Hong Kong’s supply of so-called nano flats to peak this year as government puts minimum size restrictions in place
- Some 2,015 nano flats, measuring 215 sq ft or less, are expected to be ready this year, according to JLL
- A minimum flat size of 280 sq ft will apply to residential sites sold through government tender
The era of nano flats in Hong Kong is likely to end soon. The availability of such flats is set to peak this year, after the government put a cap on the minimum size of homes late last year, say market observers.
“We predict the completion of nano flats will peak out this year,” said Ryan Ip, head of land and housing research at the think tank Our Hong Kong Foundation. “Demand for nano flats has decreased after the government relaxed the mortgage requirements for higher-value properties in 2019, and this has been gradually reflected in the building plans of new residential projects.”
10:08
Hong Kong has until 2049 to fix its housing crisis, but is it possible?
For the flat-size measure to be effective, the government may need to increase the proportion of housing supply from land tenders, said Neon Yiu Ching-hei, researcher at Liber Research Community.