News broke out in July 2006 that Dragon Garden, situated at Tsing Lung Tau, Sham Tseng, would be sold to a developer; it was feared that the sixty-year-old mansion could not be preserved. The Conservancy Association applied to the Town Planning Board, clearly stating that the building could not be demolished. It was hoped that this piece of built heritage could be saved.
Dragon Garden was established by the late philanthropist Lee Iu Cheung in the 1940s. It was designed by Lee and incorporated the characteristics of Sung, Ming, Qing Dynasty and the principles of Confucianism, Buddhism and Taoism. There were over a hundred plant species in the garden, including over 30 probably the largest Buddhist Pines in Hong Kong.
Dragon Garden was not sold to developers at the end of the day. A Grade II status was conferred to Dragon Garden on 25th September 2006, as the Administration was still discussing with the owner about the exact boundary of the site.