TNAG-0856-FCO40-1066-Construction-of-underground-railway-system-in-Hong-Kong-1979 — Page 4

Mrs E Elliott CBE 55 Kung Lok Road Kwun Tong Kowloon

HONG KONG

HICK 173/2

A. LIVED IN REGISTRY NO. 51 2 6 OCT 1979

DESK OFFICE)

INDEX

M2

Aw

26/6

REGISTRY Action Taken

25 October 1979

118

See (123

/

113

93

I have been asked to reply to your letter of 25 September to the Foreign and Commonwealth Secretary about the compensation offerred to displaced flat owners in Sai Lau Kok.

I am sorry if the reply given by Mr Blaker to ir ParrY'S parliamentary question on 26 July should have led to any misunderstanding. You are correct in your assumption that the figures quoted in the reply related to the net area of the properties concerned. I understand that this is the normal basis on which professional valuations are prepared in Hong Kong. However, since the net area criterion was used both for the compensation figures and for the figures quoted for the cost of alternative accommodation, it is difficult to see why the comparison should have been misleading.

RJT McLaren

Hong Kong and General Department

bcc

JR Todd Esq CVO

Deputy Secretary for the New Territories HONG KONG