HONG KONG (AP) – On Saturday, officials in Hong Kong announced resettlement plans for thousands of individuals displaced by the deadliest blaze in decades, which occurred last November. The government proposed a plan to buy back the homeownership rights from fire victims, providing them with options to secure new accommodations.
Nearly three months after the massive fire spread across seven apartment buildings in Wang Fuk Court, former residents have faced uncertainty concerning their future housing. The blaze resulted in devastating losses, and many displaced individuals are currently residing in temporary accommodations across various districts. The government has been assisting homeowners by offering rental grants to help cover short-term housing expenses.
During a news conference, officials revealed that homeowners from the affected seven buildings could opt to sell their ownership rights for cash, empowering them to secure accommodations of their choice. Alternatively, they could purchase an apartment under a specific government policy or engage in a direct exchange for a new apartment without dealing with a significant cash transaction.
The government estimates that buying back the rights to approximately 1,700 units would amount to about 6.8 billion Hong Kong dollars (approximately $870 million). Of this, around 4 billion Hong Kong dollars (about $512 million) would come from public funds, while the remainder would be sourced from a relief fund. There is potential for reducing the public funds required, depending on future insurance compensation.
Michael Wong, the city’s Deputy Financial Secretary, indicated that the government intends to dismantle the seven buildings and has no plans to redevelop residential homes on the site. Instead, there are proposals to convert the area into a park or community facilities. Wong emphasized that repairing the damaged buildings is not a reasonable or cost-effective option. He highlighted the dire situation for homeowners, suggesting that without government intervention, their financial investments in these properties could potentially become worthless.
The administration aims to reach out to the homeowners in March and hopes to disburse payments by the third quarter of this year. Those who prefer the apartment exchange program could have the opportunity to select new homes starting in September. These proposals followed consultations with affected residents, with a survey revealing that 74% of respondents were open to selling their ownership rights back to the government. In contrast, about 9% expressed a desire for redevelopment on the original fire site, a process that is expected to take around a decade.
The tragic blaze, which occurred on November 26, 2025, resulted in the loss of 168 lives and deeply impacted the tight-knit community in the Tai Po district. Authorities attributed the rapid spread of the fire to substandard scaffold netting and foam boards utilized during a maintenance project. While some arrests have been made in connection to the incident, an independent committee continues to investigate the full circumstances surrounding the fire.
