x
(ench),
3840/21
Ե
8
from other files, evidence of land values in
the neighbourhood.
The land to be produced
by the Reclamation scheme alongside the Arsenal
was estimated in 1921 to be worth $4.- per
foot
squareya, but lapse of time and the fall
estimate
of the dollar make this almost worthless. Although
八
the fall of the dollar makes the proposed terms
more favourable to the Government than they were
when they were suggested in August 1929, I
think we should ask for further information on the
two points noted above before approving.
?
Enquire by telegram. DH. Sultd.
G.C. G. C. Miles
14
10.30
wa letter of 311.30 in (1)
The position seems sufficiently clear. The
Aumiralty at present occupy the Arsenal Yard or
Depot (4 acres), the Kennedy Road Magazines (62 acres
and kellett Island (1) acres). They have
arranged with the War Office to remove their
establishments from these three areas to "an area
of land in military occupation onStonecutters
X
Island."
As regards the three areas which the
Aumiralty will vacate, the Arsenal Yard or Depot
and Kellett Island will revert to the Colonial
Government, subject in the case of Kellett Island
to the retention by the War Office of their
magazine sites there until the new Army magazines
are constructed. In return for the reversion of
these two areas to the Colonial Government and to
assist the Admiralty in the cost of their moving,
the Colonial Government has agreed to pay the
Aamiralty
Pa
Pa
9
Aamiralty $2,000,000.
We need not query that
sum which has been reached by local negotiations
It is a sum which the Admiralty estimate it
will cost them to construct and equip their
new Depot on Stonecutters Island and the
Governor assures us in paragraph 4 that it will
be recovered by the sale of the land evacuated
within a few years.
11
As regards the third area to be vacated, the
Kennedy Road Magazines, "it will be returned to
the War Department as soon as the new accommo-
aation is ready, and if not required for
military purposes will revert to the Colony.
(Paragraph 4 of the 1st enclosure to No. 1.)
The question of the removal of the military
magazines is to be left over for later settlement.
(Paragraph 6 of the despatch) and that is why
the disposal of the third area vacated by the
Aamiralty is not dealt with in the present
Agreement.
It might be possible to criticise some
aspects of the Agreement, particularly the
reversion of the Kennedy Road Magazines to the
War Department, but we should only get involved
in a wrangle with the Lanus Jepartment, War
Office.
There seems no doubt that the
Agreement is advantageous to the Admiralty, War
Office and the Colonial Government and it will
be better to close the deal than to attempt to
get alterations on points which we may consider
too favourable to the War Office.
The
le 9
e 9
Page
Page
10
The Aumiralty are satisfied that the new
Jepot to be constructed on Stonecutters Island
squared
can be oured with the terms of the Washington
Treaty (paragraph 5 of first enclosure to No. 1, but
there is no evidence that the Foreign Officehas
been consulted.
Substance of paing. I
Go
to Aumiralty and say the
Secretary of State proposes to approve, but will
be glad to know first whether the scheme has been
explained to the Foreign Office and whether they
have concurred that it is unobjectionable from
the point of view of the Washington Treaty.
JHulder.
16.10.30
G. L.M. Canson
22112.
7:10. Almirally
bons
16/10
MAY/K
uta
£22.10.30
8 Admirally
5.11.30
Frs. copy of
copy of letter
addressed
lo
to FO
F.O megarding
and
the evacuation & Arsenal fard
"Keliett Island Magazines.
? Await further communication from
Admily driles
Halder 7 20
7.11.3
30t
ge 10
e 10Page 11
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