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'Bonus plot ratio scheme a core step in urban renewal'

rthk.hk · 14h · first reportShare

Property experts on Thursday welcomed the government's launch of the Bonus Plot Ratio Pilot Scheme, saying it marks an important step for Hong Kong in promoting urban renewal. The scheme is designed to encourage private urban renewal and incentivise developers to redevelop the city's rapidly ageing residential buildings. Under the new scheme, developers looking to tear down and redevelop ageing residential buildings in seven target districts, considered among the city's oldest neighbourhoods, can obtain an additional 20 percent premium-free gross floor area bonus to enhance the financial viability of these redevelopment projects. But the buildings must be at least 50 years old and the site must be at least 700 square meters. Speaking in an interview with RTHK, Hannah Jeong, executive director and head of valuation and advisory Services at CBRE Hong Kong, said the initiative would inject "positive" momentum into the city's urban redevelopment. "I think the 20 percent bonus ratio is quit