HKU scholar: phasing out smallest subdivided flats could push up rents of remaining units

Vera Yuen Wing-han, a lecturer in economics at the University of Hong Kong, has expressed concern that the government’s plan to phase out subdivided flats smaller than 86 square feet could result in higher rents for the remaining units or force some low-income individuals to crowd into the same space to save money. In his 2024 policy address, the city’s leader John Lee Ka-chiu listed tackling the long-running issue as one of his goals under a Key Performance Indicators (KPI) strategy. But Yuen cautioned that this approach could lead to  the government focusing on “superficial” and short-term goals, neglecting projects that require a longer time frame to see results.