CO129-502-5 Acquisition of Kai Tak for an aerodrome- financial arrangements 23-5-1927 - 27-10-1927 — Page 34

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of the cost of the aerodrome to be

borne by Hong Kong funds.

The

basis proposed for sharing the cost

between H.M.G. and the Hong Kong

Government is that the former should

provide 3/4ths of the cost of acquiring

the site and rendering it as suitable

Calculated

for use as an aerodrome,/on the assumption

that the reclamation would be completed

by earth cutting on land, and the latter

should provide the balance and the

additional cost of completing the

reclaimation by dredging. On this

basis, according to the revised estimate.

of which a copy is enclosed, the

contribution of H.M.G. would amount to

approximately £178,000, while the

contribution on Hong Kong would be

approximately £120,000. This sum is

entirely beyond the present resources

of the Colony and can only be provided

by means of the loan which, as stated

above, it is now proposed to issue for

public