HONG KONG GENERAL CHAMBER OF COMMERCE.
CROWN LEASES.
69
Extracts from Hong Kong General Chamber of Commerce Annual Report of 1898:-
Sir,
Reduction of period of Crown Leases.
H. K. General Chamber of Commerce,
22nd September, 1898.
It having come to the knowledge of the Committee of the Chamber that the Government, acting under instructions from the Secretary of State for the Colonies, have reduced the period for which the leases of Crown lands are granted, viz., from 999 years to 75 or 99 years at the utmost, they respectfully beg to lay their views on this important subject before His Excellency the Officer Administer- ing the Government.
The Crown leases in the city of Victoria and its suburbs were ori¿inally granted for 75 years only; but this short term not proving satisfactory, in March, 1849, upon the recommendation of a Committee of the House of Commons, an extension of 924 years was granted to the holders of then existing leases and the term fixed at £99 years for the future, which was adhered to without exception until within the last two months. Several lots on the resumed area in Tɛipingshan were then sold on a lease of 75 years, but the premium demanded had to be reduced to half the amount which could have been obtained had a longer period been granted.
In Kowloon the Crown leases have with some few exceptions, viz., two or three inland lots, the Marine lots at Tsim-tsa-shui, and the property held by the Hong Kong and Whampoa Dock Co.-- all of which are on a tenure of 999 years been made for a term of 75 years, and the same term was given to the Rural Building Lots in the Hill District. The owners of all these lots, however, were allowed to believe that the question of the future extension of the lease to a parity with those held within the city of Victoria would be considered, and that, in no case, would resumption follow cn conclusion of the term. In this faith, too, mortgages have been effected which otherwise could not have safely been concluded.
The Committee feel profound regret that so radical a measure affecting the tenure of land should have actually been put into operation without consulting any opinion in this Colony, and they deplore the tendency at the Colonial Office to endeavour to apply legislation to distant dependencies of the Crown without sufficient regard being had to the local circumstances. In the present case the change so unceremoniously introduced cannot fail to have far- reaching consequences, and in its working will assuredly act disas- trously on the future well-being of the Colony. In protesting against the change, the Committee wish to point out:-
1.
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The abandonment of long leases, after granting the same for nearly fifty years, will have the effect of
C.
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Placing all property held on 999 years' lease at a high premium.
Reducing the premium rn sales of Crown lands from 50 per cent, to 60 per cent, according to locality.
Producing a great decline in the demand for Crown lands and consequent falling off in revenue.