Sec. Cheung asserts 4% building vacancy rate is 'not excessive'

It's actually the lowest in recent years.

According to Secretary for Transport & Housing Prof Anthony Cheung, the overall building vacancy rate is 4%, which is not excessive.

Speaking to the media after attending a radio programme this morning, Prof Cheung said the rate is the lowest in recent years, with about 4,000 units not yet sold.

He hopes the developers of 50,000 units under construction can apply for their pre-sale, following the usual practice.

Prof Cheung was asked to respond to the increased number of property transactions during the weekend, after the Chief Executive had announced a series of housing initiatives in his Policy Address.

He urged potential buyers to be prudent in purchasing properties, and to be alert to the possible risk of rising interest rates in the coming years.

The International Monetary Fund recently raised concerns over risks in Hong Kong property, he added. The Government is monitoring market developments, and will take appropriate measures if necessary, he said.

On housing initiatives unveiled in the Policy Address, he reiterated that the Government will adopt a multi-pronged approach to increase public, subsidised and private housing supply to meet demand.

Considering the issue of taxi-fare increase applications, he said the Transport Department will study such factors as the consensus in the trade, taxi operating costs, owners’ and drivers’ benefits, and public affordability.

He said it would take a few months to process recent applications because the Transport Advisory Committee and lawmakers must be consulted before a proposal is submitted to the Executive Council for endorsement.

After the programme, he spoke to reporters on a suggested taxi-fuel surcharge, saying the Government was reluctant to pursue the idea some years ago as it could confuse passengers.

The Government will now study the potential impact of such a surcharge, how frequently it would be adjusted, and whether the public could afford it, he said.