In Hong Kong, tenants living in subdivided flats are facing increasing challenges amid new regulations aimed at improving housing standards. The Basic Housing Units Ordinance, implemented in March, sets minimum requirements for subdivided flats to address long-standing concerns over substandard living conditions. However, tenants and advocacy groups say some residents are struggling to find suitable alternative accommodations and are in some cases being forced into even poorer housing situations.

May, a 50-year-old single mother of three, recently received notice from her landlord to vacate her 200-square-foot subdivided flat in Kwai Tsing by November. The landlord plans to exit the subdivided housing market following the introduction of the new regulatory framework. Her current rent is HK$8,300 per month, paid within the constraints of a government subsidy of about HK$17,000. May has relied on decades of makeshift housing, including squatter huts and smaller subdivided flats, so her current home offered notable improvements in space and amenities.

Despite these gains, May has been unable to secure a transitional flat in her district, where her children attend school. Transitional flats, introduced in 2018 and operated by non-governmental organizations, provide short-term housing on idle government or private land for residents awaiting public rental housing or facing urgent accommodation needs. As of June, around 19,100 transitional units were available citywide.

An advocacy group called the Hong Kong Subdivided Flats Concerning Platform highlighted recent survey data showing that many families displaced by the new regulations have moved into other substandard accommodations rather than improved housing. Of 647 households surveyed between March and June, 59 had moved within the past year; only five relocated to transitional or public rental housing. Sixteen families moved to subdivided flats compliant with new standards, while 38 moved to substandard or illegal properties such as squatter huts and industrial buildings.

Another tenant, a 50-year-old woman identified by her surname Then, was forced to move after her landlord decided to sell the property rather than renovate it to meet new requirements. She relocated from a windowed 100-square-foot subdivided flat to a non-compliant flat in an industrial building with poor ventilation, despite paying similar rent.

Advocacy members warn that the enforcement of minimum standards is contributing to evictions and a deteriorating housing situation for low-income residents. They also express concern over a lack of clarity regarding the future of transitional housing. The city’s five-year housing plan, unveiled in September, omitted mention of transitional housing, which operates on land that must eventually return to government or private owners.

According to analysis from the advocacy group, up to 66 percent of transitional flats currently in operation—about 12,770 units—may cease operation by next year. Many sites offering transitional housing are scheduled to be returned between 2027 and 2029, with only about 3,400 expected to remain afterward. Full enforcement of the new housing regulations, including against landlords letting non-compliant subdivided flats, is set for March 2030, following a three-year grace period starting in 2027.

Despite a government stock of approximately 30,000 short-term flats under its light public housing scheme, one-third are located on land slated for redevelopment by 2031, potentially reducing available transitional capacity. The advocacy group urges clearer government policies to secure and expand affordable housing options, including the possibility of renting recognized subdivided flats directly and leasing them to tenants in need.

The Housing Bureau responded by dismissing proposals for the government to rent and sublease subdivided flats, citing concerns that it could encourage landlords to increase rents for profit. The bureau stated that only about 400 transitional units are expected to close in 2027-28 and that an additional 120 units will become available by the end of 2027. Officials said they are in ongoing discussions with landowners about extending transitional housing leases and pledged to assist tenants affected by project closures in relocating to alternative housing. The bureau expressed confidence that the supply of transitional flats and public rental housing will allow households to improve their living conditions.

The advocacy group also called for vigilant enforcement to prevent landlords from circumventing regulations by leasing entire flats to single tenants who then sublease to multiple parties, a practice that the bureau said could still incur legal consequences under current tenancy laws.