CO129-614-3 Visit of Sir Patrick Abercrombie to advise on town planning 4-1-1948 - 10-1-1949 — Page 73

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sensational change in the 1947 Act, the acquisition (or assumption) by the State of Development value in Land will hardly apply to Hong Kong : where all freehold is owned by the state, any increased value of undeveloped land automatically goes to the state: and on leased developed land, the covenants of the leases presumably provide for any increased value owing to change of use or increase in capacity, going to the Crown. But there are many other powers which should be subject to review or amendment under a comprehensive planning ordinance : for example, the basis of compensation for the resumption of Crown lands, required not only for public purposes but for redevelopment by private enterprise this might contain a definition of obsolete or obsolescent property which might reduce or eliminate compensation altogether. Then again the Building bye-laws (while possibly still remaining under separate statute) could be made to conform to more modern ideas of estate lay-out at present they are framed to suit the existing type of Chinese tenement rather than to encourage any new type of estate development. Then again the cost of road widening requires reviewing: there is the unfortunate principle by which a frontageris paid full frontage value per square foot for setting back, although in many cases he does not reduce his 'floor space index', by reason of using more back land or building higher; indeed there are many (London) cases where a greatly increased volume has been allowed which by engendering increased traffic has taken up the extra width provided for the road. All this type of amendment should be much easier in Hong Kong, through Crown ownership of the freehold, than in many other Countries.

It will be necessary to break through a mass of existing custom upon which much estate value has depended, owing to the unfortunate number of three 191 year leases, and the absence of full building covenants. A bold system of legislation for land and development of land should be introduced, whether or no a fund for

hardship claims' is provided as has been done under the 1947 Act. A period of rising prosperity is the moment in which to impose strong powers: these will not hamper private Enterprise in its legitimate field of enterprise, but will provide it with a more efficient machine to operate for the general prosperity of the Colony.

atmi

September 1948