WEDNESDAY, MARCH 26, 1986
41
NEW LEASE OF LIFE FOR HK'S URBAN AREAS
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THE EXECUTIVE COUNCIL HAS GIVEN THE GO-AHEAD TO A SCHEME THAT COULD MEAN A NEW LEASE OF LIFE FOR THE TERRITORY'S RUN-DOWN URBAN AREAS.
A LAND DEVELOPMENT CORPORATION IS TO BE SET UP WHICH IS AIMED AT ENCOURAGING PRIVATE ENTERPRISE TO REDEVELOP OLD URBAN AREAS WHILE AT THE SAME TIME PRESERVING THEIR COMMUNITY SPIRIT.
ALTHOUGH SOME OF THESE INNER CITY AREAS ARE POTENTIALLY AMONG THE MOST VALUABLE PIECES OF REAL ESTATE ON EARTH, REDEVELOPMENT HAS BEEN SLOWING DOWN AT THE RATE OF 10 PER CENT A YEAR.
THE LAND DEVELOPMENT CORPORATION (LDC) IS SEEN AS THE BEST WAY OF REVERSING THAT TREND WITH MINIMUM COST TO THE GOVERNMENT AND MAXIMUM PARTICIPATION BY THE PRIVATE SECTOR.
THE DIRECTOR OF LANDS, MR JOHN TODD, EXPLAINED THE FUNCTION OF THE CORPORATION WILL BE TO PARTICIPATE IN THE SELECTION OF SUITABLE AREAS FOR DEVELOPMENT AND IN THE PRODUCTION OF PLANNING BRIEFS FOR THOSE AREAS.
+IT WILL ACQUIRE LAND OR PROPERTY THROUGH NEGOTIATION WITH THE OWNERS AND WILL, WHERE NECESSARY, SEEK THE GOVERNMENT'S ASSISTANCE TO RESUMÉ MINORITY INTERESTS.
+ONCE THE DEVELOPMENT PLAN HAS BEEN AGREED AND THE ACQUISITION NEGOTIATED THE LDC WILL SET UP A SUBSIDIARY COMPANY TO DEVELOP THE AREA. THIS SUBSIDIARY COMPANY WILL RAISE ITS OWN FINANCE FROM PRIVATE SOURCES, WILL UNDERTAKE DEVELOPMENT AND DISPOSE OF THE PROPERTY ONCE DEVELOPMENT IS COMPLETED.+
THE LDC IS ALSO SEEN AS THE BEST ANSWER TO THE DEVELOPMENT PROBLEMS BESETTING THE URBAN AREAS WITH THE IR CROWDED TENEMENTS AND NARROW STREETS.
ALTHOUGH THEY ARE POTENTIALLY VALUABLE SITES SEVERAL PROBLEMS HAVE DETERRED WOULD-BE DEVELOPERS FROM MOVING IN.
THE FIRST IS THAT OF ASSEMBLING A LARGE ENOUGH SITE TO MAKE REBUILDING WORTHWHILE. MANY OF THE PROPERTIES HAVE A MULTITUDE OF OWNERS, SOME OF WHOM ARE NO LONGER LIVING IN HONG KONG.
WHERE OWNERS ARE STILL LIVING IN THE PREMISES THEY ARE RELUCTANT TO MOVE. THEY HAVE BUSINESS AND SOCIAL TIES IN THE AREA AND THEIR CHILDREN GO TO SCHOOL IN THE NEIGHBOURHOOD.
THERE IS A STRONG SENSE OF COMMUNITY AND PEOPLE WHO HAVE LIVED IN ONE SPOT FOR YEARS DO NOT WANT TO MOVE TO A NEW HOUSING ESTATE MILES AWAY.
/EVEN WHERE