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Article
Publication date: 29 March 2013

Terence Y.M. Lam and Henry K.H. Man

Illegal changes of use in aged industrial and residential buildings is now a prevalent problem in Hong Kong. This research aims to develop a strategy for an effective and…

575

Abstract

Purpose

Illegal changes of use in aged industrial and residential buildings is now a prevalent problem in Hong Kong. This research aims to develop a strategy for an effective and efficient control of illegal land use in a highly dense environment, with high rise buildings in multiple leasehold ownerships.

Design/methodology/approach

Multiple cases were qualitatively analyzed, based on documentary analysis of the court proceedings.

Findings

In Cases 1 and 2, lease conditions for restriction to industrial purposes on aged industrial buildings were found to be obsolete and not economically viable, thus resulting in illegal conversion of the premises for commercial use. Cases 2 and 3 showed that ambiguity in user clauses in land leases could lead to illegal changes of use from industrial or residential to commercial activities. Most importantly, Cases 1 and 3 demonstrated that limited resources for lease enforcement are the fundamental cause of the problem. Cases 4 and 5 proved that property managers could take effective legal action against changes of use in buildings with multiple ownerships.

Research limitations/implications

The results of this study are derived from five typical cases in Hong Kong, but they form a baseline upon which further research can build to test their significance in many other settings. Ultimately, a more robust strategy can be developed for ensuring an effective and efficient control of illegal land uses in the leasehold system for Hong Kong and for those countries with a similar tenure system.

Practical implications

A total economic and management strategy should be implemented by the government. The land management system should work in partnership with private property managers which are empowered under the Deed of Mutual Covenant (DMC) of multiple occupied buildings to take instant action against individual owners for breaches of lease conditions. The system should also be more flexible to expand the scope of new uses for aged industrial premises, allow affordable premium for lease modifications, as well as review and clarify any ambiguous user clauses in the related land ordinances.

Social implications

The public should be educated that it is important to seek approvals and consents from the government prior to making any changes of land use. The government should also establish a housing policy to provide sufficient affordable housing for the lower income group so that illegal sub‐divisions on buildings for residential purposes can be eliminated.

Originality/value

The improvement measures identified can effectively enforce compliance with lease conditions, which in turn can reduce the enforcement transaction costs, ensure efficient allocation and use of land in the leasehold system, and maintain building safety.

Article
Publication date: 1 April 2004

Eddie Chi‐man Hui

The aim of this research is to investigate the effects of land supply (LS) and lease conditions on the housing market. It tests whether there exists a relationship: between LS and…

4308

Abstract

The aim of this research is to investigate the effects of land supply (LS) and lease conditions on the housing market. It tests whether there exists a relationship: between LS and housing price, between development conditions in government land leases and housing supply, and to what extent these development conditions affect Hong Kong's supply, of private residential flats. This paper focuses on examining the supply side of private housing in Hong Kong, whilst limiting the investigation on how LS and development conditions affect the supply of the private residential property market. The findings of this study bring additional knowledge on a different form of government control over the land market. First, an overview of Hong Kong's housing supply situation is presented. An understanding of Hong Kong's housing situation generates an underlying rationale for this study. In order to understand Hong Kong's land tenure system, Section 2 provides a brief background of the establishment of Hong Kong's leasehold tenure system. Section 3 develops the research framework within which to provide a global synopsis of literature (relating to the effects of leasehold land tenure system, governmental land regulation, development/land use control, and restricted LS on the housing market) and theoretical models for the analysis of LS and lease conditions. Following the analysis of findings, the concluding section presents recommendations for policy change.

Details

Property Management, vol. 22 no. 2
Type: Research Article
ISSN: 0263-7472

Keywords

Article
Publication date: 1 March 2001

K.G.B. Bakewell

Compiled by K.G.B. Bakewell covering the following journals published by MCB University Press: Facilities Volumes 8‐18; Journal of Property Investment & Finance Volumes 8‐18;…

18714

Abstract

Compiled by K.G.B. Bakewell covering the following journals published by MCB University Press: Facilities Volumes 8‐18; Journal of Property Investment & Finance Volumes 8‐18; Property Management Volumes 8‐18; Structural Survey Volumes 8‐18.

