158
the enclosures to GoL/12330/12.
The terms of the transfer of the privately
owned property are set forth in the Colonial Secretary': letter of 15th March as amended by enclosures I to III in Gov/12330. They are as follows:-
(a) The Government is to take over from the Wharf & Godown Company: -
Kowloon Marina Lots Nos. 3 & 9 with the old Praya forming part of Lot 9; the pier owned by the Star Ferry Company; to give compensation for the removal of the buildings on those lots; and to make a cash payment in lieu of filling in the Police Basin. Total sum $750,457-18
The Wharf & Godown Company is to take over the Police Basin, with the Praya in front of it, plus a strip of land alongside Salisbury Road on the road frontage of Kowloon Marine Lot: No. 3.
Total value
$341,183.60
This makes a cash balance of $409,273.53 in favour of the Company.
(b) From the Land Reclamation Company tha Gov arnmant is to take Kowloon Marine Lots Nos. 74 and 75 value
$1,009,016.
If the deal is to be done partly by exchange
of land, the Company is to take over various strips of land and the three Inland lots 1140,1141, 443, but they will not take as proposed by the Government the strip referred to as II B (IX) valued at $94,596. They will takethe rest of the land, valued at, $891,075..25 and they will require a cash payment of $117,940..75 which
with
Enclosure 6
in 10665.
See map in 10665.
·25
with the cash due to the first Company ($409,273 ..53) makes a total cash payment $527,214..28. If it is decided not to exchange lands then the money will be paid in place of the value of the lands viz $891075..25 plus the value of the strip of Kowloon Marine Lot. 3 ($54,100) which the Wharf and Godown Company ill not then take over. The idea is that there shall be an immediate cash payment representing the differenc⇒
by between lands surrendered and taken over by the
$8527,214 28 Companies i.a. $6371,214 28, and that the remaining sım due viz,$945,175, shall be paid at a later date. There are certain other terms of minor importance to which refererance need not be made except as to paragraph 5 (VIII) of enclosure 6 in 10665.
Sir F. Lugard objects to this paragraph as it binds the Govern-
mant not to usd Kowloon Marine Lot. 9 for any other than a public purpose and he does not wish to have the clause included in the agreement, though he thinks that probably in practice the provisions of the paragraph will be adopted.
Before examining Mr Severn's and Sir F. Lugard's financial proposals in Gov/13581 and 1/1509%, it is necessary to decide which alternative is to be adopted.
I think that as the Governor, the Director of Public Works, and the gentlemen who negotiated for the Govern- ment are all convinced of the desirability of purchase rather than exchange, we should do well to agres.
If this is accepted, Hong Kong has to make
an immediate payment of $527,214..28 and later on to find $945,175,.25. a total of £128,834 (at 1/9 to the $)
In