial times, the Hong Kong Government has assisted with its citizens’ housing needs through various strategies, among them, the Public Rental Housing and the Home Ownership schemes. Unfortunately, soaring property prices have led to continually rising rents in the private property market - a problem which has been plaguing Hong Kong for decades. Subdivided flats, as a product of this situation, are neither legal nor illegal. Since they first appeared in Hong Kong, the Government has not implemented any pragmatic policies to address the problem. The only regulation concerning subdivided flats governs building work that breaches the building ordinance (Cap. 123). In 2010, the collapse of a building, which contained numerous subdivided flats, causing four deaths and leaving two injured, aroused public concerns over the safety and hygienic conditions of the tenants of subdivided flats. This prompted a Government intervention into the building of subdivided flats. At the same time, non-governmental organisations (NGOs) and charities solicited under-utilised resources to provide community housing to underprivileged people at concessionary rates. Then, in September 2017, the Government announced the launch of a cooperative governance model in collaboration with the Hong Kong Council of Social Services (HKCSS) to launch the first large-scale, official community housing project, the Community Housing Movement. The aim of this project was to provide 500 units which could accommodate 1,000 households, thereby improving the living conditions and reducing the economic burden of those waiting for public rental housing. The launch of the Community Housing Movement has met with both favourable and unfavourable responses. While transitional housing can represent an interim solution, which relieves housing pressure, the only long-term strategies to tackle the housing crisis are increasing land supply, providing more subsidised flats for sale, and controlling population growth.