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LDCS 6000/2022
[2023] HKLdT 56
IN THE LANDS TRIBUNAL OF THE
HONG KONG SPECIAL ADMINISTRATIVE REGION
LAND COMPULSORY SALE MAIN APPLICATION NO 6000 OF 2022
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BETWEEN
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WELLAND RESOURCES LIMITED
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1
st
Applicant
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TREASURE BRIGHT INVESTMENT LIMITED (庫輝投資有限公司)
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2
nd
Applicant
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and
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MEGA JOYFUL LIMITED
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Respondent
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__________________________
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Before:
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Mr Lawrence Pang, Member of the Lands Tribunal
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Dates of Hearing:
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21, 23, 26, 28-30 June 2023
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Date of Respondent’s Closing Submission:
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21 July 2023
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Date of Applicants’ Closing Submission:
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11 August 2023
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Date of Judgment:
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12 September 2023
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J U D G M E N T
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1.
This is an application for a compulsory sale order (hereinafter referred to as “the Application”) to sell all the undivided shares of the Remaining Portion of Inland Lot No 199 (hereinafter collectively referred to as “the Lot”) under the Land (Compulsory Sale for Redevelopment) Ordinance,
Cap 545
(“the Ordinance”). Erected on Lot is a 6-storey tenement buildings being served by a common staircase (“the Building”) at No 18 Sau Wa Fong, Wan Chai, Hong Kong which discharges onto a side lane (“the Side Lane”) by the side of the building.
2.
The occupation permit for the Building (“OP”), H69/63 was issued pursuant to the then Buildings Ordinance, 1955 on 3 May 1963 whereby each of the 6 floors was permitted for one tenement for domestic use.
3.
According to the Land Registry, there is a Deed of Mutual Covenant dated 17 October 1964 by which one equal and undivided share was allotted to each floor.
4.
Mr Simon K C Lam (“Mr Simon Lam”), counsel for the applicants, summarized in his opening submission that at the time of the Application dated 6 May 2022, the applicants altogether owned 83.33% of the undivided shares of the Lot save for the share allotted to the ground floor of the Building which is owned by sole respondent.
5.
This sole respondent is represented by Mr Adrian But (“Mr But”), instructed by Messrs Mayer Brown.
Whether the Applicants are entitled to make the Application
6.
Section 3(1) of the Ordinance requires an applicant to have not less than 90% of the undivided shares in a lot before he can make an application.
7.
Section 3(5) of the Ordinance provides that the Chief Executive in Council may, by notice in the Gazette, specify a percentage lower than the percentage mentioned in section 3(1) in respect of a lot belonging to a class of lots specified in the notice.
8.
The Land (Compulsory Sale for Redevelopment (Specification of Lower Percentage) Notice was gazette on 22 January 2010 and came into operation on 1 April 2010 (“the Notice”). Section 3 of the Notice lowered the threshold for compulsory sale in respect of the classes of lots specified in the Notice from 90% to 80%. Those classes of lots include:
(a) a lot with each of the units on the lot representing more than 10% of all the undivided shares in the lot; and
(b) a lot with each of the building erected on the lot issued with an occupati
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