1 NGOs line up to take over old buildings Historic sites eyed for social enterprises
Ng Kang-chung, SCMP 23 February 2008

Welfare groups are gearing up to bid for the right to run services in historical buildings under a government conservation scheme that will provide up to HK$5 million in subsidies for each project.

The plan, first mentioned by Chief Executive Donald Tsang Yam-kuen in his February policy address, seeks to co-operate with non-governmental organisations to maintain and operate historical buildings as part of a policy to revitalise places that might otherwise be left idle.

At least five welfare groups contacted by the South China Morning Post have expressed interest in running services as social enterprises in the seven sites identified for the first phase of the scheme.

The blocks are the Lui Seng Chun tenement building and North Kowloon Magistracy in Sham Shui Po, Lai Chi Kok Hospital, the old Tai Po police station, Fong Yuen Study Hall on Ma Wan and Mei Ho House in Shek Kip Mei.

Applications opened yesterday and will close on May 21.

Frederick Fung Kin-kee, of the Association for Democracy and People's Livelihood, yesterday said his group was looking for partners to set up social enterprises.

"It is almost certain we shall submit applications," Mr Fung said.  "We are eyeing Lui Seng Chun, Mei Ho House and the North Kowloon Magistracy."

He declined to discuss business plans but said running a youth hostel at Mei Ho House, a public housing block built in 1954, would be feasible.

The Society for Community Organisation also said it was planning to apply to use Mei Ho House as a hostel. A spokeswoman, Iman Fok Tin-man, said it was looking for partners to set up a social enterprise.

But Ms Fok said: "The application period seems too short. It is difficult to finish a business plan with detailed financial projections in three months.

"We cannot be too careful in planning our finances. Despite the HK$5 million government subsidy in the first two years of operation, the tenancy can last six years and we need to make our business sustainable or else people will lose jobs."

The Development Bureau, which is in charge of the scheme, expects it to kick off as early as the end of this year. It may consider releasing another batch of buildings for applications later in the year.

A deputy secretary of the bureau, Janet Wong Wing-chen, said the project was meant to promote social enterprises and put historical buildings to good use.

She said the government would renovate the blocks before handing them over to the social enterprises.

A committee comprising government representatives, members of the Antiquities Advisory Board and experts in heritage conservation and operating social enterprises will be set up to vet the applications.

An application will be assessed according to how it can bring out the historical value of the building, what it will do to conserve the place and its benefits to social value. The financial viability and track record of the applicant will also be taken into account.

Open days will be arranged next month for prospective applicants to inspect the seven buildings. A workshop will be organised by April.