Siu Lek Yuen (Site 16)

Area : about 7.48 ha (Plan A16) No. of Building(s) Surveyed : 9 industrial buildings including 1 vacant building Other Building(s)/Site(s) : (a) 1 bus depot (b) 1 temporary concrete batching plant No. of Industrial Unit(s) : 176 Total Industrial Floor Space : about 253,688 m2 No. of Storey(s) : 1-7 storeys : 6 buildings, 1 bus depot 8-19 storeys : 2 buildings >20 storeys : 1 building Land Ownership : Single ownership : 6 buildings, 1 bus depot, 1 vacant building, 1 temporary concrete batching plant Multiple ownership : 2 buildings Government land : 0.07 ha (i.e. 0.9% of site area) Building Age : 11-20 years : 9 buildings, 1 bus depot Building Condition : Good : 3 buildings Fair : 6 buildings, 1 vacant building, 1 bus depot Surrounding Land Uses : commercial building, residential developments, hospital, motoring school, telephone exchange, government uses, open space, MOS Rail, nullah and roads Vacancy Rate : 6.5 % 2000# 2001# 2002# 2003# 2004# 2005 (3rd Qtr) * Territorial 7.2% 10.9% 10.6% 9.9% 8.3% 6.9% Northeast New Territories 6.2% 7.7% 8.1% 6.4% 5.7% 5.7% Siu Lek Yuen 0.7% 0% 5.4% 4.6% 5.2% 6.5%

Take-Up as Compared to 2004 : -3,321 m2 2000# 2001# 2002# 2003# 2004# 2005 (3rd Qtr) * Territorial (m2) 86,942 -386,66339,868 90,698 174,896 102,204 Northeast New Territories (m2) -20,826 -39,035 -7,094 45,332 17,296 -857 Siu Lek Yuen (m2) -1,246 1,812 -13,7142,190 -1,558 -3,321

# Calculation based on R&VD figures * Survey undertaken from 24-5-2005 to 14-6-2005 Conversion factor from IFA to GFA is 1.33

Predominant Use(s) of Surveyed Building(s) :

Use(s) m2 % Manufacturing 38,790 15.3 Warehouse 183,706 72.4 Workshop 5,172 2.0 Office (without workshop/warehouse/showroom) 8,344 3.3 Others (retail) 1,273 0.5 Vacant 16,403 6.5 Total 253,688 100

Area Assessment :

The Siu Lek Yuen industrial area is located close to the central part of New Town. It is accessible to the (MOS) Rail Station and is about 300m to MOS Rail Station. The area is segregated from the nearest residential developments by local roads. There are also government, institution and community (GIC) facilities and open spaces surrounding the area. All the industrial buildings therein are privately-owned, with about 77.8% under single ownership. The industrial buildings, built in the mid 1980s early 1990s, are fairly new and are in generally in good to fair conditions accommodating mainly warehouse (72.4%) and manufacturing (15.3%) uses. In fact, there are some purposely-built industrial buildings for such activities as soft drink bottling, glass manufacturing and tie manufacturing. Current vacancy rate is about 6.5% and there is a negative take up of about 1,558m2 in 2004 and about 3,321 m2 in 2005 as compared to previous year.

Development proposals for industrial-office, residential, hotel and office cum retail uses have been submitted to the Board for consideration since 1993. Except for the industrial-office proposal, the others for residential and hotel uses were rejected by the Board. At present, there are still two outstanding rezoning requests, both for the same site involving one for hotel and the other for office cum retail which are pending consideration by the Board. In view of its central locality in and that the area is in close proximity to MOS Rail City One and Shek Mun Stations with relatively new buildings, most of which (about 77.8%) under single ownership, it may be conducive to allow other compatible use(s) in the area (e.g. hotel and office). However, the scale, type and intensity of the compatible use have to be assessed on a case by case basis taking into account land use compatibility, environmental, traffic and infrastructural conditions and local views/aspirations.

Recommendation : Retain as "I" to preserve land supply with option for industrial use but allow other compatible use(s) in the area subject to detailed assessment.