THURSDAY, NOVEMBER 10, 1983
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PROPOSAL ON DISPLAY CENTRE PROJECT EXPECTED SOON
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THE SECRETARY FOR TRADE AND INDUSTRY. MR E.P. HO TOLD THE LEGISLATIVE COUNCIL TODAY THAT A RECOMMENDATION WOULD BE MADE SHORTLY TO THE GOVERNOR-IN-COUNCIL AS TO HOW BEST THE PROPOSED EXHIBITION CENTRE PROJECT SHOULD BE FURTHER PURSUED.
HE WAS SPEAKING AT THE RESUMED DEBATE ON MOTION OF THANKS FOR GOVERNOR'S ANNUAL ADDRESS.
MR HO SAID THAT THE STAGE | CONSULTANTS - SELECTED BY THE GOVERNMENT APPOINTED NON-STATUTORY BOARD CHAIRED BY MR MICHAEL SANDBERG - COMPLETED THEIR REPORT IN APRIL THIS YEAR.
+THEY PROPOSED A DESIGN FOR A MULTI-PURPOSE COMPLEX ON THE WAN CHAI SITE PROVIDING FOR EXHIBITION HALLS, CONFERENCE FACILITIES, CARPARKING, HOTEL, SHOPPING AND OFFICE SPACE.
+THE CONSULTANTS ADVISED THAT NO MAJOR EXHIBITION CENTRE COULD OF ITSELF GENERATE SUFFICIENT DIRECT INCOME TO MEET THE FINANCING AND CAPITAL COSTS, AND THEREFORE RECOMMENDED THAT THE NON-EXHIBITION ELEMENTS THAT IS THE SHOPS, HOTEL AND OFFICES BE INCLUDED IN THE COMPLEX FOR SALE TO RECOVER THE CAPITAL COSTS INVOLVED IN THE CONSTRUCTION OF THE EXHIBITION CENTRE.
+THESE FINDINGS WERE SUBMITTED TO THE EXECUTIVE COUNCIL IN JULY THIS YEAR. BECAUSE OF THE CHANGED VALUES IN THE PROPERTY MARKET SINCE THE STUDY WAS UNDERTAKEN A FURTHER FINANCIAL STUDY WAS REQUIRED WITH RESPECT TO VIABILITY BEFORE A DECISION COULD BE TAKEN.
+THIS FURTHER TOUGH AND CLEARLY ESSENTIAL STUDY WHICH HAS NOW BEEN COMPLETED HAS COME TO A SOMEWHAT MORE CIRCUMSPECT CONCLUSION. A RECOMMENDATION WILL BE MADE SHORTLY TO YOUR EXCELLENCY IN EXECUTIVE COUNCIL AS TO HOW BEST THE PROJECT SHOULD BE FURTHER PURSUED, MR HO SAID.
RECOUNTING THE DEVELOPMENTS OF THE PROPOSED PROJECT, MR HO SAID THAT THE THEN SECRETARY FOR ECONOMIC SERVICES, IN HIS REPLY TO MR ALEX WU'S SPEECH OF OCTOBER 1977, CONFIRMED THAT THE INDUSTRY AND CUSTOMS DEPARTMENT WAS GATHERING MATERIAL TO SUPPORT THE VIEW THAT AN EXHIBITION CENTRE WAS GREATLY NEEDED AND WOULD BE WIDELY USED. IT WAS NOTED THAT AN ADEQUATE EXHIBITION CENTRE WOULD NOT BE INEXPENSIVE AND THAT IT WOULD HAVE TO BE VIABLE.
+THE GOVERNMENT'S VIEW THAT THE EXHIBITION CENTRE HAS TO BE VIABLE WAS ENDORSED BY THE ADVISORY COMMITTEE ON DIVERSIFICATION (ACD). WHILE ACD WAS STILL ENGAGED ON ITS STUDIES THE THEN TRADE INDUSTRY AND CUSTOMS DEPARTMENT WAS ALREADY AUTHORISED IN LATE 1978 TO EMBARK ON A TWO-STAGE CONSULTANCY TO ASCERTAIN THE DEMAND FOR AN EXHIBITION CENTRE IN HONG KONG, ITS VIABILITY, AND TO PROVIDE SPECIFICATIONS AND ESTIMATES.+
/+THE CONSULTANTS