I discussion

on 14 April 1987

Introduction

CONFIDENTIAL

XCC (87)6132

Copy No...

MEMORANDUM FOR EXECUTIVE COUNCIL

SHA TIN TOWN LOT No. 168 in AREA 30B

PROPOSAL TO MODIFY CONDITIONS OF SALE

The purpose of this memorandum is

is to

to seek Members' advice on a proposal to modify the Conditions of Sale of Sha Tin Town Lot No. 168 (STTL 168) in Area 308 Sha Tin, which is described on the plan annexed, to permit a change of user from 'hospital and ancillary facilities' development'.

Background

2

to

1

residential

STTL 168 (1.922 hectares) was sold on 22 March 1982 by cash tender for $60.8 million to Stratton Development Limited, a wholly owned subsidiary of

of Union Medical Centre Limited (UMC), for development of a 200 to 600 bed private hospital together with ancillary facilities. Two tenders were received. In accordance with the conditions of sale, the owners have to complete and bring into operation a hospital before 30 September 1987.

3

The shareholders of UMC at the time of the sale were:-

Asia Lands & Property Ltd.

Stratton Estates

Lau Yiu Chu

World Wide Properties Ltd. (WWP)

Dollar Credit Holdings (DCH)

Pacific Bank Macau

Hock Heng Hung

Total Shares

21 million shares

5

5

10

10

6

5

11

1#

62 million shares

4

The majority of these shareholders. were heavily indebted to the Hang Lung Bank. Some of them are currently in liquidation. In the financial interest of the Bank, arrangements were made to gain control of UMC whose only asset is the

the shares in Stratton Development Limited. On 2 April 1986, with the Hang

the Hang Lung Bank in majority control, UMC

1i

on

CONFIDENTIAL

188

Share This Page