Hong Kong lawmakers have reviewed a proposal to increase the approved funding for the Wang Fuk Court property buyout scheme by HK$1 billion, bringing the total financial commitment for the fire-stricken estate to HK$50billion.
During a Legislative Council Finance Committee meeting on Friday afternoon, officials confirmed that the government has officially begun distributing the buyout funds, with the first batch of participating residents already receiving their compensation to secure new housing.
Accelerating financial relief
The funding boost aims to facilitate the comprehensive property acquisition plan covering all eight residential blocks of Wang Fuk Court.
Addressing inquiries from Hong Kong Federation of Trade Unions lawmaker Joephy Chan Wing-yan regarding the payout timeline and compensation amounts, Deputy Financial Secretary Michael Wong Wai-lun reported significant progress.
He noted that nearly eight hundred households have already signed the acquisition contracts, representing roughly forty-three percent of the residents who agreed to the buyout scheme.
Officials emphasized the government’s commitment to expediting the financial relief, confirming that over a dozen households received their payouts on Friday, with the compensation averaging around HK$3 million per unit.
Rent subsidies and relocation logistics
Legislators also raised practical concerns regarding the residents’ transition period.
Democratic Alliance for the Betterment and Progress of Hong Kong (DAB) lawmaker Gary Chan Hak-kan expressed gratitude for the inclusion of Wang Chi House in the buyout program.
He noted that affected residents have transitioned from a state of helplessness to feeling hopeful about their future after participating in government-organized property viewing tours.
In response to Chan’s questions about whether the newly announced rent subsidies would draw from the requested HK$1 billion, Wong clarified that the rent assistance is entirely financed by a separate relief fund, not public coffers.
He also assured residents whose flats were not directly damaged by the fire that authorities would adopt a flexible and compassionate approach, allowing them to return to their units to retrieve personal belongings and large furniture when they are ready to move into their new homes.
Long-term redevelopment and land resumption
Looking ahead, Election Committee constituency lawmaker Andrew Fan Chun-wah raised questions about the long-term strategy for the Wang Fuk Court site once the property rights are fully acquired.
Officials clarified that the current funding request is strictly designated for the property buyouts and does not cover future demolition or community redevelopment projects.
The government estimates it will take up to three years to consolidate all property rights before any post-disaster site planning can begin.
Acknowledging that legislation may eventually be required to resume the remaining properties, officials addressed concerns raised by Election Committee lawmaker Andrew Lam Siu-lo about potential mandatory acquisitions through the Lands Tribunal.
Lam worried that the Tribunal would use the depressed post-disaster market value for compensation.
Wong assured lawmakers that future legal compensation would follow standard financial procedures, acknowledging that the post-disaster market value of the estate remains noticeably lower than the government’s current proactive buyout offers.