Details

Structural Survey, vol. 19 no. 3
Type: Research Article
ISSN: 0263-080X

Article
Publication date: 1 September 2001

Index by subjects, compiled by K.G.B. Bakewell covering the following journals: Facilities Volumes 8‐18; Journal of Property Investment & Finance Volumes 8‐18; Property Management…

14791

Abstract

Index by subjects, compiled by K.G.B. Bakewell covering the following journals: Facilities Volumes 8‐18; Journal of Property Investment & Finance Volumes 8‐18; Property Management Volumes 8‐18; Structural Survey Volumes 8‐18.

Details

Facilities, vol. 19 no. 9
Type: Research Article
ISSN: 0263-2772

Article
Publication date: 1 March 2001

K.G.B. Bakewell

Compiled by K.G.B. Bakewell covering the following journals published by MCB University Press: Facilities Volumes 8‐18; Journal of Property Investment & Finance Volumes 8‐18;…

14410

Abstract

Compiled by K.G.B. Bakewell covering the following journals published by MCB University Press: Facilities Volumes 8‐18; Journal of Property Investment & Finance Volumes 8‐18; Property Management Volumes 8‐18; Structural Survey Volumes 8‐18.

Details

Property Management, vol. 19 no. 3
Type: Research Article
ISSN: 0263-7472

Article
Publication date: 1 May 2001

K.G.B. Bakewell

Compiled by K.G.B. Bakewell covering the following journals published by MCB University Press: Facilities Volumes 8‐18; Journal of Property Investment & Finance Volumes 8‐18;…

14174

Abstract

Compiled by K.G.B. Bakewell covering the following journals published by MCB University Press: Facilities Volumes 8‐18; Journal of Property Investment & Finance Volumes 8‐18; Property Management Volumes 8‐18; Structural Survey Volumes 8‐18.

Details

Journal of Property Investment & Finance, vol. 19 no. 5
Type: Research Article
ISSN: 1463-578X

Article
Publication date: 1 September 2000

Index by subjects, compiled by K.G.B. Bakewell covering the following journals: Facilities Volumes 8‐17; Journal of Property Investment & Finance Volumes 8‐17; Property Management…

27437

Abstract

Index by subjects, compiled by K.G.B. Bakewell covering the following journals: Facilities Volumes 8‐17; Journal of Property Investment & Finance Volumes 8‐17; Property Management Volumes 8‐17; Structural Survey Volumes 8‐17.

Details

Facilities, vol. 18 no. 9
Type: Research Article
ISSN: 0263-2772

Article
Publication date: 1 March 2000

K.G.B. Bakewell

Compiled by K.G.B. Bakewell covering the following journals published by MCB University Press: Facilities Volumes 8‐17; Journal of Property Investment & Finance Volumes 8‐17;…

23736

Abstract

Compiled by K.G.B. Bakewell covering the following journals published by MCB University Press: Facilities Volumes 8‐17; Journal of Property Investment & Finance Volumes 8‐17; Property Management Volumes 8‐17; Structural Survey Volumes 8‐17.

Details

Property Management, vol. 18 no. 3
Type: Research Article
ISSN: 0263-7472

Article
Publication date: 1 May 2000

K.G.B. Bakewell

Compiled by K.G.B. Bakewell covering the following journals published by MCB University Press: Facilities Volumes 8‐17; Journal of Property Investment & Finance Volumes 8‐17;…

23746

Abstract

Compiled by K.G.B. Bakewell covering the following journals published by MCB University Press: Facilities Volumes 8‐17; Journal of Property Investment & Finance Volumes 8‐17; Property Management Volumes 8‐17; Structural Survey Volumes 8‐17.

Details

Journal of Property Investment & Finance, vol. 18 no. 5
Type: Research Article
ISSN: 1463-578X

Article
Publication date: 1 March 2000

K.G.B. Bakewell

Compiled by K.G.B. Bakewell covering the following journals published by MCB University Press: Facilities Volumes 8‐17; Journal of Property Investment & Finance Volumes 8‐17;…

23746

Abstract

Compiled by K.G.B. Bakewell covering the following journals published by MCB University Press: Facilities Volumes 8‐17; Journal of Property Investment & Finance Volumes 8‐17; Property Management Volumes 8‐17; Structural Survey Volumes 8‐17.

Details

Structural Survey, vol. 18 no. 3
Type: Research Article
ISSN: 0263-080X

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