any interest in the increased value of land which they

occupy otherwise than by right of purchase in the open

market. Since any new Service Department requirement

for land is met free of charge the only reasonable basis

for assessing compensation is the degree of re-provisioning

of accommodation actually required.

#

In essence what it amounts to is that the Hong Kong

Government would be prepared to re-provide accommodation

where necessary, to an agreed scale based on user and

not on the value of the land, and where such re-provisioning

was not necessary they would pay compensation only on the

cost of improvement and not on current land values..

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