Hong Kong Secretary for Development Bernadette Linn: Private housing land supply in the first three quarters of this fiscal year can accommodate about 15,700 units, already exceeding the full-year target.

On October 15, Hong Kong Secretary for Development Bernadette Linn met the media regarding the land sale plan for the October to December 2025 quarter. Linn said the Hong Kong government will put up for tender in the third quarter a residential site at the junction of Tai Chung Kiu Road and On Sum Street in Shek Mun, Sha Tin, expected to provide about 960 units. The site is near MTR Shek Mun Station and is surrounded by mature commercial and residential amenities. The site was originally zoned for commercial use and has recently obtained planning permission from the Town Planning Board to be rezoned for private residential development. The government requires developers to provide a small portion of floor area for public parking while building private housing, to meet the needs of the district. Apart from government land sales, other sources of residential land this quarter include the Urban Renewal Authority's To Kwa Wan Road development project, expected to provide about 1,050 units; for private land development and redevelopment projects, it is tentatively estimated that seven projects will complete lease modifications or land exchanges, providing a total of about 1,835 units. Linn said the figure reflects that developers and the market are optimistic about market conditions and are actively proceeding with lease modifications for land in hand. Taking into account all sources of land supply, private housing land supply in the third quarter of this fiscal year is expected to support the construction of about 3,845 units. Together with the first two quarters, private housing land supply in the first three quarters of this fiscal year is expected to provide a total of about 15,680 units, already exceeding the full-year target of 12,600 units. Linn explained three considerations in this regard: First, the annual supply target is not a rigid indicator, and annual residential market supply figures may be affected by the macro environment and private supply; the government assesses the pace and trends of market supply as a whole from a broader perspective. Second, some government-coordinated projects, such as the Northern Metropolis, railway property developments and urban renewal, are time-specific and need to align with policy needs and the overall development of the district, and will not be slowed down purely because the numerical target has been met. Third, market sentiment this year has generally improved, developers are optimistic about the outlook, and there is certain demand for and absorption capacity for mature urban sites; the government will maintain the momentum to meet market demand. In addition, this quarter the government will also put up for sale a site also in Sha Tin, at Siu Lek Yuen, for use as post-secondary education student hostels under the "Urban Student Hostel Scheme." The site is near MTR City One Station and Shek Mun Station, with many institutional campuses nearby, and is preliminarily estimated to provide about 600 hostel places. In January this year, the Hong Kong government invited the market to submit expressions of interest for three potential student hostel sites, located respectively in Siu Lek Yuen in Sha Tin, Kai Tak and Tung Chung East. Market response was positive, so the Siu Lek Yuen site in Sha Tin is being put up for sale first this quarter. The government will decide whether to put up the remaining two reserved sites and when, depending on the response to this sale. Linn said overall that the Hong Kong government will continue to actively coordinate various land sources, assess the situation, and flexibly release land in response to policy needs and market conditions.