Scheme to Encourage Provision of Residential Care Home for the Elderly Premises

The Government launched the "Incentive Scheme to Encourage Provision of RCHE Premises in New Private Developments"" ("the Scheme") in July 2003. The Scheme allows concession to exempt eligible RCHE premises from payment of land premium for land transactions relating to lease modifications, land exchanges or private treaty grants, on the condition that the developer should comply with certain lease conditions and obtain the support from the Social Welfare Department (SWD).

The Chief Executive mentioned in the "2022 Policy Address" that the Government would provide more incentives to encourage developers to build and operate RCHEs in private development projects. Having reviewed the Scheme, the Financial Secretary announced the enhancement of the aforementioned Scheme in the "2023-24 Budget". The total Gross Floor Area (GFA) of RCHE premises that can be benefited from the Scheme in each development project will increase and such GFA will be exempted. The enhanced measures will be reviewed after a three-year trial period.

For more information about the scheme, you may download from here. For further enquiry, please contact Senior Social Work Officer (Elderly)5 of the Elderly Branch Residential Care Services Section at 2961 7510.