Financial Secretary John Tsang will study relocating three government office buildings at the Wan Chai waterfront to new districts such as the Kai Tak Development Area and Tseung Kwan O.

This will free some land in the central business districts for developing Grade A offices and give fresh impetus to the new districts and add job opportunities there, Mr Tsang said in his 2008-09 Budget speech today.

He explained more sites for such offices in central business districts must be identified to keep the city's economy growing, and it is not necessary for all government office buildings to be located in these areas.

Land supply

In view of the upward pressure on both property prices and rent due to rising demand, the Financial Secretary said the Government will increase land supply, noting the 2008-09 Application List to be unveiled by the Development Bureau shortly will increase the number of sites from last year's 47 to 62, covering a total area of 60 hectares.

To provide a better living environment, Mr Tsang added each site will state the relevant development parameters like building height, permitted floor area and ventilation requirements. The bureau is also reviewing several districts' outline zoning plans for the same purpose - even though the measures will result in reduced revenue.

Mr Tsang stressed the Government has no intention of changing the Application List System and resuming scheduled land auctions, saying the system works well and prevents the Government from interfering with market operation unnecessarily.

Temporary use

To use land resources more proactively and flexibly, he said the Development Bureau is studying how best to make use of two sites of about 14 hectares next to the Wetland Park in Tin Shui Wai North.

The Lands Department will also liaise with District Councils to study ways of putting vacant land not needed in the short term to better use, such as beautifying it or converting it to other temporary public use.

In the next few months, the Development Bureau and the Urban Renewal Authority will conduct a strategy review.