Ageing is a fast developing social problem worldwide. Equally challenging is the decre-asing number of children in households, which causes many grade schools to be closed. This work finds transforming those closes schools into housing for the aged quite feasible and useful. And a major approach to realize this possibility is by promoting private participation in infrastructure or BOT (Build-Operate-Transfer).The aim of this work is three-fold: 1. Investigation of current status, i.e. a survey of closed grades schools island-wide and relevant laws and regulations in housing for the aged; 2. Identification of barriers which impede private participation in aged housing; 3. Drafting the comprehensive procedures upon which an aged housing BOT case must follow.