Nearly all Wang Fuk Court owners accept buy-out, leaving 17 holdouts as offer ends

Nearly all of the homeowners at fire-damaged Wang Fuk Court have accepted the government's buyout offer, leaving only 17 households potentially facing compulsory acquisition after the scheme concluded on Monday. Out of the 1,984 flat owners, 1,967 or 99.1% returned acceptance letters before the 5pm deadline. Of those accepting, 1,559 or 78.6% have signed agreements with the government for the sale of their properties.

The HK$6.8 billion (US$867.24 million) buyout scheme was introduced in February following a devastating fire that struck seven blocks of the Tai Po estate in November, claiming 168 lives and displacing around 5,000 residents. The government extended the offer to Wang Chi House, the sole block not affected by the blaze, adding HK$1 billion to the scheme's cost.

Compulsory acquisition will take place at lower compensation levels, with the government acquiring flats at HK$8,000 or HK$10,500 per square foot, depending on the owner's land premium. Owners can use the compensation to buy a private flat on the open market or join a special sales program for subsidised housing. Deputy Financial Secretary Michael Wong Wai-lun stated that the offer was set at 30% above pre-fire valuations and would not be negotiable, as it would not be comparable to a private sale.

While some residents felt the compensation was insufficient, they were warned that compulsory acquisition would result in a significantly lower payout. Experts, such as Vincent Ho Kui-yip, a former president of the Hong Kong Institute of Surveyors, acknowledged that the acquisition price was generous, considering Wang Fuk Court's age and the fact that it exceeded recent transaction prices for other Home Ownership Scheme flats in Tai Po.

Some residents who refused to sell cited emotional attachments, misconceptions about compensation, unresolved inheritance procedures, and family disagreements. The South China Morning Post spoke to six residents who remained unwilling to sell, with several of them expressing that no financial package could compensate for the loss of their long-time homes and community.