Enclosure 1.
公
in No.
5.2.
1.
Extract from Report of Economic Commission,
1934 - 35.
CHAPTER VIII
PROPERTY.
The value of and investment in property, as a
general rule, depends upon the prosperity of the community.
The attractions of the locality, either for trading,
industrial, or social purposes create the demand which
determines the value. Other factors however obtain in
Hong Kong which tend abnormally to enhance or depreciate
values. By reason of the Colony's security and freedom
from undue taxation as compared with the unrest and
insecurity existing at times in South China, property for
many years has been a favourite investment for the Chinese
in the neighbouring provinces of China. This state of
affairs has undoubtedly tended to create abnormally high
values, bearing little relation to their present economic
worth, and in times of depression these values naturally
depreciate rapidly thereby resulting in the freezing up of
large assets and savings of the community.
2.
The accompanying table shows the growth of the
rateable value of the Colony during the past twenty years.
In 1934 the rateable value stood at $38,641,856. This
figure capitalized on the basis of 7% per annum represents
an investment in rateable property of no less than
$550,000,000. This huge sum, large as it is, does not
include very considerable property owned by the local
Goverment, the Navy or the War Department, or all similar
property which is not included for Assessment.
3.
As it is not generally appreciated how large a
portion of the wealth of the Colony is invested in property,
a comparison of this foregoing figure with some of the other
large categories of investment may be of value.
No comments yet.
Private notes are available after approval.