HDB EXECUTIVE APARTMENTS (Building programme)

[Mr Speaker in the Chair]

Mr Teo Chong Tee asked the Minister for National Development whether the Housing and Development Board is slowing down the building of Executive apartments following the introduction of the new Executive Condominium Housing Scheme as purchasers of Executive apartments have been informed that their waiting period to obtain such flats will be between five and eight years.

The Minister for National Development (Mr Lim Hng Kiang): Mr Speaker, Sir, with the introduction of the Executive Condominium Housing Scheme in August 1995, HDB has stopped accepting applications for its Executive flats. As at 31st March 1996, there were about 29,000 applications in the Executive flat register under HDB's Registration for Flat System. HDB will continue to build about 4,000 units of Executive flats each year for the existing Executive flat applicants.

Under the Executive Condominium Housing Scheme, the developer appointed by my Ministry will set aside 80% of the supply of Executive Condominiums for allocation to registered Executive flat applicants. To encourage the purchase of Executive Condominiums, eligible first-timers will be given a $40,000 CPF housing grant.

The Executive flat applicants will have to decide between Executive Condominiums or Executive flats at the point when their registration numbers are due for either type of housing. Applicants from the Executive flat queue who decide not to buy an Executive Condominium will be allowed to retain their queue positions until they are due for selection of an Executive flat. If all or most of the 80% of the supply of Executive Condominiums set aside for allocation to registered Executive flat applicants are taken up, then it will take about five years to clear the 29,000 applications. HDB will be in a better position to review the building programme for Executive flats once the take-up rate for Executive Condominiums becomes clear.