Michael Wong, Deputy Head of Hong Kong's Financial Services and the Treasury Bureau, announced on 21/2 that the special administrative region's government has ruled out renovating or repairing seven of the eight buildings in the Wang Fuk Court complex, which were damaged in a fire in November 2025.

Instead, authorities will spend approximately 870 million USD to acquire the apartments in the seven damaged buildings, then demolish them to create a park or social facilities.

This decision does not apply to the Wang Chi building, which was not damaged in the disaster. However, Wong stated that the government is also considering the possibility of acquiring apartments in Wang Chi if residents reach a high level of consensus.

Wong explained that the buy-back and apartment-for-apartment exchange is the quickest and most flexible method to address the burnt buildings. Local authorities will assist residents with legal and insurance matters.

Fire and smoke rise from the Wang Fuk Court apartment complex in Hong Kong in November 2025. Photo: Reuters

"The Wang Fuk Court apartment fire is a special and exceptional case. This one-time agreement will not set a precedent", he said. "We believe the buy-back price is sufficient for affected families to relocate and secure long-term housing."

Wong emphasized that the acquisition is necessary because no market mechanism would be effective enough to solve the problem. Without strong government support, he noted, owners of destroyed apartments would face significant difficulties finding buyers for their homes, and their years of savings could vanish.

The proposal comes nearly three months after Hong Kong's worst fire in decades, which resulted in 168 fatalities. At the time of the disaster, the apartment complex was undergoing repairs, with bamboo scaffolding and safety netting surrounding the buildings. The fire originated in the Wang Cheong building and then spread.

The Wang Fuk Court apartment complex. Graphic: CNN

After the fire, hundreds of households at Wang Fuk Court signed a petition urging local authorities to shorten the on-site resettlement period and allow residents to vote on next steps. Hong Kong officials last month collected feedback from 1,975 households, representing 99% of affected owners.

According to Wong, 74% of these households agreed to the government's buy-back of their homes, 12% disagreed, and 14% were undecided. 9% of households stated they would only accept on-site resettlement, while 22% supported both this option and were open to considering others.