LAND, PUBLIC WORKS AND UTILITIES
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charitable institutions which operate schools, hospitals, social welfare and other com- munity services in accordance with the government's policy objectives.
Most government land available for private sector commercial, industrial or residential development is sold by public auction or tender. Regular auctions are held and a provisional land sales forecast is published at regular intervals. In the New Territories, however, where much of the land required for development has to be acquired by the government, a high proportion is disposed of by tenders restricted to holders of Land Exchange Entitlements (Letters A/B). Since 1983, when Letters A/B were last issued, the amount of entitlements outstanding has decreased from $36 million to $11 million.
Leases for certain special purposes, which are affected by particular site requirements or other factors which are inappropriate for disposal by public auctions, are also offered for sale by public tender. Special purposes include capital-intensive industries which intro- duce new technology and cannot be adequately accommodated in more conventional multi-storey flatted factory buildings. These sales are initiated only in response to formal applications and, in certain circumstances, may be concluded by direct private treaty.
Land Acquisition
When private property needed for the implementation of public works projects cannot be acquired by negotiation, the use of compulsory powers becomes necessary. Property may then be acquired under either the Crown Lands Resumption Ordinance, the Land Acquisition (Possessory Title) Ordinance, the Mass Transit Railway (Land Resumption and Related Provisions) Ordinance, or through the Roads (Works, Use and Com- pensation) Ordinance. These ordinances provide for the payment of compensation based on the value of the property at the date of acquisition. If agreement cannot be reached on the amount payable, either party can refer the claim to the Lands Tribunal for adjudication.
Where land is acquired in the New Territories, a system of ex-gratia payments applies, with enhanced rates for land situated within the new town development areas and progressively lower rates for land situated outside these areas. In the case of building land, an ex-gratia payment is offered in addition to the statutory compensation. A system of ex-gratia payments also applies in the case of old scheduled lots acquired in the urban area. The need for development has continued to grow. During 1989, about 1.2 million square metres of private land was acquired in the New Territories to carry out various public works projects and the total land acquisition and clearance costs involved were about $1.8 billion. These projects included the Yuen Long-Tuen Mun Eastern Corridor and Yuen Initial Phase in Tuen Mun; the Long West Link; the West New Territories Landfill formation and servicing of the North District Hospital site at Fanling; and the North West New Territories Development - Sewage Treatment Plant (Stage I) effluent tunnel/outfall, also at Tuen Mun.
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In the urban areas of Hong Kong Island and Kowloon, about $1.1 billion was paid in compensation for land and buildings acquired during the year for public works projects, either under compulsory powers or by agreement. These projects included the Tate's Cairn Tunnel and Approaches; the Choi Ha Road Southern Extension; the Kwun Tong By-Pass Phase II; the Wyndham Street and Connaught Road improvements; and the Kowloon Walled City Clearance.
Land Office
The Land Registration Ordinance provides for the registration in the Land Office, a Division of the Registrar General's Department, of all instruments affecting land.