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PurposeHong Kong, like many other developed cities and countries, invests heavily in transport development. This study investigates whether the speculative benefits of future improvements in accessibility, brought about by impending transport development, will be capitalized into nearby residential property values even prior to the opening of the development.Design/methodology/approachDeviating from the standard hedonic price approach, the present study employed a fixed-effects model with a large data set of residential property transactions in the vicinity of three-stations situated along a newly proposed mass-transit-railway line in Hong Kong.FindingsThe results suggest that the values of residential properties close to stations do reflect the accessibility enhancements to be brought about by transport improvements even before the opening of the line. Results revealed a 6.5% of property value premium after the announcement of construction; and higher up to 6.7% after the operation of the line. This indicates that forthcoming new transport-infrastructure development produces changes in spatial price-gradients for neighbouring residential properties. Findings indicate that potential buyers/investors recognized the positive benefits of the planned transportation development, even before completion of the project, and are ready to pay a premium for those properties close to railway stations, representing clear evidence that residential property prices/values, near stations, reflect anticipated accessibility enhancements brought about by transport improvements.Originality/valueThis study, using a novel approach – a fixed-effects model to capture the speculative benefits of future improvements in transport infrastructure – provides a positive hypothesis that expected benefits of future improvements in accessibility are capitalized into property values.

This is an accepted manuscript of an article published by Taylor & Francis in Housing Policy Debate on 10/08/2021, available online: https://doi.org/10.1080/10511482.2021.1931932 The accepted version of the publication may differ from the final published version.

Purpose“Ill-maintenance of common areas” in multi-owner residential properties is described as the “tragedy of anti-commons problem”. The problem can be addressed by outsourcing the management of the property to a company possessing quality property management (PMGT) certification. The PMGT certification is normally hailed as an effective means of reassuring occupiers and prospective property buyers of the good level of quality of the property management to be expected. This study investigated whether PMGT certification carries with it a price premium for residential properties.Design/methodology/approachA fixed-effects modelling approach was employed in relation to a large residential properties dataset in Hong Kong, in the period 2009–2018.FindingsThe results indicate, on average, that the PMGT certification commands a price premium of between 3.3 and 3.9%. This premium can be called, the “tragedy of anti-commons premium (TAC premium)”. The results further suggest that significant price premium differences relate to the four different types of certifications studied. The price of a residential unit managed by a property management company (PMC) with Q-mark certification is about 3.4% higher than a unit managed by a non-certified PMC, ceteris paribus. Likewise, corresponding price premiums for units certified related to ISO9001 and HKMAQA certifications are 3.5 and 2.4%, respectively.Originality/valueTo the best of author's knowledge, this is the first attempt to investigate if there is any relationship between the property price premium attributed to “tragedy of anti-commons” and PMGT certification.

An ageing population is a global phenomenon. Like other developed economies, Hong Kong Special Administrative Region (HKSAR), China, also faces a severe ageing problem. One initiative to enhance the safe living and well-being of the growing elderly population is to assist them by building ageing-friendly living environments with the application of smart home technologies (SHTs). Therefore, this study focused on investigating the perception of professionals on the use of SHTs to improve and enhance the “ageing-in-place” (AIP) of elderly residents in HKSAR, China. A questionnaire survey was employed to obtain the perception of professionals with requisite knowledge of the older people facility needs regarding SHTs in achieving AIP for the elderly. The data retrieved were analysed with different statistical analyses. Based on the results of the analyses, all the professionals had similar perceptions of the use of SHTs for the safety and well-being of the elderly, except for the incongruence observed between the government employees, contractors and academic regarding how SHTs may not help to better monitor elderly daily activities. The possible reasons for the inconsistent opinions of the academics with other groups were linked to the knowledge of human behaviours and early dementia symptoms in gerontology. The findings will help care receivers, healthcare professionals, social workers, policymakers, smart home designers and developers to improve and enhance AIP in elderly residences in HKSAR, China.

Green certification is often hailed as an effective means of resolving information asymmetry by providing prospective buyers with credible proof of a property’s level of quantitative sustainability...

Case-based learning (CBL) is a teaching method used in many disciplines of tertiary education. Based on a questionnaire survey and focus group discussions, the perception of the real estate and con...

