Rents for 20,000 public rental housing flats in the Housing Authority's eight new estates to be completed early next year will be fixed based on reduced district best rent levels.

As the authority earlier adopted a uniform rate of an 11.6% rent reduction as a starting point for the new rent adjustment mechanism, the district best rents for newly completed public rental housing estates will also be reduced by 11.6%.

The reduced inclusive best rent at $56 per square metre per month for flats in the urban district will apply to the 716 non-standard flats at Oi Tung Estate Phase 5, the 3,995 New Harmony flats at Choi Ying Estate Phases 1 & 2, the 1,598 non-standard flats at Yau Lai Estate Phase 3, the 3,196 New Harmony flats at Un Chau Estate Phase 2 and the 337 Converted Housing for Senior Citizens flats at Un Chau Estate Phase 4.

The rent for the 1,598 New Harmony flats and 385 Annex Block flats at Kwai Chung Estate and 2,333 non-standard flats at Mei Tin Estate Phase 3 will be $54.10 per square metre per month.

The 1,598 New Harmony flats at Ching Ho Estate Phase 2 will be $39.60 per square metre per month. The 3,836 non-standard flats at Tin Ching Estate Phases 1 & 2 will be $37.30 per square metre per month.

Under this rent fixing exercise more than 83% of the flats are set at a rent level below $1,800 per month. The first rent review cycle for these new estates will be conducted in January 2010.

Low-income households who cannot afford the rents of the new flats will be offered refurbished flats in older estates where they can immediately apply for the Rent Assistance Scheme.