The Lands Department will study a suggestion to supply small-sized commercial sites through auction or tender Director of Lands Patrick Lau says, adding the Application List System is market-driven - and here to stay.

Speaking on a radio talk show, Mr Lau said property developers must consider a number of factors, such as development strategy, before submitting land-sale applications. Therefore, the developers' accusation that the lack of land-sale applications in recent months was mainly attributable to a high land-price policy is unfair, he added.

Mr Lau pointed out Government and private surveyors may have different assessments of the market value of sites as each site has its own characteristics. The Government will dispose of sites carefully, having regard to maintaining a balance among all parties' interests.

He also stressed the existing housing policy is clear and consistent, adding the Application List System is effective and will not be changed. To help small-sized developers participate in property developments, Mr Lau said the supply of small commercial sites through means other than land-sale applications will be considered.

On revenue from land sales, Mr Lau said the three sites sold through auction so far this financial year was a lower number than expected. However, the revenue from real-estate developers' land premiums doubled. Therefore, the total revenue from land premiums for this financial year will reach the target.