Housing estate facilities poorly managed: Survey
Updated: 2008-10-30 07:35
By Joseph Li(HK Edition)
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The management companies contracted to run200 shopping malls, carparks and markets in public housing estates have come under fire from a pressure group for poor management of the facilities and exorbitant rent raises.
The Link Management Limited, which outsourced the facilities' management to these companies, took over the facilities formerly run by the Housing Authority (HA) in 2005 after the HA tried to raise capital to resolve its budget deficit by setting up the Link Real Estate Investment Trust that went public and selling those facilities in 2005 in the form of securities.
Recently, pressure group The Link Watch surveyed over 200 residents living near Chung Fu Market in Tin Shui Wai district as an example of how poorly these facilities are being managed. As surveyed, 72 percent were not satisfied with the performance of the management company. Owing to higher prices and inadequate varieties in the market, the residents, except working females and the elderly, had to go to other nearby markets.
Meanwhile, about half of the 30 tenants at Yu Chui Shopping Centre in Sha Tin district stopped business yesterday morning and later on protested to the head office of the Link Management Limited over high rents.
According to Madam Lam, one of the protesters and in her 50s, who sells incense and joss sticks for ritual purposes, the management company asked her to leave when the contract expires on December 15, saying what she sells have little demand. She argued that incense and joss sticks are always in demand in Chinese societies. If she quits, she will have to apply for social security because she has no other skills.
Facing the same sorry plight are Madam Yeung and Mr Lam. Yeung, a chilled chicken and goose vendor, is required to pay a new monthly rent of HK$23,000 versus the existing HK$5,000. Lam, a metal ware vendor who pays HK$6,000 per month, is asked to pay HK$16,000 if he wants to renew his rent contract.
The concerned management company argued that the new rents reflected the current market value of the shops. It also wanted to take back the space occupied by shops that are not doing well to make way for ones that sell services or products with greater demand.
(HK Edition 10/30/2008 page1)