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Undivided Shares Acquired Through Adverse Possession Could Be Included In The Make-up Of Land Compulsory Sale Ownership Threshold In Hong Kong - Real Estate and Construction

Introduction Promise Fine Investments Ltd & Others v. Poon Chuan & Others (LDCS 32000/2018) 1, the applicants applied to obtain an order for the compulsory sale of Nos. 244-256 Hai Tan Street in Sham Shui Po. In late 2020, the applicants successfully bid for the site at the price of HK$576 million at a public auction. The significance of this case is that it is the first time that the Lands Tribunal accepted the inclusion of undivided shares acquired through adverse possession in counting the requisite threshold of undivided shares for making compulsory sale under the Land (Compulsory Sale for Redevelopment) Ordinance (Cap. 545) (the Ordinance ).

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