PRIVATIZATION OF PUBLIC HOUSING Essay

It has been proverbially acknowledged in the globe that public services concerns with the long-term benefits of the communities through its investment and responsibility of the social infrastructure.   Public Housing has proven to be one of the vital public services in Hong Kong, playing an important role in enhancing social stability and economic development since there are approximately one half of populations living in the housing estates currently.  

Historically, the establishment of Housing Authority (“HA”) was aiming at providing the lower class people with a suitable and favourable residential environment and what is more, furnishing a ‘small capital business’ franchise for businessmen.   Since late 1980s, the HA has by inchmeal launched privatization schemes, which are deemed not merely an economic matter, but also a lively political matter in affecting people’s livelihood.   Questioning the way privatizing public assets operates in contemporary society has become an established field of investigation.   More specifically, the controversy surrounding the flotation of the Link Real Estate Investment Trusts (“the Link REIT”) seemed to have aroused a dimidiate debate, which could be illustrated by the milestone judicial case against listing of the Link REIT in 2004.

In respect to the privatization schemes, the SAR government was at one antipode and the public housing estate tenants were at the other.   This article seeks to canvass with painstaking details the merits and infirmities of privatization of public housing in Hong Kong by utilizing the Link REIT issue as a chief example.   Section One is going to unravel the situation of privatization in Hong Kong.   Section Two to Four will demonstrate the dichotomous arguments upon the Link REIT operation.   Section Five will shift backward to conclude the effect of privatization.   A comparison between the operation of the Link REIT and MTR Corporation, as well as an evolving concept of Corporate Social...