“Letting of subdivided units by licensed estate agents/salespersons” Leaflet

Regarding the “regulated tenancies” in respect of subdivided units (“SDU”) under Part IVA of the Landlord and Tenant (Consolidation) Ordinance (“Ordinance”) implemented by the Government, the Estate Agents Authority (“EAA”) has already issued Practice Circular (No. 22-01 (CR)) to provide guidelines for licensees to follow.

Following the issuance of the Practice Circular, the EAA has launched a promotional leaflet to enable licensees to better understand the key points of the guidelines therein, which include disclosing licensees’ capacity in the transaction, informing clients of the requirements on the security of tenure and rent regulation, explaining implied mandatory terms, drawing client’s attention to the relevant offences and apportioned amounts, and arranging stamping and submitting the Notice of Tenancy (Form AR2).

The EAA encourages licensees to refer to the leaflet here for details of their major duties in handling SDU tenancies. If clients have any queries regarding the requirements under Part IVA of the Ordinance, licensees should refer them to the website of Rating and Valuation Department (“RVD”) (www.rvd.gov.hk), call the RVD’s hotline at 2150 8303 and/or consider seeking legal advice.

(3 January 2023)


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