KINSTAR DEVELOMENT LTD v. TSE YIU KUEN AND OTHERS

KINSTAR DEVELOMENT LTD v. TSE YIU KUEN AND OTHERS

Tribunal held applicant met the statutory ownership threshold (reduced to 80% under the 2010 Notice), redevelopment of the buildings was justified by their age and state of repair, the applicant had taken reasonable steps to acquire outstanding interests, the Tribunal accepted the valuation approach and many adjustments of the applicant's expert (Ms Chow) and determined total EUV at HKD165,059,000 and land/RDV based reserve at HKD267,000,000 (rounded to HKD270,000,000), and ordered sale by public auction with appointed trustees and specified procedural conditions; indemnity costs were not awarded but the 5th respondent was awarded costs on High Court scale with certificate for one counsel.

Citation
[2021] HKLdT 54
Parties
Applicant: Applicant; 1st Respondent: 1st Respondent; 2nd Respondent (discontinued): 2nd Respondent; 3rd Respondent (discontinued): 3rd Respondent; 4th Respondent (discontinued): 4th Respondent; 5th Respondent: 5th Respondent
Court
Lands Tribunal
Jurisdiction
Hong Kong
Judgment Date
26 July 2021
Case Number
LDCS10000/2019
Procedural Posture
Compulsory Sale Under Land (compulsory Sale for Redevelopment) Ordinance Cap 545 / Judgment (lands Tribunal Determination)
Legal Topics
Compulsory Sale Threshold, Existing Use Value (euv), Redevelopment Value (rdv), Pointe Gourde Principle, Admission of Post Trial Evidence, Appointment of Trustees, Costs and Indemnity Costs
Source Language
EN
Land Law Compulsory Sale Property Valuation Planning and Redevelopment Civil Procedure (costs) Compulsory Sale Threshold Existing Use Value (euv) Redevelopment Value (rdv) +4 more

Case Brief

Summary, issues, holding and outcome

More case intelligence is available

Unlock the full research layer for this judgment.

Full judgment text Downloadable case file Legal principles 5 Party arguments 2
Sign in to unlock

Parties

Applicant

Applicant

1st Respondent

1st Respondent

2nd Respondent

2nd Respondent (discontinued)

3rd Respondent

3rd Respondent (discontinued)

4th Respondent

4th Respondent (discontinued)

5th Respondent

5th Respondent

Procedural Posture

Compulsory Sale Under Land (compulsory Sale for Redevelopment) Ordinance Cap 545 / Judgment (lands Tribunal Determination)

Legal Issues

  1. 1 Whether applicant met statutory share threshold to apply
  2. 2 Whether redevelopment of the buildings justified by age or state of repair
  3. 3 Whether applicant took reasonable steps to acquire remaining undivided shares

Ratio Decidendi

Tribunal held applicant met the statutory ownership threshold (reduced to 80% under the 2010 Notice), redevelopment of the buildings was justified by their age and state of repair, the applicant had taken reasonable steps to acquire outstanding interests, the Tribunal accepted the valuation approach and many adjustments of the applicant's expert (Ms Chow) and determined total EUV at HKD165,059,000 and land/RDV based reserve at HKD267,000,000 (rounded to HKD270,000,000), and ordered sale by public auction with appointed trustees and specified procedural conditions; indemnity costs were not awarded but the 5th respondent was awarded costs on High Court scale with certificate for one counsel.