Re: Compliance with development controls in respect of properties involved in property transactions

A number of landslide incidents arising from the recent rainstorm have revealed blatant breaches involving unauthorised building works and unlawful occupation of Government land, particularly in relation to house-type premises. The Estate Agents Authority received a letter from the Development Bureau (“DB”) that they would like to emphasise to licensees involved in property transactions the importance of being vigilant about the compliance or otherwise of the property with relevant laws and requirements on development controls.

According to the DB, private land and properties are subject to statutory and contractual controls under three main development control regimes in general, namely: the Town Planning Ordinance (Cap. 131), the Buildings Ordinance (Cap. 123) and the relevant Government leases. Moreover, the use of private land and properties should be confined to the boundaries of the private lots concerned and in full compliance with approved building plans. Occupation of unleased Government land without the relevant approval of the Government is unlawful under the Land (Miscellaneous Provisions) Ordinance (Cap. 28). In case of contraventions of relevant laws and requirements, the Government will take action against relevant persons and in respect of the land concerned as the Government deems fit. If a criminal offence is involved, prosecution may be brought against the offender(s).

The DB would like to remind licensees involved in property transactions (including but not limited to transactions involving house-type premises) that the Government takes a very serious stance towards non-compliant properties and the relevant parties involved. To avoid unnecessary risks or liabilities, licensees should be vigilant about any non-compliant properties and should provide accurate information on such non-compliance to their clients to the best of their knowledge.  Licensees are also advised that if there is doubt as to whether a property complies with the relevant laws and requirements, they should ask their clients to consider seeking independent professional advice before proceeding further with the transaction.

(6 October 2023)