CO129-555-3 Proposed transfer of lands near Kai Tak to the War Department 22-8-1935 - 16-1-1936 — Page 17

2.

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the Government on resumptions and formation works to the

end of May 1935. Formation is still proceeding and the

figure will require adjustment later.

(ii) By a credit to the Hong Kong Government in the Military Lands Account of $1,468,640 representing as to $756,140 capital value of the area (less the $71,500 in

(i)) and as to $712,500 Crown Rent at $500 per acre

capitalized at twenty-five years purchase. Capital value

is taken in the case of the fully formed portion E.F.H.G.

at fifty cents per square foot and of the balance F.M.N.H.

at twenty-five cents per square foot.

This Government is not prepared to transfer the

portion E.F.H.G. without the portion F.M.N.H.

B.

The area edged red on the plan, but excluding

the section to the eastward hatched red :-

(i)

On payment by the War Department in cash of the

sum of $102,100 made up as follows :-

Resumptions past and future

Work on formation carried out

$81,500.

northwards of the line E.F.M.

$17,000.

$ 3,600.

Exhumation of Cemetery

(ii)

By a credit to the Hong Kong Government in the Military Lands Account of $5,011,500 representing as to to $2,511,500 premium at the rate of fifteen cents per square foot on an estimated area of 400 acres ($2,613 less the cash payment of $102,100 mentioned under B (i)

above and as to $2,500,000 Crown Rent on 400 acres at

$250 per acre. So far as the area north of the line E.FM.

is concerned the estimate of 400 acres is purely provision

and the payments of both kinds will require adjustment

when the boundaries of the new Cantonment have been

finally settled.