HONG KONG – Residents of subdivided units (SDUs) in Hong Kong with imminent short-term rehousing needs can apply for transitional housing as Category C tenants starting Oct 3, according to the Housing Bureau.

With the Basic Housing Unit (BHU) regulatory regime taking effect from March 1 next year, SDU residents may be affected due to alteration works required for obtaining BHU recognition or enforcement actions by the government upon expiry of the registration period on March 1, 2027.

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Some of such residents may not be able to identify suitable accommodation within a short period of time, the bureau pointed out.

Understanding that some residents may not fulfil the prevailing application requirements for Light Public Housing or transitional housing, the bureau has decided to create a new type of Category C tenants for transitional housing to help such affected SDU residents.

“The objective of creating Category C tenants for transitional housing is to provide short-term accommodation for SDU residents in need before they identify suitable long-term accommodation,” said a spokesman for the Housing Bureau.

The announcement came hours after the Legislation Council passed the Basic Housing Units Bill on Friday, making it mandatory for owners of SDUs in residential buildings to register their properties and meet relevant standards.

Under the new legislation, such SDUs must comply with a set of minimum standards of living conditions, including minimum area, minimum height, fire safety, structural safety, separate toilet, water supply requirements, lighting and ventilation and separate water and electricity meters.

The Housing Bureau said applicants of Category C tenants can be exempted from meeting the prevailing income and asset limits for transitional housing, but they still need to meet other eligibility requirements.

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In addition, the applicants or their family members must have lived in SDUs consecutively for at least six months, and provide documentary proof for review by any of the six District Service Teams commissioned by the Housing Bureau.

As the bureau anticipated that some Category C tenants may be able to identify suitable long-term accommodation soon after moving into transitional housing, the tenancy for Category C tenants will be set on a monthly basis, with the shortest being one month and the longest generally not exceeding two years.

“A three-tier rental arrangement will be adopted for Category C tenants to prevent the precious housing resources from being abused,” the spokesman said.

Category C tenants shall pay the original rent of the transitional housing project in the first 12 months of residence. Upon completion, they may apply for two extensions.

For the first extension, the 13th to 18th month of residence, Category C tenants who are still in imminent rehousing need may be granted a six-month extension of lease, but they will be required to pay 1.5 times the rent.

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For the second extension, which is the 19th to 24th month of residence, Category C tenants still in imminent rehousing need may be granted a further six-month extension of lease, but they will be required to pay double rent.

“Category C tenants with residence of only one to six months may be required to pay an additional cleaning and administration fee to the relevant operating organization, although this fee will not exceed half a month's rent for the relevant unit,” added the spokesman.