Hong Kong chief executive election 2022: can John Lee be the leader to finally untie the knotty problem of housing?
- Beijing has long singled out housing as a ‘deep-seated social issue’ plaguing Hong Kong.
- But can John Lee successfully balance land supply with demand for flats and developers’ interests when so many other leaders could not?
Hong Kong’s housing crisis has been long in the making and lethargic in its resolution. As part of the continuing chronic shortage of affordable housing, more than 220,000 residents are also currently stuck in the infamously labelled cage homes or subdivided flats, while families face an average wait of six years for public housing as of February, charting a 23-year high.
While there have been many theories, the hard truth is that the city faces a dire shortage of land even as property developers are sitting on land banks, controlling supply and therefore heavily influencing prices. The government, meanwhile, being highly dependent on land revenue as a major source of income, is saying its stocks are limited and it is not prepared to sell land cheaply.
Just how to resolve these conflicting agendas will now be Lee’s problem. Given that Beijing had repeatedly also said housing was a deep-rooted issue and the source of public unhappiness, analysts and lawmakers alike are watching keenly how Lee intends to untie this Gordian knot – finding enough land and speeding up the building of new homes.
