LAND, PUBLIC WORKS AND UTILITIES
196
The strong growth of the economy during 1988 fuelled demand for prime commercial space in the urban area resulting in rentals and land values continuing their upward climb, particularly in the early part of 1989. There was keen interest at an auction in January for a commercial site of 7 230 square metres adjacent to the Hong Kong Exhibition Centre in Wan Chai, now a well-established business district. Inland Lot 8888, the last major site currently available in Central, was offered for tender in May. The exercise attracted bids. from five major developers. Although the closing date for tenders followed closely upon events in China in early June, the tender result was looked upon as a positive indication of confidence in the future of Hong Kong. This confidence was further demonstrated in subsequent land auctions.
Another interesting site put up for sale by tender was on the Peak, adjacent to the Peak Tram Terminal. The site is to be redeveloped in a way that enhances its importance as a city landmark. It will include residential, commercial and community facilities.
At Tsing Yi 1.93 hectares of land were granted to the Hong Kong Housing Society which upon completion will provide some 1 800 residential flats.
Three sites with a total area of 3.79 hectares were sold under the Private Sector Participation Scheme and are expected to provide about 3 700 flats.
Eleven sites were granted to the Hong Kong Housing Authority for the development of Home Ownership Schemes. These included a 2.25-hectare site in Wang Tau Hom, a 2.48-hectare site in Lam Tin and a 1.69-hectare site in Tseung Kwan O.
-In the New Territories, a 1.277-hectare site in Fanling and a 2.729-hectare site in Sha Tin were offered by tender restricted to holders of Land Exchange Entitlements (Letters A/B). Both sites were for commercial/residential use.
Town Planning
Hong Kong's land area is about 1 074 square kilometres. About 80 per cent of the territory consists of hilly land which is too steep for economical large-scale comprehensive development. The main urban built-up areas are still concentrated on the northern coast of Hong Kong Island and Kowloon Peninsula. To accommodate the needs of the growing population and the economy, the use of the limited land resources must be planned very carefully to ensure that it is both effective and provides a good living and working environment. The table at Appendix 35 shows the current distribution of land uses in the territory.
Territorial Development Strategy
The Territorial Development Strategy provides general direction for the long-term development of Hong Kong to cater for the target population and associated socio- economic activities, and to produce the highest-quality environment within resource and time constraints. During 1989, further updating of the strategy and review of an outline works programme to provide a guide to major long-term development projects con- tinued and took into account the findings of major on-going studies including Metroplan, the Port and Airport Development Strategy study, and the Second Comprehensive Trans- port study.
Sub-Regional Planning and Rural Planning
In line with the Territorial Development Strategy, detailed sub-regional planning state- ments and district plans are prepared to provide guidance for more detailed land use planning and development control. Resulting from the Rural Planning and Improvement