Legitimacy reaffirmed: Secretary for Housing, Planning & Lands Michael Suen says the listing of the Link REIT has a strong legal basis.

Secretary for Housing, Planning & Lands Michael Suen says all legal issues relating to the divestment of the Housing Authority's properties were carefully considered before its pursuit.

Speaking on radio talkshows today, Mr Suen said advice from both local and international senior counsels was sought before pursuing the divestment idea two years ago.

The senior counsels have re-affirmed the legality of the divestment exercise, and advised the Housing Authority possesses express power to divest its property under the Housing Ordinance.

This point was also re-affirmed by both the High Court and the Court of Appeal, and the Legislative Council vetted the plan to list the Link Real Estate Investment Trust.

Mr Suen pointed out the rule of law has been the cornerstone of Hong Kong's success and people have the right to lodge judicial reviews.

IPO re-launch to be prepared as soon as practicable

He stressed the Government has no plan to tackle the issue through legislation, and will strive to clear all legal impediments. At that point, it will prepare a re-launch of the initial public offering as soon as practicable.

Mr Suen also pledged to boost communication with public housing tenants and shop owners to better understand their needs.