CONFIDENTIAL.
1
Sec. 894/1945.
N038
(1) on '+6-47 file
(2).
Encl. 1
Encl. 2
Sir,
54051/41
GOVERNMENT HOUSE,
HONG KONG.
23rd February 1948.
Referred in (1)
I have the honour to refer to Sir Mark Young's confidential despatch of 26th. June 1946 and your telegram No. 732 of 23rd. August 1946 in reply, on the subject of the Crown Leases which were granted for terms of seventy- five years with no provision for renewal.
41
2. As a result of the issue of the press announcement which was published on 16th. June 1946, 98 applications for renewal of leases were received. Terms have been offered and accepted in 44 cases, but the remaining applications are still out- standing owing to unavoidable delay in the issue of the detailed terms for renewal, or protracted negotiations with lessees; but the Director of Public Works has been given discretionary power to fix a time limit for the acceptance of the terms offered where it is believed the applicants are unnecessarily delaying acceptance or rejection.
3. I do not think that the period for the submission of claims to qualify for the specially advantageous terms published on 16th. June 1946 should otherwise be extended, and consideration has accordingly been given to the terms which should be offered in respect of applications received after 16th. June 1947, and I enclose a copy of the statement which it is now proposed to issue.
4.
The question has been considered in Executive Council which had before it a preliminary draft statement and representations on the preliminary draft from the Hong Kong General Chamber of Commerce, a copy of whose letter dated the 27th. Decmber 1947 is enclosed. The draft statement enclosed with this despatch differs in two respects from the preliminary draft :-
RECEIVED
4 FAR...
C. O. REAY
(a) by the insertion in paragraph 1 of the words
"save in exceptional circumstances" which now appear between the word "will" and the word "be"
line 1.
inis amendment has been agreed to so as to enable Government at its discretion to grant the renewal of leases which have more than 20 years to run, in those cases where the applicant is able to prove that it is intended to proceed with early and substantial development.
(b) by the deletion of the words " the paramount
consideration in all cases being to ensure the early and adequate building and development of the Lot, in accordance with modern requirements and the needs of the community", which appeared at the end of paragraph 6(a).
THE RIGHT HONOURABLE
I have accepted the advice of Executive Council that this amendment be made and be coupled with a direction to the Director of Public Works that the revised building covenant incorporated in a new lease should normally be the present day equivalent of the building covenant in the old lease, but that in any case where he considers that the existing building covenant thus revised
C.R. ATTLEE, C.H., M.P.