The Hong Kong General Chamber of Commerce (HKGCC) welcomes the Development Bureau’s promulgation of the Extension of Government Leases Bill (the Bill) today, which establishes a permanent mechanism that streamlines the extension process and eliminates the need for all property owners to sign new leases with the Government.
According to the policy, general-purpose leases, including residential, commercial and industrial leases, but excluding special-purpose leases, will normally be renewed by the Government for a period of 50 years without payment of additional premium.
The Bill continues to follow the 1997 land policy, and stipulates that the Director of Lands shall, at least six years before the expiry of each lease, publish in the Gazette a "Extension Notice " and a "Non-extension List" to declare that the title deeds specified in the "Extension Notice " will be renewed, unless the title deeds are listed in the "List of Non-Renewals."
HKGCC believes that land leases are crucial for citizens and businesses’ security, so the new extension mechanism should be welcomed by people from all walks of life as it increases clarity and certainty, as well as reduces costs and encourages investment.