Purpose Project delays and cost over-runs are few common major problems arising from conventional contracts. To overcome these issues, the Hong Kong Government has been practicing the use of the New Engineering Contract (NEC) forms in several public works projects. However, despite the successful outcomes and the positive signs of adopting NEC, it appears that NEC forms of contracts are not widely adopted in the Hong Kong construction industry even after 25 years of their first introduction. The purpose of this paper is to identify the challenges and barriers for not implementing NEC widely in Hong Kong. Design/methodology/approach Based on a questionnaire survey data collected from 45 senior industry professionals, and six semi-structured interviews, the study evaluated the perceptions of construction professionals as to why NEC is still not popular in the industry and reported the relative importance of challenges in the implementation of NEC in Hong Kong. Findings The results reveal that “People are not willing to change,” “Limited number of trained professionals” and “Insufficient case law and adjudication experience” are the most significant challenges and barriers in adopting NEC. These findings are also supported by the opinions of construction professionals through semi-structured interviews. Practical implications The findings are relevant and would benefit to the industry stakeholders for adopting NEC contracts by informing them of the most significant challenges so that proper strategies may be devised to overcoming them for early contractors’ involvement, controlling cost and time overruns in infrastructure projects. Originality/value The empirical evidence of the study provides an insight into the challenges faced by the construction industry of Hong Kong. NEC form of contract is the way forward in order to create a better working environment conducive for all the parties that would result in better construction project performance and productivity.

Purpose This study aims to analyse the impact on employee productivity of adopting the activity-based working (ABW) a form of new work practices (NWPs). A study of this nature has never been made in Asia. Design/methodology/approach A mixed methods design was used, which combined a comprehensive literature review, three interviews with senior professionals and a questionnaire survey with 37 office occupiers all from one international real estate consultancy firm in Hong Kong, as a case study, to analyse the impact of ABW on employee productivity. Findings Findings suggest that ABW influences employee productivity to a certain degree. Though both physical and behavioural working environmental factors influence employee productivity in general, the latter factors were relatively more influential. Interestingly, though space-per-employee has been reduced under the ABW, this has not affected employee performance negatively. However, findings indicate that distraction elements (e.g. interruptions, overcrowding and noise) do have a negative influence on employee performance. Research limitations/implications The scope of this exploratory study is limited to Hong Kong and to a small sample of respondents representing one international real estate firm. However, the results could be interpreted for critical learning in other similarly expensive real estate rental markets. Originality/value The study highlighted the impact of not only physical but also behavioural working environment factors on employee productivity. The maximum benefits of NWPs can only be accomplished by striking a balance between aspects of physical and behavioural working environments.

The tremendous growth in the ageing population over the past two decades has compelled the Hong Kong government to reformulate its housing policy by redeveloping and incorporating certain age-friendly housing design elements and facilities into the public housing schemes built in the post-war period. This research investigates whether these introduced design elements and facilities satisfy the numerous special needs of the seniors in line with the concept of ‘ageing in place’. Data were collected from 224 seniors through a comprehensive questionnaire survey in four large-scale redeveloped public rental housing estates. Using three designated built environment dimensions, namely micro, meso and macro, the results revealed that senior tenants were generally satisfied with the present living environments (in all the three scales) in the estates. At the micro-scale, seniors were satisfied with the level of privacy and sense of autonomy derived from the present design features in their homes. For the meso-scale, the study revealed that the seniors were particularly satisfied with the design elements such as convenient transportation and accessibility, including convenient walkways. At the macro-scale, the community care service is deemed important for seniors’ wellbeing. However, more attention is needed on safety measures in interior and shower areas, public seating in common areas and provision of sufficient community care services. This study provides insights for policy makers and development authorities on elderly housing provision.

