Notes for Shop Application

Any individual or company who intends to apply for our shops may complete, the application e-form online; or submit the completed application form or self-draft leasing offer in a sealed blank envelope to Hong Kong Housing Society’s Shop Application Form Drop-in Box at 8/F, 1063 King's Road, Quarry Bay, Hong Kong by post or put them into the above Drop-in Box in person before 5:00pm on the application closing date or by post (the postmark date shall prevail). Please specify the shop address you want to apply on the envelope. Each applicant shall only submit ONE application form for the same shop. If applicant submit multiple applications, the last submission would supersede all previous applications which would not be processed or given any further notice. Late applications and applications submitted to other offices of HS will not be processed.

Applicant shall make sure all the required information in the application form is accurate. If any information is found inaccurate or incomplete, Hong Kong Housing Society (HS) reserves the right to refuse the application or rescind the signed tenancy agreement.

In general, HS would operate its commercial premises on prudent commercial principle and let the premises including shops and offices etc. at open market rent. There is no base rent set for the premises under letting, the applicant shall offer the rent for our consideration. All applications will be considered on a fair basis. Apart from the rent offered by the applicant, HS would consider other selection criteria including but not limited to the proposed trade and services for the residents, the tenancy term, the rent-free period, the fitting-out or improvement proposal, the Landlord provisions required by the applicant, the financial condition and experiences in the relevant trade of the applicant etc.

HS will shortlist suitable applicants for interview in order to verify the information on the applications, and to provide an opportunity for both parties to make inquiries about the tenancy matters. The selected applications will be submitted to the HS's panels for final approval. Under normal circumstance, HS will invite the selected applicants for an interview or notify the unsuccessful applicants within 4 weeks after the application closing date.

The tenancy of commercial premises is mainly on a fixed term of 2 years or 3 years. The rent is exclusive of management fees (if any), air-conditioning charges (if any), Government rates and other charges, all of which shall be payable on the first day of each calendar month.

Upon signing a tenancy, the applicant is required to pay a security deposit equivalent to 3 months’ rent, management fee (if any), air-conditioning charges (if any), Government rates and bear half share of the stamp duty for tenancy agreement in duplicate.

The applicant must sign the Confirmation of the Tenancy within seven (7) days after receiving the acceptance notice of HS and execute the formal tenancy agreement drawn up by HS within fourteen (14) days.

If a tenant is a limited company, at least one of the major shareholders of the company shall sign a personal guarantee at the time of signing a formal tenancy agreement to ensure that the company is punctual in payment and fully discharging all its obligations under the tenancy agreement.

The rent-free period (if any) would be granted from the commencement date of fitting out works after the tenancy commencement, tenant is still required to pay management fees (if any), air-conditioning charges (if any) and Government rates during the rent-free period.

Before commencing the fitting out work at the premises, Tenant must submit in advance detailed fitting out plans, including mechanical and electrical, fire services and plumbing & drainage etc. to HS for written approval and shall not commence the works before obtaining such approval from management office of HS.

HS does not warrant that the leased premises is suitable for the trades/business proposed by the tenant, the tenant shall obtain the required information and seek necessary professional advices from their own consultants before entering the Confirmation of Tenancy. The tenant is also required to apply to various Government Departments or statutory bodies and obtain relevant licences or consents required for their proposed business before commencement of the business.

Applicant should note that under the terms of the tenancy, tenants are required to not act, engage, participate in or commit any act or activities that are likely to constitute or cause the occurrence of offences endangering national security or which would otherwise be contrary to the interest of national security.

According to the current Open Letting Policy of HS, in order to maintain openness and commercial competition for its lease, HS would consider renewing tenancy of commercial premises including general shops and market stalls (“the premises”) with the existing tenants upon expiry of tenancy by direct negotiation provided that the total consecutive terms of tenancies shall not be more than 6 years. For the avoidance of any doubt, HS reserves all its rights and powers to redevelop, improve, refurbish, assign, sell or otherwise dispose of howsoever the premises or not renew the tenancy in any event, at its absolute discretion. If the existing tenant had leased the premises for a total term of 6 years, the premises must be subject to open letting in the market. Existing tenant shall submit fresh application for the premises and subject to fair competition with other applicants.

Upon expiry of tenancy but the total terms of tenancy does not exceed 6 years, HS will consider renewing the tenancy with the existing tenant by direct negotiation subject to the following conditions:

• (a)satisfactory performance of the tenancy by the existing tenant,
• (b)suitability of the trades and services for satisfying the daily needs of residents and attracting customer flow,
• (c)open market rent is accepted by the tenants.

All Licensed Estate Agents of Hong Kong (hereinafter referred to as “estate agents”) are welcome to introduce their clients to lease the shops of HS. Applications submitted by estate agents for the applicant or submitted by the applicant via estate agents in the open application will be processed under the same selection criteria and procedures.

Agency Fee

If an estate agent introduced a new client (save and except for the existing shop tenants of HS or its subsidiary companies or apply by the estate agent itself), applying for a shop and eventually reached a tenancy agreement with HS, a commission equivalent to half a month’s rent will be given to the estate agent after execution of formal tenancy agreement and taken possession of the premises by the tenant.

At the first submission of a shop application by his client, the estate agent must attach a written statement to the HS that the estate agent is acting for the applicant and requesting for a commission. The written statement shall also be confirmed and signed by his client about such appointment and collection of commission from HS by the estate agent.

All subsequent requests for commission or client’s confirmation are become void and not acceptable to HS. In case of dispute, HS shall reserve its right to accept or reject the request for commission at its sole discretion.

Commission Payment

HS will only pay the commission to the agent after execution of the formal tenancy agreement and takeover of the premises by the tenant.

The applicant and employees, agents and consultants who are in any way involved in the leasing application shall observe and strictly comply with all laws of HKSAR, including the Prevention of Bribery Ordinance (Cap. 201).

The information contained in this website is compiled by the Hong Kong Housing Society (Housing Society) for general information only. Whilst the Housing Society endeavours to ensure the accuracy of this general information, no statement, representation, warranty or guarantee, express or implied, is given as to its accuracy or appropriateness for use in any particular circumstances.

The Housing Society is not responsible for any loss or damage whatsoever arising out of or in connection with any information including data or programmes on this website. The Housing Society reserves the right to omit, suspend or edit all information compiled by the Housing Society in this website at any time in its absolute discretion without giving any reason or prior notice. Users are responsible for making their own assessment of all information contained in this website and are advised to verify such information by making reference, for example, to original publications and obtaining independent advice before acting upon it.