What Changed
- Kwun Tong Magistrates' Courts fined four property owners $1,181,400 in total, including $1,061,400 in daily continuing fines, for non-compliance with statutory orders.
- The Buildings Department initiated a second prosecution after the owners persistently failed to resolve unauthorized alterations converting industrial units into mini-storage space.
- The Buildings Department reiterated its policy of taking stringent enforcement action and instigating repeat prosecutions against persistent offenders to ensure building safety.
Property owners in Hong Kong SAR face strict criminal penalties and daily financial fines for non-compliance with statutory building safety notices. On October 6, 2026, four property owners were convicted at the Kwun Tong Magistrates' Courts and ordered to pay fines totaling $1,181,400 for failing to comply with statutory removal and repair orders under the Buildings Ordinance (Cap. 123). A substantial portion of the total penalty, amounting to $1,061,400, constituted fines for the continuous duration of the offence.
The enforcement action stemmed from unauthorized alteration works that converted six units into mini-storage spaces within an industrial building on Hoi Bun Road, Kwun Tong. The structural alterations and additions were conducted without obtaining prior approval and consent from the Buildings Department (BD). Furthermore, the works contravened the Building (Planning) Regulations by obstructing means of escape and firefighting/rescue access routes. In response, the BD served six removal orders pursuant to section 24(1) and six repair orders under section 26 of the Buildings Ordinance on the four owners.
Following initial non-compliance, the owners were previously prosecuted and fined by the court. Because they persistently refused to rectify the illegal alterations and fulfill the statutory orders, the BD initiated prosecution against them for a second time.
Under the Buildings Ordinance, failing to comply with a removal order without reasonable excuse is a serious offence carrying a maximum penalty of a $200,000 fine, one year's imprisonment, and a further fine of up to $20,000 for each day the offence continues. Non-compliance with a repair order without reasonable excuse carries a maximum penalty of a level 5 fine ($50,000 at present), one year's imprisonment, and an additional daily fine of up to $5,000.
A spokesman for the BD emphasized that unauthorized alterations endangering fire safety routes lead to severe risks. The BD reaffirmed its policy to take stringent enforcement measures and pursue repeat prosecutions against non-compliant property owners to safeguard public safety.
Who May Be Affected
Property owners, landlords, real estate managers, and industrial property occupiers in Hong Kong SAR.
Cross-Border Context
Relevant to cross-border real estate investors, asset managers, and commercial tenants from mainland China, Switzerland, the European Union, and elsewhere holding or operating industrial properties in Hong Kong SAR.
What to check next
- Review the Buildings Ordinance (Cap. 123) sections 24(1) and 26 for requirements on removal and repair orders.
- Check Buildings Department regulatory guidelines on industrial unit conversions and mini-storage safety standards in Hong Kong SAR.
This article provides general information and does not constitute legal advice. Consult the official text and obtain advice appropriate to your circumstances where needed.