Purpose An understanding about the criteria determining the successful application of green features, and the barriers to implementation is essential in order to promote and enhance green building development. The purpose of this paper is twofold: first, the criteria determining the success of GBFs; and second, the barriers to implementing GBFs in Hong Kong. Design/methodology/approach A multi-method approach comprising a comprehensive questionnaire survey and a semi-structured group discussion with construction professionals, along with three case studies was adopted to address these two issues. Findings Findings suggest that although environmental performance is the most significant criterion, the living quality of occupants and the costs of green features play a crucial role in determining the success of their application. However, the environmental aspects of buildings are not sufficient for rating or determining the greenness level of a building. As for barriers, the green cost implications; the structural unsuitability of the current stock of old buildings; and the lack of financial incentives were found to be crucial barriers preventing the application of green features in the Hong Kong building sector. Originality/value GBFs have received extensive attentions by the academia and industry. This paper used a mix method approach by exploring success criteria and barriers to implementing green features in the building sector in Hong Kong. As green building development is still a contemporary subject of discussion, this study would be beneficial to decision makers as it identifies the criteria determining the success of green building adoption and barriers to implementation of such features. Hence, relevant stakeholders will have better understanding of the factors affecting the adoption of GBFs.

The revitalization programmes, which are meant to transform the neighbourhood community for better living, are presumed to bring positive value enhancements to the living environment of the city, while allocating limited land resources effectively to the highest and best use. By employing two hedonic price models and based on two sets of residential transaction data obtained from a former industrial-hub, Kwun Tong, in Hong Kong, the study investigated whether different modes of revitalization (redevelopment or wholesale-conversion) bring different externalities to the value of the neighbourhood properties in the city. Surprisingly, the findings suggest that revitalization programmes, irrespective of the mode, did not generate positive externalities to the property values in the vicinity. More precisely, neither redevelopment nor wholesale-conversion, in general, has brought significant positive value enhancements to the nearby properties. Though this finding is against the intuition that positive externalities generated by revitalization are capitalized into nearby property values, this also reinforces the intuition that the economic benefit of a single building revitalization is less apparent than an area based revitalization approach. Results, however, indicate that, although revitalization has not brought as much positive benefits expected, there are some positive indications that property values may be enhanced in the future. The results also revealed that the geographic scope of the influence for properties is apparent only within 200-m radius.

Some property buyers consider green building features such as balconies as an important element in purchasing a residential property. We investigate if there is any effect of a balcony, as a green feature, on property price. We find that balconies exert a strong significant and positive effect on residential property price. Property buyers are willing to pay a significant sale price premium of 4% more for units with balconies. We also find that balconies with different views are valued differently by buyers: a larger premium of 6.9% on a unit with a sea view balcony and 1.5% on a unit with mountain view. However, units with building views are not appreciated by buyers. It implies that properly architecturally designed balconies would add more value to properties and enhance their competitiveness.

Whilst operational carbon (OC) emission reduction has received greater attention in the literature, embodied carbon (EC) emission reduction aspect has been largely neglected. This is particularly seen in developing countries. This study assessed the awareness and perception of carbon emission in general and EC emission reduction strategies in particular in the Sri Lankan construction industry. A detailed questionnaire, based on a comprehensive literature review, was developed to assess the awareness and perception of the Sri Lankan construction professionals about global carbon emissions, OC emissions, and EC emissions and carbon mitigation strategies. Based on a sample of 111 professionals in the construction sector, results revealed that the Sri Lankan construction professionals have poor awareness about carbon emission, especially about EC emission and EC mitigation strategies. The results further revealed that they are more concerned about the OC emission reduction than the EC emission reduction. The results suggest that they are basically aware of some basic/conventional mitigation strategies such as better design (low-carbon), an extension of building life and refurbishment of existing buildings and carbon tax, but their awareness of recently introduced micro-level technologies/strategies is significantly poor. Findings are a clear reflection of the current situation in many developing countries with regard to carbon emission and mitigation strategies. It was found that a major reason for low awareness was related to the culture: The majority of the respondents believed that actions to reduce carbon footprint should be initiated and handled by the government and other authorities, but not by construction professionals.

