OOP Y.

Enclosure No. 3 to Despatch No. 7% of the

19th. November; 1903,

Hon. Colonial Secretary,

C. O.

52511

383

It is impossible to foresee what changes

will occur in this neighbourhood. If Causeway Bay is ever filled in as appears not improbable at some future period, a great deal of the hills adjoining it will be cut away to obtain the material for filling.

I therefore submit the following terms

for the extensions applied for:-

(1). Term of Lease 75 years, to date from approval of

extension.

(2), Premium 15 cents per Square Foot to be paid on

approval of extension.

(3). Crown Rent $400 per acre, to be paid from date of

approval of extension.

(4). A sum of not less than $500 to be expended on the

erection of a dwelling house on each lot within 18 months of the date of approval of the extension.

(5). Leases not to be issued until the above conditions

are complied with.

(6). Should Government resume the land at any time during

the term of the lease, the owners of the lots to be compensated for their buildings and to receive com- pensation for the land at the rate of 15 cents per Square Foot only.

(7). The sites to be set out by the Director of Public

Morks and formed to such levels as he may determine.

(9); The applicants to construct retaining walls or

adopt other means to prevent damage by landslips from the hill in the rear of the lots.

15th. August, 1903.

(Sa.) W. Chatham,

D. P. I.

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