Land demand: Director of Lands Patrick Lau says the 2004-05 Application List has a good mix of sites with nine out of the 14 residential ones having an area of less than one hectare which will meet the needs of different developers, including small and medium ones.

A new application list comprising 17 sites, including 14 residential and three commercial/business sites, will be available until March next year.

The residential sites have a total area of about 10.5 hectares. Six are on Hong Kong Island, five in Kowloon and three in the New Territories.

The commercial/business sites, with a total area of about 2.6 hectares, are located in Kowloon Bay, Tsuen Wan and Tin Shui Wai. They can also be developed for hotel use.

Director of Lands Patrick Lau said to provide variety, the 2004-05 application list comprises sites of different sizes and uses, adding that it contains five residential sites suitable for the upper market.

He said the list has a good mix of sites with nine out of the 14 residential ones having an area of less than one hectare. This should meet the needs of different developers, including small and medium ones.

The residential sites, if all sold, will produce 7,800 flats. The earliest estimated completion date for these is 2007. This will not overload the market and will enable it to grow in a healthy manner.

Developers interested in any of the sites on the list can submit an application for consideration. The applicant must offer a minimum price to purchase the site.

"The application list system is market-driven. It enables the market to determine flexibly the quantity and timing of land to be put up for sale," Mr Lau said.

"Sites successfully triggered for sale will be sold through auction or tender. In this respect, the Government will realise optimum proceeds through competitive bidding which will reflect the open market value of the sites."

If the Government considers the price offered by the applicant acceptable, it will be required to enter a formal agreement and pay the required deposit whereupon the site will be put up for sale by open tender or auction.