More than 93 per cent of homeowners at Hong Kong’s fire-hit Wang Fuk Court have signed formal agreements to sell their flats to the government, bringing the second and final stage of the estate’s buyback scheme close to completion. The government said 1,850 homeowners had completed the Agreement for Sale and Purchase by Friday, October 16, while some owners still needed additional time to resolve property title issues.
The Tai Po housing estate was devastated by a deadly fire almost a year ago. The government introduced the buyback scheme to give owners a route to sell their damaged properties in exchange for cash compensation or a new flat in another government-subsidised housing development.
Friday marked the end of the formal signing period for the sales agreement, the second stage of the process. Officials said they would consider cases individually where homeowners could not complete the paperwork on time, including situations involving bankruptcy or owners who were outside Hong Kong.
The government’s announcement showed that the scheme had secured formal sales agreements from the vast majority of participating homeowners. However, the outstanding cases leave questions about how authorities will deal with owners whose property arrangements remain unresolved and those who have declined the offer altogether.
Second stage follows near universal acceptance
The latest figures follow an earlier round in which 1,971 homeowners, representing about 99 per cent of the estate’s owners, signed letters of acceptance agreeing to sell their flats. Thirteen households did not sign those letters.
That initial acceptance was not the final legal step. Homeowners who agreed to participate still had to complete the Agreement for Sale and Purchase to proceed with the transaction.
The distinction matters because signing an acceptance letter signals an owner’s intention to join the scheme, while the formal sales agreement advances the property transfer process. The government’s latest count of 1,850 completed agreements therefore provides a clearer measure of how many homeowners had progressed through the second stage by the deadline.
Authorities acknowledged that some owners faced circumstances that prevented them from signing in time. Issues surrounding property titles can require additional documentation or legal steps, particularly where ownership is affected by bankruptcy or where an owner cannot attend to the transaction in person.
Officials said they would make arrangements on a case by case basis for those unable to complete the process by the deadline. The announcement did not specify how many outstanding cases fell into each category or when every pending transaction might be resolved.
Owners can choose cash or another subsidised flat
The buyback scheme offers homeowners two main options: sell their flats to the government for a cash payment or exchange their property for a new home in another government-subsidised estate.
For residents who lost their homes in the fire, the arrangement provides a way to secure compensation or move towards replacement housing without waiting for the original estate to be rebuilt. The options also allow owners to consider different housing needs and financial circumstances.
The government has made flats available through a Special Sales Exercise covering 10 development projects. The locations include Kowloon Bay, Tseung Kwan O, Tai Po and Kwun Tong.
Among homeowners who signed the initial acceptance letter, about 1,700 chose to receive a replacement flat through the exercise, according to figures released by the government in September. Authorities said they had reserved a total of 4,400 flats for the scheme, giving eligible homeowners a range of properties to consider.
Flat selection began in late September for the first group of around 35 households. That initial phase marked the start of the process through which participating owners could choose a replacement home from the available developments.
The number of flats reserved exceeds the approximately 1,700 homeowners who initially selected the replacement housing option. However, the available information does not establish how many of the reserved flats will ultimately be allocated or whether every household will secure its preferred unit.
For owners who choose cash instead, the buyback provides a different route to settling their property interests. The choice between cash and a replacement flat may depend on factors such as household circumstances, preferred location and individual housing plans.
Some homeowners wanted the estate rebuilt
Despite the high participation rate, not every homeowner supported the buyback scheme. Before the deadline, some residents questioned whether the government had engaged affected owners in sufficient dialogue, while others argued that Wang Fuk Court should be rebuilt on its original site.
Those concerns reflect a disagreement over what should happen to the estate after the fire. A government buyback offers compensation or replacement housing, but it does not fulfil the wishes of owners who want to return to their original neighbourhood and see their former homes rebuilt.
The government’s latest figures do not explain the position of every household that declined to participate. It remains unclear how authorities will handle the properties belonging to owners who neither accepted the offer nor completed the required sales arrangements.
That uncertainty has become more significant as the buyback process moves towards completion. The government has said it has not ruled out using legislative means to acquire the remaining unsold units in the future.
Deputy Financial Secretary Michael Wong previously warned that compensation for properties acquired through legislation would be substantially lower than the buyback offer that expired on August 31.
His remarks set out a major financial distinction between participating in the scheme and potentially having a property acquired through a legal process later. Owners who have not accepted the offer therefore face uncertainty over how their properties might be handled if the government proceeds with compulsory acquisition.
The government has not provided a detailed account in the latest announcement of what legislative arrangements might be pursued, how long such a process could take or how compensation would be calculated in individual cases.
Outstanding property titles remain an obstacle
Although most owners have completed the required paperwork, the cases involving unresolved property titles show that a high participation rate does not mean every transaction can be finalised at the same pace.
Bankruptcy can complicate the handling of property because ownership interests and legal obligations may need to be clarified before a sale can proceed. Owners who are overseas or otherwise outside Hong Kong may also face practical difficulties in completing documents within a fixed period.
The government’s decision to consider such cases individually leaves room for arrangements that account for different legal and personal circumstances. However, officials have not announced a single extended deadline that would apply to all homeowners who missed the signing period.
For affected owners, the next step will depend on the status of their title documents and the arrangements made with the authorities. Those who have already signed the formal agreement have moved further through the sale process, while unresolved cases require additional attention.
The remaining unsold properties present a separate issue. They involve not only administrative delays but also homeowners who may have deliberately rejected the offer or continued to favour rebuilding over a sale.
What happens after the deadline?
The completion of 1,850 formal sales agreements marks substantial progress for the government’s effort to settle ownership of the fire-hit estate. The earlier acceptance figures showed that nearly all homeowners had initially agreed to participate, and the latest announcement confirms that most have moved on to the formal contract stage.
Yet the process is not fully settled. Some owners still need to resolve title problems, while those who rejected the buyback may face a different path if the government decides to pursue legislative acquisition.
For homeowners who opted for replacement housing, flat selection and allocation will remain important steps. Those choosing cash will need to complete the arrangements associated with their sales, while owners with unresolved documentation must work through their individual cases with the authorities.
The government’s next decisions will determine how quickly the remaining transactions can be resolved and what options remain for those who have not joined the scheme.
Should the government extend individual support for homeowners with unresolved property titles, or move ahead with legal measures for properties that remain unsold?