XN000022-1980-09-16 — Page 2

TUESDAY, SEPTEMBER 16, 1980

GOVERNMENT DECIDES NOT TO DECLARE HK CLUB BUILDING A MONUMENT *****

THE GOVERNMENT HAS DECIDED NOT TO DECLARE THE HONG KONG CLUB BUILDING A MONUMENT.

A GOVERNMENT SPOKESMAN SAID THAT WHILE THE AESTHETIC AND HISTORIC VALUE OF THE BUILDING WAS RECOGNISED, AND THE REASONS FOR THE ANTIQUITIES ADVISORY BOARD'S RECOMMENDATION THAT THE CLUB SUILDING BE DECLARED A MONUMENT ARE NOT DISPUTED, THE HUGE COST INVOLVED COULD NOT JUSTIFIABLY BE CHARGED TO THE PUBLIC PURSE.

THE GOVERNMENT DECISION FOLLOWS LONG AND CAREFUL CONSIDERATION OF THE ALTERNATIVES AND CONSEQUENCES.

+ IT WAS NOT A HASTY DECISION, SAID THE SPOKESMAN. AFTER THE MOST STUDIOUS SCRUTINY OF ALTERNATIVES TO THE DECISION BY THE CLUB BOARD TO REDEVELOP THE SITE, IT IS FELT THE FINANCIAL CONSEQUENCES OF RETAINING THE BUILDING CANNOT BE JUSTIFIED.+

HE SAID THERE WERE UNDOUBTEDLY SOME WHO FELT THE CLUB BUILDING, WHICH DATES BACK TO 1897, WAS A PLEASANT RELIEF TO THE CROWDED CENTRAL DISTRICT, BUT THE GOVERNMENT WAS NOT SATISFIED THAT HUGE SUMS OF MONEY SHOULD BE DIVERTED TO DECLARING THE BUILDING A MONUMENT INSTEAD OF BEING USED FOR MORE IMPORTANT PRIORITIES.

THE SPOKESMAN EXPLAINED THAT IF THE HONG KONG CLUB BUILDING WAS TO BE DECLARED A MONUMENT, THE COST TO THE PUBLIC PURSE WOULD BE VERY CONSIDERABLE.

HE EXPLAINED: IF THE CLUB RETAINED ITS PRESENT PREMISES, THE GOVERNMENT MIGHT BE OBLIGED TO MEET THE COSTS OF REFURBISHING AND MAINTENANCE AND THE CLUB WOULD BE IN A STRONG POSITION TO CLAIM COMPENSATION FOR LOSS OF DEVELOPMENT POTENTIAL.

+THE GOVERNMENT'S OWN ESTIMATE, AT CURRENT LAND VALUES, OF THE VALUE OF THE DEVELOPMENT POTENTIAL IS IN EXCESS OF $400 MILLION. EVEN IF A MUCH SMALLER SUM WAS AWARDED BY THE COURTS AS COMPENSATION THE FINANCIAL IMPLICATIONS ARE STILL VERY SUBSTANTIAL.

+ THE FINANCIAL IMPLICATIONS ARE VERY SEVERE AND ARE STILL OPEN ENDED, THEY WOULD BE LIKELY TO RISE EVEN HIGHER WITH INCREASING BUILDING COSTS AND AS THE BUILDING ITSELF AGES.+

THE SPOKESMAN SAID THREE MAIN ALTERNATIVES TO ALLOWING REDEVELOPMENT AS THE CLUB'S BOARD WISHED WERE EXAMINED VERY CAREFULLY.

THEY WERE I

* THAT GOVERNMENT GRANT AN ALTERNATIVE SITE SO A NEW CLUB

COULD BE BUILT, IN RETURN FOR THE SURRENDER OF THE EXISTING SITE AND BUILDING WHICH COULD THEN BE PUT TO PUBLIC USE-

*

THAT THE PREMISES BE RESUMED AND BE PUT TO PUBLIC USE-

THAT THE CLUB RETAIN THE PREMISES, BUT BE ALLOWED TO TRANSFER ITS DEVELOPMENT RIGHTS BY SELLING ITS PLOT RATIO TO THE OWNER OF A NEARBY SITE.

THE FIRST

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