Peak Site On Sale Again Amid Fresh Housing Concerns

A luxury residential plot at the Peak which the government failed to sell two years ago has been included in the administration's land-sale programme for the October-to-December quarter as the Development Secretary played down concerns that the full-year housing target may not be met.

Michael Wong announced on Monday that two residential sites – at the Peak and Kai Tak – will be sold by tender in the third quarter of the 2020-21 financial year, generating 630 flats in total.

The government had offered to sell the Mansfield Road plot at the Peak in 2018, but the tender was withdrawn after the bidders failed to meet the government's reserve price.

This time, the site will be divided into two parcels for disposal.

The second residential plot is on the old runway at Kai Tak.

Along with other projects – such as the MTR's plan to sell by tender phase five of the Wong Chuk Hang station project and four private redevelopment schemes – some 2,780 private units will be made available in the coming quarter, taking the total for the first three quarters of the fiscal year to 7,400.

The government has set a full-year target of generating 12,900 flats.

When asked if he was confident the government will be able to meet its target, Wong said: "That would depend on whether in the remaining months or the start of the year, the supply from the private sector can catch up.

"For the government, we need to come up with around 9,000 units equivalent of land, and we are quite confident we'll be able to do that."

Two non-residential plots will also be made available in the three months ending December: a commercial site at the Central Harbourfront and an industrial plot in Fanling.

Wong said the government has to adopt a more complicated tender system for the Central site. He rejected reports that it will now be sold at a discount, saying: "The question of a discount actually does not arise for the government”.

He described the site as a "very valuable and very strategic piece of land", which would provide the city with substantial grade-A office areas and be good for its long-term economic development.

Wong also said it’s in talks with other departments over the future of a site in Penny’s Bay, after the government decided not to extend an option for Hong Kong Disneyland to take over the 60-hectare site located next to the theme park.

He added that the site cannot be used for residential purposes under the current land restrictions, but his bureau will discuss with other officials on how it can be used best in the long run.

He stressed that the site has not been left wasted for the time being, because it is housing some 1,500 quarantine units, and there will be a total of 3,500 quarantine units built there by the end of this year.