Staff reporter and Bloomberg A pilot initiative to get private developers build flats on government land and sell them at subsidized rates failed to take off on launch as the first tender was withdrawn after only one bid was received. The tender for the residential site in Chai Wan - Inland Lot No. 185 on Cheung Man Road - was rejected as the tendered premium by the sole bidder did not meet the government's reserve price, the Lands Department said yesterday.
Able Engineering (1627) had submitted the sole bid last Friday. The site covers an area of 5,213 square meters with a minimum gross floor area of 30,016 sq m and a maximum of 41,704 sq m for private residential purposes. It was the first tender put up under the Private Subsidized Sale Flats pilot first revealed by Chief Executive John Lee Ka-chiu during his policy address in 2022.
Under the scheme, the Chai Wan site, which is valued at HK$650 million to HK$1.48 billion, should provide at least 700 flats which should be sold at 65 percent of the market price. The eligibility of applicants of the scheme is the same as the Home Ownership Scheme,but the government will not buy any unsold flats from the developers This came as the Buildings Department approved 14 billing plans in May, including several luxury residential projects on Hong Kong Island.
Among the approvals, 30-38 Magazine Gap Road on The Peak was approved to build four blocks of two to three-story residential buildings with a total area of 48,773 square feet. The.