URA commences two other projects in the second round of demand-led pilot scheme

The Urban Renewal Authority (URA) today (Friday) commenced the planning procedures for two other redevelopment projects in the second round of demand-led pilot scheme, which are among the four projects selected to be launched in its 2013/14 business plan.  The first two demand-led projects were kicked start in April and conditional acquisition offers have just been issued to owners affected by the two projects.

Speaking at the media briefing this morning, Director (Planning & Design), Mr Michael Ma, said with the commencement of the two remaining projects, all redevelopment projects in the second round of demand-led pilot scheme have been launched.

"The two demand-led projects, involving a total of 109 property interests, if implemented, will help improve the living environment of some 196 households who are currently living in buildings of about 50 years old," said Mr Ma.

Demand-led redevelopment model provides owners an opportunity to initiate redevelopment of their own properties. It is widely accepted and supported by property owners since its introduction in 2011.

The third round of applications for demand-led redevelopment projects will open from July to September this year, Mr Ma added.

The two projects implemented today are located at No. 8 - 10 Fuk Chak Street/ 7 - 9 Li Tak Street in Tai Kok Tsui, and No. 25 - 31 Wong Chuk Street in Sham Shui Po, having some 1,200 square metres in aggregate. Details of the two projects are as follows:

	Fuk Chak Street/Li Tak Street project	Wong Chuk Street
Total project area	about 700m²	about 500m²
Estimated number of property interests	54	55
Estimated number of households	about 100	about 96
Building age	1964	1963
Development content
No. of flats	about 96	about 69
Domestic GFA	about 5,100m²	about 3,400m²
Commercial GFA	about 640m²	about 420m²
Estimated completion date	2019/2020	2019/2020

Though URA has commenced the planning procedures for the two projects today, Mr Ma cautioned that whether the URA will continue to implement the projects after the freezing surveys depend on the fulfillment of the following conditions:

1. Owners of not less than 80% of undivided shares of each lot in the two project sites accept the URA's conditional acquisition offers and sign the sale and purchase agreement within 75 days after URA has issued the conditional acquisition offers; and
2. The granting of authorisation by the Secretary for Development for the URA to proceed with the projects.

If any of the two conditions is not met, the projects will cease automatically, Mr Ma added.

"Any rights and obligations whatsoever between URA and the owners, tenants and occupiers within the projects will cease to exist, irrespective of whether they are residing in the buildings within the project boundaries at the time of the freezing surveys," he said.

Mr Ma noted that the two demand-led projects have met the threshold of 67% of the undivided shares in each lot of the buildings under application.  Both are also over 400 square metres in area and are able to generate planning gains for the community.  Moreover, the buildings involved are in a varied or poor condition.

In accordance with Section 23 of the Urban Renewal Authority Ordinance, URA notices announcing the commencement of the two projects are published in the Gazette today, to be followed by a two-month publication period.  The URA will then consider written objections received during the publication period and submit the two applications to the Secretary for Development within three months at the end of the two-month publication period.

Also speaking at the briefing session, Director (Acquisition & Clearance), Mr Ian Wong, said about 100 URA staff members have been deployed to conduct the freezing surveys to ascertain the actual number of households and the occupancy status of the properties within the two project sites.

The URA will arrange public meetings shortly to explain to the affected owners and tenants the planning approval procedures and the prevailing acquisition and compensation arrangements for demand-led projects.

"We shall issue conditional offers to the owners of both demand-led projects soonest possible after the two-month publication period.  The offers will be valid for 75 days," said Mr Wong.

"If the conditional offer threshold is fulfilled and the projects are approved by the Secretary for Development, the URA will then complete the acquisition with owners and offer the domestic owner-occupiers the flat-for-flat option. If not, the projects will not proceed any further," said Mr Wong.

The URA's current proposal is to redevelop the two projects to provide around 165 residential units of small to medium size, including some at the lower levels for flat-for-flat option.  It is tentatively scheduled for completion by 2019/2020.

The total development cost for the two projects is estimated at about $1.3 billion at current prices.

During the two-month publication period, site plans delineating the boundary of the two projects plus a general description will be put on display for public inspection at: 

Fuk Chak Street/Li Tak Street project	Wong Chuk Street project
Urban Renewal Resource Centre (6 Fuk Tsun Street, Tai Kok Tsui, Kowloon)	URA's Sham Shui Po Neighbourhood Centre  (G/F, Shop C, 182 Fuk Wa Street, Sham Shui Po, Kowloon)
Public Enquiry Service Centre of the Yau Tsim Mong District Office (G/F, Mong Kok Government Offices, 30 Luen Wan Street, Mong Kok, Kowloon)	Public Enquiry Service Centre of the Sham Shui Po District Office (G/F, Cheung Sha Wan Government Offices, 303 Cheung Sha Wan Road, Sham Shui Po, Kowloon)
URA Headquarters (26/F, COSCO Tower, 183 Queen's Road Central, Hong Kong)

Such information is also available on the URA website at www.ura.org.hk. 

In accordance with the Urban Renewal Strategy, the URA will make the Stage 1 Social Impact Assessment (SIA) reports available for public information at the above venues from 28 June 2013. The Stage 2 SIA reports will be made available for public information at the above locations from 9 August 2013.

An urban renewal social service team staffed by professional social workers of Salvation Army, which has been appointed by Urban Renewal Fund Limited, will provide counselling and practical assistance that the residents may need.  The contact number of the social service team is 3586 3094 / 3586 3095. Affected residents can also visit the URA's Neighbourhood Centre in Tai Kok Tsui and Sham Shui Po in person; or call the URA's Hotline at 2588 2333 for enquiries. Members of the public can also visit the URA website at www.ura.org.hk for project information.

(ENDS)