An indigenous villager in Hong Kong is suing a small developer, claiming his family has been left out the development plan after 38 years of waiting.

Lee Pak-yan has accused Sha Lo Tung Development Company of breach of contract as they failed to negotiate any plan to build houses for affected villagers, where he said it was a part of an agreement in 1979 to turn Sha Lo Tung in Tai Po district into a golf course.

Now, he is seeking a court order on behalf of his late father to honor the agreement. The developer should build him two new three-storey houses, equipped with parking spots and gardens, on top of damages and interest.

According to the writ filed to the High Court on Friday, his father Lee Chi-ying, along with other villagers of Sha Lo Tung Lei Uk and Sha Lo Tung Cheung Uk made an agreement to sell their houses and land to the developer, and in return, they will get 160 newly built homes in a different area.

The agreement is that each existing village house would be bought at HK$200,000 ($US25,600). And then, the new houses would be built with three floors of 700 sq. ft., accompanied by a 300 sq. ft. garden.

"In accepting the land exchange, the conduct of the defendant leads a reasonable man to believe the defendant does not intend to fulfill its obligation ... thereby constituting a breach of contract," the writ said.

Lee Snr, a part-owner of five houses, was entitled to two new small houses, as per the writ. On August 12, 1982, he assigned his share of the houses and lands to the developer for HK$400,000 ($US51,200). In February 1989, he also agreed to deliver vacant possession of two of the houses for HK$200,000. He then subsequently obtained HK$100,000 from the developer.

Since the area is rich in biodiversity, the government decided to designate large parts as a site of special scientific interest in 1997, which exclude farming or any construction. Sha Lo Tung became one of 12 priority sites for enhanced protection under "New Nature Conservation Policy" of the government in 2004.

There's still no news of any agreement to rebuild houses for the affected villagers, as per the South China Morning Post. Lee noted that he understood the relocation of the villagers is only being "part and parcel" of the Sha Lo Tung Development Plan.

The developer should include the building of new houses in its negotiations with the government, while the land also was held on trust for the villagers.