Home Ground

New PLH model makes public housing more equitable

Before the new rules extend to more flats, test them against equity concerns from home owners' point of view

The PLH model is a very good step in the right direction, but before it is extended, it should be tweaked to give space to more diverse family types, says the author. PHOTO: ST FILE
New: Gift this subscriber-only story to your friends and family

The development of new prime location public housing (PLH) is an opportunity for a deep rethink of the Housing Board's decades-old policy of building affordable flats for families for owner occupation, while letting home owners enjoy capital gains if they decide to sell the flat on the resale market after the minimum occupation period (MOP).

The new PLH model announced last week changes the rules of the game in a definitive way. Changes include: introducing higher subsidies to keep these flats affordable; lengthening the MOP from five to 10 years; not allowing renting out of the whole flat; and introducing a "subsidy recovery" regime to make sure flat sellers pay back a percentage of resale flat prices to make up for the extra subsidies enjoyed on initial purchase.

Please or to continue reading the full article.

Get unlimited access to all stories at $0.99/month

  • Latest headlines and exclusive stories
  • In-depth analyses and award-winning multimedia content
  • Get access to all with our no-contract promotional package at only $0.99/month for the first 3 months*

*Terms and conditions apply.

Join ST's Telegram channel here and get the latest breaking news delivered to you.