TNAG-0856-FCO40-1066-Construction-of-underground-railway-system-in-Hong-Kong-1979 — Page 77

Appendix I

Sai Lau Kok

Compensation Terms Offered by the Government

The compensation and allowances offered to the occupants of the buildings are as follows :

(I)

Owner-occupiers of domestic flats :

(a) Open market value of the premises at

the date of reversion (i.e. 12th November 1978) plus interest from the date of reversion to the date of payment;

(b) disturbance allowance, based on the

occupied floor area of the vacated premises; and

(c) either accommodation in a public housing

estate or

(i) a lump sum allowance equivalent

to full interest charges on a mortgage to make up the difference between the market value compen- sation for the premises being surrendered and the purchase price of a new flat; the maximum between the value of the premises surrendered and the purchase price of a new flat which qualifies for this allowance is $100,000 or half the value of the premises being surrendered, whichever is the less. The amount of allowance has varied depending upon the date of acceptance because mortgage interest rates have varied; plus

(ii)

a rent allowance of $1,500 per month from the date of vacating the premises to the date the new flat is ready for occupation, available until the end of June 1980 at the latest; plus

(iii) a setting-up allowance of $10,000, designed to meet legal expenses and stamp duty charges on the purchase of a new flat,

payable upon proof of purchase of alternative accommodation.