Responsiveness of the planning control system in Hong Kong : the case of hotel development application

Abstract

Under the background of the perceived supply inelasticity of hotel property, the study seeks to examine the role of the planning control system in this perceived supply inelasticity through analysing the responsiveness of the planning control system to hotel property development. Based on the premises that a responsive planning system should(1) allocate land in right amount and good quality, (2) provide certainty to developers as to what is permissible, and (3) provide flexibility under changing market conditions or for developers to argue for what they considered as the best results, it is argued that, with a few exception, individual planning policies are largely responsive to hotel development for it has given, and has been gradually giving more, certainty and flexibility to development initiatives including those opting for hotels development. Acknowledging that responsiveness of policies may vary as they are interpreted and applied in practice, the study proceed to analysis the responsiveness of planning control system to hotel development in practice. It is found that, in the realm of site attributes, the planning control system generally shows no particular preference on plot size and locations when releasing land for hotel development. In the realm of development intensity, the planning control system has transformed gradually from an uncertain yet rigid system to one with good mix of certainty and flexibility that are desired by the hotel developers. In the realm of technical matters like internal transport facilities provision, flexibility is available albeit fixed standards are stipulated in the HKPSG. Given all these, it is concluded that the planning control system is responsive to hotel development. And it is therefore contended that it is not likely for the planning control system to constitute a major cause for the supply inelasticity of hotel property. It is further suggested that it is the trend planning practices for hotel development that may be the root cause of the supply inelasticity on one hand, and the land use incompatibility issue as raised by critics on the other.