CO129-583-6 Air Ministry- land requirements and possible terms of lease 28-12-1939 - 2-5-1940 — Page 10

CO129 Colonial Office Hong Kong Records 理藩院香港檔案 All

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fair compensation for buildings and other

works which may be of value to Government

on expiry, we cannot agree to grant to the Air Ministry any rights such as would

appertain to freehold tenure. From the foregoing it will be clear that there can be no question of an "open market" value in respect of the Crown land now occupied

by the Royal Air Force.

3.

Conceivably this misapprehension

has arisen from the suggestion of capitalizing

the Crown Rent on twenty five years' purchase

terms. That method is employed in the case

of land leased to the War Office by this

Government in order to facilitate book-

keeping in the Colonial Military Lands

Account. That consideration being absent

in the case of land leased to the Air

Ministry, we should much prefer Crown Rent

please

to be paid annually and would gladly drop

the suggestion of capitalization: see paragraph four of my secret despatch of

31st March, 1939, on this point.

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To turn now to the question of

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