Professional Housing Management Practices in Hong Kong

CHAPTER 1. Concepts, Principles and Evolution

Concepts, Principles and Evolution 5 CHAPTER 1 Concepts, Principles and Evolution Edward Y. L. CHAN Introduction When a society develops, the yearning for adequate housing services becomes more prominent. The high cost of housing usually constitutes the largest single expenditure of a household. Likewise, governments, whether of developed or developing countries, intervene actively in the housing market to strike a balance between supply and demand by direct and indirect subsidies. Parallel to the provision of other social services such as education, health, welfare and so on, housing investment may take up the lion’s share of state budgets. Housing services go far beyond offering physical shelters to occupants. They include the provision of infrastructure and amenities such as supplies of water/ electricity/gas, waste disposal, transport networks, fire prevention and security. The provision of adequate housing has favourable effects on public health, growth and education of children, family cohesion, social stability and reproduction of labour power. With the growing affluence of a society, aspirations for better housing will be bound to escalate. Empirical studies show that the mere supply of adequate housing units does not guarantee a healthy and decent living environment. Buildings deteriorate rapidly without proper management and maintenance; those properly managed see their asset value enhanced enormously. Simply put, effective management concepts and procedures are essential factors in sustaining a better living environment. Adopting a liberal interventionist approach over the last forty years, half of the total population of Hong Kong are now living in rental or owner-occupier housing provided by the government. For one reason or another, the management of public sector housing has aroused great public interest. At the other end of the spectrum, the importance of housing management has also escalated in the private housing sector, especially in large scale residential cum commercial 6 Edward Y. L. Chan housing projects like Harbour City, Whampao Garden, etc. In fact, housing management in the territory does not only have a wide scope, but it also expands continuously and evolves over time. This chapter discusses the concepts and the development of housing management in Hong Kong. It initially deliberates on the definition and the functions of housing management. It then details the evolution of housing management in the public and private housing sectors. Definitions of housing management The idea of developing housing management into a profession was first conceived between 1860 and 1864. Its founder, Octavia Hill pondered the possibility of changing the landlord and tenant relationship from one of endless feuds to a human partnership, enriched with mutual respect and a common goal of preserving and improving bricks and mortar so that houses are turned into homes. While initial emphasis of housing management is narrowly construed to its social functions, both the continuous advancement in construction technology and the dynamic environment in the realm of housing provision, call for wider interpretations and applications. Nowadays, the term “housing management” in its widest perspective is used to refer to the management of all the present and potential housing resources of an area so as to contain and ameliorate, as well as to eliminate, its inherent problems. In the same context, Macey and Baker have as early as 1978 tendered a broader definition of housing management which runs as follows: Good management may be defined as the application of skill in caring for the property, its surroundings and amenities, and in developing a sound relationship between landlord and tenant, and between tenants themselves, in order that the estate, as well as the individual houses, may give the fullest value to both the landlord and the tenants. From the landlord’s point of view, it is desirable that the properties should be as efficiently and economically maintained and managed as possible; while from the tenant’s point of view, the house should provide a home, the focal point for a full and happy life for the family, set in surroundings where there are opportunities for attaining the wider goal of a full and happy community life. In a nutshell, the art of housing management makes the difference between maintaining and improving a structure or allowing the deterioration of plant and buildings. Proper management is aimed at improving and sustaining the overall living environment. As elaborated upon in greater detail in the ensuing paragraphs, modern housing management is a people-oriented and multi-faceted professional service. It also involves other housing related professionals, service contractors, landlords Concepts, Principles and...