Purpose– The purpose of this study is to explore the effects of revitalization of old industrial buildings on the market value of the neighbourhood residential properties. Hong Kong’s economy has undergone a remarkable transformation in the past three decades. The most visible phenomenon in this transformation is the relocation of traditional manufacturing activities from Hong Kong to China since the 1990s. This has led many of the old industrial buildings in Hong Kong to be empty/underutilized and dilapidated. The Hong Kong Special Administrative Region Government launched the “Revitalizing Industrial Buildings Policy” to revitalize these underutilized properties with the aim to provide suitable land and premises to meet local’s economic and social needs.Design/methodology/approach– The study used a hedonic price model to determine whether there is a relationship between revitalization projects and neighbourhood residential property values and the influence of revitalization programmes on the residential property price if there is such a relationship. The study is based on a sample of 4,015 residential transactions obtained from the residential developments located near three large-scale revitalization projects in an old industrial district, Kwun Tong.Findings– Empirical findings suggest that revitalization programmes have not brought net positive price effects on the value of neighbourhood residential properties. This is in line with findings of some previous studies. However, it reveals that both the mode and scale of revitalization projects have different impacts on the neighbourhood: wholesale conversion has less negative impacts compared with redevelopment, while the larger the scale of a revitalization programme, the greater are the negative impacts on nearby property values. The study also finds that negative externalities generated by the revitalization during and post-revitalization stages are almost similar in magnitudes.Research limitations/implications– The results imply that industrial revitalization projects located adjacent to residential developments both reduce the value of the latter and discourage potential property buyers. The negative public perception of these properties diminishes their value and hence decreases the value of the property.Practical implications– The paper raises the concern about the importance of adequately addressing issues of planning and zoning to minimize the negative externalities arising from urban renewal projects.Originality/value– This research paper is first of its kind to analyze the effects of revitalized industrial buildings on the value of neighbourhood properties in Hong Kong. The tangible benefits identified in this study would be incentives, or otherwise, to motivate the revitalization policy in general.

Purpose– The purpose of this study is to estimate an empirical model for new office space development starts, based on the theoretical treatment of urban growth. The study introduces a new parameter, namely, office space-usage pattern, to the office space development equation and tests whether developers respond to non-price measures in deciding to commence new developments.Design/methodology/approach– The study first introduces a co-integration approach based on an error correction model to test for long-run relations and short-run dynamics of new office space development. A multivariate regression model is then introduced to identify significant determinants that influence office development starts. The study uses annual data over a time span of 30 years.Findings– Estimated results provide strong evidence that the newly introduced parameter exerts a positive impact on new office space development. It suggests that if the average floor space per employee changes by one percentage point, new office development starts would change by 1.5 percentage point, indicating even a marginal change in floor-space usage per employee (SPE) would have a significant impact on new office space development. Empirical estimates also suggest a strong response of office development starts to the lagged land supply and office space stock.Research limitations/implications– The paper raises the concern about the importance of non-price measures of the supply-side of the office market. There is scope to address the research questions using better data sets. It is also possible to model the supply adjustment process more dynamically in an error correction framework.Practical implications– The findings would suggest that non-price measures, such as space-usage pattern, need to be taken into account when planning and estimating future office space needs. This finding provides valuable insight for our current knowledge on factors affecting new office supply.Originality/value– This is the first study to introduce office floor space usage as a determinant of office development starts in an urban growth conceptual framework for the Hong Kong office market.

Greenhouse gases such as sulfur dioxide, nitrogen dioxide, and carbon dioxide have been recognized as the prime cause of global climate change, which has received significant global attention. Among these gases, carbon dioxide is considered as the prominent gas which motivated researchers to explore carbon reduction and mitigation strategies. Research work on this domain expands from carbon emission reporting to identifying and implementing carbon mitigation and reduction strategies. A comprehensive study to map global research on carbon emissions is, however, not available. Therefore, based on a scientometric analysis method, this study reviewed the global literature on carbon emissions. A total of 2945 bibliographic records, from 1981 to 2019, were extracted from the Web of Science core collection database and analyzed using techniques such as co-author and co-citation analysis. Findings revealed an increasing trend of publications in the carbon emission research domain, which has been more visible in the past few years, especially during 2016–2018. The most significant contribution to the domain was reported from China, the United States, and England. While most prolific authors and institutions of the domain were from China, authors and institutions from the United States reported the best connection links. It was revealed that evaluating greenhouse gas emissions and estimating the carbon footprint was popular among the researchers. Moreover, climate change and environmental effects of carbon emissions were also significant points of concern in carbon emission research. The key findings of this study will be beneficial for the policymakers, academics, and institutions to determine the future research directions as well as to identify with whom they can consult to assist in developing carbon emission control policies and future carbon reduction targets.