LAND AND HOUSING
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boundaries conforming to the development layout. Within layout areas these exchanges are normally negotiated on a foot-for-foot basis for building land surrendered, and a five-feet-for-two-feet basis for the agricultural land surrendered, with a premium payable equal to the difference in value between the land surrendered and that re-granted. This system has proved acceptable to landowners and has been eased by the issue of letters entitling any landowner, who voluntarily surrenders land at the time when it is required for a public purpose, to a future grant of land when this becomes available. The current depression in the real estate market and general tightness of credit have, however, placed some strain on the system, but it is hoped the position will improve when demand for building land catches up with supply and investors regain confidence.
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LAND SALES
The property market was very quiet during the year and, although there were a number of sales of industrial land, there was no re- introduction of a pre-announced programme of land sales. Details of land available for sale were exhibited; any of this could be offered for sale by auction on application. The state of the property market also had its effect on applications for the grant of modi- fications of leases and the re-grant of expiring 75-year non-renew- able leases. As a result, there was a smaller volume of cases to be dealt with.
Revenue from land transactions in Hong Kong, Kowloon and New Kowloon, during the financial year 1966-7, totalled approx- imately $44,581,000, made up as follows: about $26,053,000 from 21 sales by auction and tender; $4,748,000 from private treaty sales; $8,440,000 from modifications of lease conditions, extensions, and exchanges; and $9,213,000 from re-grants of expired 75-year leases. Revenue from land transactions in the New Territories during the same period was $6,042,000. Where it is not possible to dispose of land immediately, either because public utilities and other services are not yet available, or the site has been set aside for some future purpose, the land is rarely left vacant, but may be occupied, either on temporary annual permit or on short-term tenancy. The 1966–7 revenue from this type of tenure was approx- imately $6,806,000 in the urban area and $1,186,700 in the New