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Published on July 7, 2007

The dispute between the National Housing Authority (NHA), which runs 87 low-rent blocks of community flats in Din Daeng district, and its tenants over what to do with the ageing buildings has dragged on for almost a year now with no solution in sight. The buildings in question have fallen into disrepair and some of them according to experts are on the verge of collapsing. Both the NHA and the estimated 45,000 tenants have been engaged in a skewed debate that does not even approach the real issue.

The NHA, citing public-safety concerns, insist that most if not all of the buildings, which together contain 9,200 units and were built some 30 years ago, should be torn down and rebuilt. To do that, the existing tenants would have to be relocated so that the demolition work and construction could be carried out. It remains unclear what the NHA plans to do with the huge swathe of land, which has over the decades appreciated in value by more than a hundred-fold, if and when the tenants are moved out.

The NHA has not released the details of its plan but has hinted that perhaps not all of the blocks will be rebuilt, as part of what has now become a prime piece of land in Din Daeng may be auctioned off for commercial property development while any newly built flats will come with more realistic and much higher rental rates. In other words, not all current tenants would be able to afford the new community flats once they are rebuilt.

In the first phase, the NHA said it planned to demolish 20 flats that were deemed unfit for living. Din Daeng flat residents, however, have vowed to resist the move.

Most residents of the Din Daeng flats, who currently pay about Bt300 to Bt400 a month for their modest units, refuse to relocate unless the NHA and the Surayud government can guarantee them the right to return and pay the same rent, or perhaps only slightly more. These people make all sorts of demands, including that they be provided with huge compensation and temporary accommodation, all of which, including the cost of construction of new and better blocks, must be paid for with taxpayers' money.

It is understandable that the residents would come up with tough demands, because they have so much to lose. It is common knowledge that many of the original tenants who moved in 30 years ago went on to sublet their flats and charge rental rates that are several times higher than those they pay to the NHA. After 30 years many of the original tenants have already moved on to bigger apartments or houses but they retain the right to occupy the flats.

Despite this, most Din Daeng flat tenants portray themselves as poor people being harassed by the NHA, which they describe as a greedy agency that wants to tear down their low-rent housing units and auction off the land to the highest bidder. Of course, this characterisation is not exactly accurate. The Din Daeng flats are located on land owned by the Finance Ministry's Treasury Department.

The way things stand now, both the NHA and the residents of the Din Daeng flats will continue to be stuck in a deadlock. The NHA is pushing hard for the relocation of the tenants, who in turn put up stiff resistance. The tenants insist that their flats continue to be habitable with major repairs on building structures to be funded by taxpayers' money. The NHA continues to keep everybody guessing as to what it has in mind for the prime property.

Meanwhile, the Social Development and Human Security Ministry is trying to mediate between the two parties. Teams of engineers assigned to inspect the Din Daeng flats have come up with conflicting verdicts. Some said the buildings are already past their useful life and may pose a public safety concern. Others said the dilapidated flats can still be fixed and their useful life extended for at least a few more decades.

The only way out of this conundrum is through a rational public debate. It all boils down to this: taxpayers' money should be used to support people who are genuinely poor and disadvantaged while at the same time precious property belonging to state agencies must be put on the market to maximise returns - which can then be spent on national development efforts for the benefit of all.