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beside the items mentioned in the first note of this chain for improvement, control the proper use of the management fee is also very important.

The total management fee per year is around HK$120 million which is a huge sum. Secondly, the reward of the management company is also usually based on how much they spend instead of how much they save. This is a system to encourage the management company to spend instead of to save. This is against the Corporate Sustainability Responsibility espouse in vogue in the business world. I heard some estates in Hong Kong can cost HK$400 to change a light bulb. Cost control and value for money management is also very important in addition to the service quality. Furthermore, I know some estate command a higher than market price because of low management fee. If there is proper control of the management fee, we can raise our property value also.

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