that whilst the Government would prefer having this great scheme carried out in its entirety by the marine lot-holders themselves, in preference to undertaking the reclamation as a Public Work at its own risk, it would have no objection in the general interests of the colony, should a minority refuse to join in the scheme, to exercise the rights of the Crown and to undertake the reclamation itself in conjunction with the consenting majority of the lot-owners.
His Excellency is, therefore, prepared to recommend the project strongly to the Secretary of State, subject to the conditions which follow:
(1) That the proposed reclamation, including the extension of streets and a new Praya roadway, be carried out in accordance with the general plan dated the 6th of August, 1887, which has received the approval of the Acting Governor and which may be seen on application to the Surveyor General.
(ii) That the whole of the works, including the removal and re-erection of piers, and the extension, formation, sewering and channelling of the proposed new streets and new Praya Wall and roadway, except on such portions of the foreshore as are situated in front of Government properties, be carried out by the Public Works Department at the cost of the marine lot-owners.
(iii) That the Colonial Government shall not be called upon to incur any expense whatsoever in connexion with the proposed works, other than the wall and reclamation in front of Government properties.
(iv) That the proposed works, except as aforesaid, be defrayed from a General Fund to be constituted by the marine lot-owners for the purpose, and that before the commencement of the works each marine lot-owner enter into a written contract with the Government, binding himself to take up such allotment of the general reclamation as may be apportioned him by the Government, and that each marine lot-owner deposit at the Bank 25 per cent. of the total value of the contribution to the General Fund by way of a guarantee of his good faith, such deposit of 25 per cent. to be forfeited to the Crown in the event of the marine lot-owner subsequently failing to take up his allotment of the reclamation. The interest accruing on these deposits to be handed over by Government to the marine lot-owners.
(v) That during the progress of the works all calls of money for works that may be made by the Government upon the marine lot-owners shall be duly honoured by the latter, provided that the amount of such calls does not exceed the value of the works actually done in their respective allotments.
(vi) That immediately upon the completion of the reclamation of his allotment, including the construction of the extension of new streets and of the new Praya as aforesaid, each marine lot-owner take out a Crown Lease for said allotments paying an Annual Crown Rent for the same at the rate of $200 per quarter acre.
(vii) That no rebatement of Annual Crown Rent shall be claimed by the marine lot-owners for their present holdings upon the issue to them of new marine lot leases for the reclamations, in consideration of which the Government undertake not to levy any premium on the latter.
(viii) That any houses to be erected on the proposed reclamations shall be subject in respect of light, space and ventilation to the following structural provisions:
(a) No private lane on which the houses shall front to be of a less width than 15 feet.
(b) Every one-storied house to have a back-yard not less than 10 feet in width, and such width to be not less than 15 feet for houses of more than one storey.
(c) Every habitable room in a house to have at least one window opening out into the external air, such windows to be of a size not less than one-tenth of the floor area of the room.
(d) Every human dwelling to be furnished with a suitable privy placed in the back-yard.
(ix) The Crown reserves to itself such portions of the reclamation as are required for the new streets and the new Praya, and the same, when constructed, shall remain the property of the Government.
(x) That in the event of any marine lot-owner failing to take up his allotment, or to perform his contract or any portion thereof, in addition to the forfeiture of deposit as provided by the fourth condition, the contracts shall be cancelled and all rights of the lot-holder thereunder shall cease and determine.
Subject to the foregoing provisions the Acting Governor would be prepared to meet the views and wishes of the marine lot-owners, and His Excellency will be happy to avail himself of your offer to act as an intermediary between them and the Government.
I have the honour to be,
Sir,
Your most obedient Servant,
FREDERICK STEWART, Acting Colonial Secretary.
HONGKONG, 6th October, 1887,
With reference to previous correspondence on the subject of the Praya reclamation project and in conformity with His Excellency the Acting Governor's desire that I should act in the capacity of intermediary or negotiator between the Government and the marine lot-owners, I have the honour to inform you that I duly invited the marine lot-holders' views and opinions on the Government conditions, and that the only questions and objections that have so far reached me from them are contained in the documents which I now beg to forward for the information of the Government.
By the enclosure marked A, you will see that the Chinese portion of the marine lot-owners have held a meeting to consider the Government conditions, and that they have passed a series of resolutions embodying the whole of their objections.
To facilitate matters between all parties, I venture to submit the following observations on the points raised in enclosure A, in the belief that my suggestions, if adopted, will secure the general adherence of the lot-owners to the project without, after all, entailing on the Government any very substantial sacrifice.
Resolution 1—I would recommend that this be granted.