HK$110m refit, not the wreckers' ball, for old Aberdeen estate, home to 27,000
21 June 2008
South China Morning Post
The Housing Department has decided to renovate a big public housing estate on a prime site in Southern District after inspectors found it was structurally sound.
Repairs to the Wah Fu Estate, where some buildings are more than 40 years old, will cost HK$110 million. The inspectors said the repairs would extend the estate's life by 15 years.
Critics accused the department of forcing tenants to live in poor conditions, but some elderly tenants said they would prefer to stay than move out, even though the estate was old.
The 5.7 hectare estate, built in phases between 1967 and 1978, comprises 18 blocks and is home to 27,000 people. It stands on an Aberdeen hillside overlooking Waterfall Bay and is just 500 metres from the luxury Bel-Air development at Cyberport.
A property analyst said if the estate were demolished, developers would pay HK$70 billion to HK$90 billion for the site.
The department said inspectors had found all the blocks at Wah Fu were safe, but structural repairs and improvement works were needed.
"It is more economically sustainable to retain the buildings by carrying out repair works than demolishing them for redevelopment," a spokesman said.
Improvement works, including the installation of lifts and escalators, would also be carried out to improve the living environment for tenants.
The spokesman said the works were expected to cost "slightly over HK$12,000" per flat. There are 9,147 flats on the estate.
Former Housing Authority member and veteran housing affairs critic Wong Kwun said: "The department is forcing tenants to live in poor condition by refusing to redevelop."
Water seepage and erosion of external walls were common complaints, he said.
He doubted the repairs would be cost-effective.
"Obviously, the department has tried to avoid redevelopment because it may not be able to find other places nearby to rehouse the tenants," said Mr Wong, who is chairman of the Federation of Public Housing Estates.
Yeung Sin-hung, a member of the authority's subsidised housing committee, said: "It would be more cost-effective and efficient to tear down the blocks and build new ones. Some of the blocks, especially those facing the sea, suffer serious sea-water erosion."
Southern District councillor Chai Man-hon said: "The younger tenants want redevelopment because they can move to newer flats. But the older tenants want to stay because they can keep their social network here."
Lau Chun-kong, international director of property agents Jones Lang LaSalle, estimated the site could sell for up to HK$10,000 per sq ft.
He agreed with Mr Wong that "the government may have some concerns over rehousing so many people, given the lack of public flats on the island".
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