The Hong Kong Development Bureau announced that in the new fiscal year, 8 residential land parcels would be released, expected to yield approximately 5,690 residential units, a decrease from the previous year's 6,000 units, marking a new low since the implementation of quarterly land sales plans in the 2011/12 fiscal year.

Of the 8 residential land parcels, 6 are rolled over from the 2023/24 fiscal year. Among them, the parcel at Lot No. 5 in Area 4B of East Kowloon's Kai Tak is considered the most valuable, with a market valuation ranging from HKD 5.09 billion to 10.17 billion. However, in the current fiscal year, the 3 residential land parcels in Tung Chung failed to be sold, prompting the government to retain only the Tung Chung Area 106A land, which will incorporate elements of youth hostels.

Explaining the decision, the Director of the Development Bureau, Mr. Ning Hanhao, stated that the government aims to avoid over-concentration of land supply in a single area, highlighting that Tung Chung Area 106A will not only increase capacity but also undergo technical assessments along with other lands in the same area. The Director of Lands, Mr. Lai Zhihua, noted that the unit area requirements for this land have been reduced from an average of about 967 square feet per unit to 646 square feet per unit, expecting to construct over 700 private residential units and allocate approximately 10% of the gross floor area to youth hostels, providing around 160 beds.

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After removing the two Tung Chung land parcels, the land sale plan added two smaller-scale residential plots in Sha Tin Siu Lek Yuen. One of them, located near the MTR City One Station, will be the first to be tendered from April to June, expected to yield approximately 280 residential units.

Mr. Ning Hanhao revealed that the government is considering subdividing individual plots to meet market demand, including the lands in East Kowloon's Kai Tak and Area 48 in Tuen Mun. However, this requires evaluations of transportation access and pipeline planning, as well as assessing market acceptance of the subdivided lands.

As for other land supplies, MTR plans to release only one plot in the next fiscal year, located in the previously unsuccessful phase 1 of Tung Chung East Station on Lantau Island, capable of building approximately 1,200 units. The Housing Authority has three projects ready for release, including the Mong Kok Shan Tung Street / Des Voeux Road West project, the Kowloon City Kai Tak Road or Sha Po Road project, and the previously unsuccessful Kwun Tong Central District Phase IV and V Development Area land with added residential elements, totaling 2,860 residential units.

Mr. Ning Hanhao expects that the total potential residential supply for the next fiscal year, including redevelopment projects by private developers, will reach 15,150 units, exceeding the target of 13,200 units set in the Long-Term Housing Strategy by 14.8%. He stated that although there were instances of land auctions ending without bids in the previous year, the government remains composed and emphasizes that the land sale approach for the next fiscal year will be cautious, ensuring that land supply does not exceed demand. From the information released by the Development Bureau, it is clear that the government, in the face of challenges in the land market, is adopting a cautious approach, striving for balance to ensure the rational utilization of land resources and the stabilization of the housing market's development.