Page 148 - URA Annual Report 2020-21

NOTES TO THE FINANCIAL STATEMENTS
(expressed in Hong Kong Dollars)
9.
Properties under development
As at 31 March 2021, the properties under development are analysed as follows:
Cost, including Home Purchase Allowance (“HPA”) (Note (i)) At 1 April
Add: Additions during the year*
Less: Charged to profit or loss during the year
Transferred to property, plant and equipment Transferred to properties held for sale
At 31 March**
Provision for impairment at 31 March Balance as at 31 March
2021 $’000
33,494,426 4,007,014
(740,860) (1,330,588) (2,142,729)
33,287,263 (723,900)
32,563,363
2020 $’000
29,608,757 7,504,990
(755,657) (2,792,264) (71,400)
33,494,426 (1,221,800)
32,272,626
* The amount includes depreciation of $22,351,000 (31 March 2020: $24,553,000) and interest expense of $1,909,000 (31 March 2020: $2,262,000) for properties leased for own use.
** The amount includes accumulated interest and other borrowing costs capitalised of $319,115,000 (31 March 2020: $327,383,000).
As at 31 March 2021, the properties under development are analysed as follows:
Non-current portion
Current portion (development for sale)
Notes:
2021 $’000
32,272,141 291,222
32,563,363
2020 $’000
29,676,941 2,595,685
32,272,626
144
URA ANNUAL REPORT 2020-21
(i)
In March 2001, the Finance Committee of the Legislative Council approved, inter alia, the revised basis for calculating the HPA payable to owners of domestic properties and ex-gratia allowances payable to owners and owner-occupiers affected by land resumption. The relevant policies governing the Authority’s payment of HPA and ex-gratia allowances for properties acquired/resumed and the clearance of occupiers are based on the above framework which have resulted in a high cost base for the Group’s redevelopment projects.