NY Times September 27, 2013
Have-Nots Squeezed and Stacked in Hong Kong
By BETTINA WASSENER and GRACE TSOI

HONG KONG — On the first floor of a hulking residential building, at the 
end of a dimly lighted corridor, a narrow door opens up into Hong Kong’s 
economic underbelly.

Twenty-two men live in this particular 450-square-foot apartment in the 
neighborhood of Mong Kok, in cubicles each hardly larger than a single 
bed, stacked above one another along two narrow passageways that end in 
a dank toilet and shower room.

Each cupboardlike cubicle has a sliding door, a small television, some 
shelves and a thin mattress. Most of the men have lived here for months, 
some for years.

“Luckily there is air-conditioning. If not, sleeping would be 
impossible,” said Ng Chi-hung, 55, who is unemployed and occupies one of 
the bottom bunks. “If you live in such environment, you have to adapt to 
everything.”

Cheng Tin-sang, 59, occupies the bunk above, which is reached via a 
short metal ladder. Unable to work because of a heart ailment, Mr. Cheng 
wanders the streets all day.

“I sit in places like McDonald’s,” he said. “Anywhere with 
air-conditioners will do.”

Hong Kong’s per-capita gross domestic product is higher than that of 
Italy, and not far short of those of Britain and France, according to 
World Bank figures. But for unskilled or semiskilled people like Mr. Ng, 
the city is a tough place to be, said Wong Hung, an associate professor 
at the Chinese University of Hong Kong specializing in urban poverty and 
employment.

Hong Kong’s economy underwent a major change in the 1980s, when much of 
the manufacturing activity that made the city famous in the 1950s and 
’60s moved across the border to mainland China. In its place came 
banking, insurance, trading, logistics and real estate — service sectors 
that now employ nearly 90 percent of the work force but that have been 
unable to absorb many less educated workers, Mr. Wong said.

At the same time, Hong Kong has some of the highest living costs in the 
world, a huge and growing burden on those at the bottom of the income 
ladder.

Mr. Ng, for example, has worked on construction sites and made 
deliveries. His last job, as a waiter, paid 7,000 to 8,000 Hong Kong 
dollars a month, about $900 to $1,000. The monthly rent on his 
15-square-foot bunk in Mong Kok is 1,440 Hong Kong dollars.

At least 170,000 people live in such dwellings in Hong Kong, according 
to Policy 21, a research unit tasked by the government to take stock of 
the situation. Such housing can be found all over the city, in units 
fenced off with plasterboard or cagelike wire mesh, carved out of 
apartments that once housed a family each but that have since been 
subdivided multiple times. This subdividing of privately owned 
apartments is legal as long as safety and sanitation requirements are met.

“It is quite hard to know how many there are,” said Sze Lai Shan, who 
works for the Society for Community Organization, a nongovernmental 
organization that campaigns for social equality. “We hear about them 
from the people we work with — they tell us of new flats that have been 
subdivided or old ones that have closed down.”

While tiny housing of this kind has existed in Hong Kong for many years, 
it has expanded as soaring property prices have pushed more and more 
low-income earners out of the market for regular housing in recent 
years. Rent on these spaces has risen nearly 20 percent in the last four 
years, and now gobbles up about a third of the residents’ incomes, a 
report released by Ms. Sze’s organization this month showed. On a 
per-square-foot basis, the spaces cost at least one-third more to rent 
than regular apartments that are not subdivided, which average about 
22.70 Hong Kong dollars, or $2.93, a square foot per month.

“It is very expensive to live here, so I have to be more frugal, and I 
cut my food expenses,” said Yuen Luen-yuk, 49, who moved to Hong Kong 
from Zhanjiang, on China’s south coast, eight years ago and has a 
low-paying job looking after the residents at a home for people of 
retirement age.

Her living space, with a ceiling too low for an adult to stand, is part 
of a subdivided apartment in the neighborhood of Kwun Tong. Nine other 
people live there; they share a dim kitchen, a basic bathroom and a 
narrow corridor cooled by humming electric fans.

“I’ve not thought about renting something better,” Ms. Yuen said, 
“because that means all your salary will be given to the landlord.”

Hong Kong’s housing situation is now one of the reasons the government 
of Leung Chun-ying, who took the helm of the city’s administration last 
year, is deeply unpopular. Mr. Leung has pledged to add 20,000 units a 
year to the city’s already large stock of social housing for low-income 
earners.

And a committee tasked with reviewing housing strategy this month made 
numerous recommendations to deal with Hong Kong’s housing problems, 
including a proposal to set up a licensing system for subdivided 
apartments in a bid to better regulate safety and health conditions.

Housing experts fear, however, that such measures will not be nearly 
enough. New government-subsidized housing — with small but far more 
comfortable apartments than the tiny spaces in which Mr. Cheng and 
others live — will take years to build, the government acknowledges.

The waiting list for public housing has been lengthening steadily as 
rising prices have squeezed more and more low-income earners out of 
regular apartments. About 230,000 are now on the list, according to 
government figures, up from 165,000 two years ago.

With families and older people given priority for government housing, 
single people like Mr. Ng, Mr. Cheng and Ms. Yuen face a seeming 
interminable wait, and their hopes for moving out of their tiny bunk 
spaces are waning.

“If I were younger, I could work hard to save for a down payment” to buy 
an apartment, Ms. Yuen said. As it is, she said, “I do not have much 
hope in the future. I am just living from one day to the next.”


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