TNAG-1447-FCO40-1931-Executive-Council-of-Hong-Kong-memoranda-and-minutes-of-meet-1986 — Page 73

CONFIDENTIAL

For information

(14.1.86)

NOTE FOR EXECUTIVE COUNCIL

XCCI (86)5 3

Copy- No.

RENT INCREASES FOR GRADED SHOPS IN FORMER RESETTLEMENT ESTATES

HKK OlilQ 01112

RECEIVEL

17

1 7 JAN 1986

PA

GISTRY

Imction Taken

A

Introduction

At its meeting on 7 January 1986, having noted the contents of memorandum XCCI(86)4, a copy of which is at Annex A, the Council asked that a further note should be prepared for the following meeting of the Council explaining the proposals at paragraphs 7 (Mark III - V shops) and 8 (medical clinics) of the memorandum in greater details and giving illustrations. The Council also suggested that the publicity should lay emphasis on the fact that notwithstanding the additional revenue to be generated by

by the proposals the working account for the affected premises will continue to show a deficit.

2

The purpose of this memorandum is to provide the requested and to elaborate on the publicity

information aspects.

Mark III

W

V shops

B

3

The proposed new net rents for graded shops in Marks III to V estates would range from $15.5 to $48.5 per square metre per month. They amount to an increase ranging from $3.9 to $11.9 per square metre. In terms of monthly inclusive rents, the increase would range from $43 to $794. However, about 91% of these graded shop tenants would have increases of less than $150 a month. Illustrations are given at Annex B.

Medical clinics

there was

a

in

the

4

Clinics in public housing estates are provided on a planning ratio of 1 doctor to 7,500 to 10,000 persons. The present practice of letting out clinics through the Estate Doctors Association was first introduced in 1970 to encourage doctors to operate clinics in public housing estates when

shortage of medical practitioners territory. The Estate Doctors Association was formed at that time under the auspices of the Medical and Health Department with the objective of providing adequate and timely medical services to the tenants of the then Resettlement Estates. Clinics are let to doctors nominated by the Association from among its members after it has invited applications from them and held ballots. Whilst premises so let do not involve the normal tendering procedure, it has been agreed with the Association that market rents should be charged for them.

CONFIDENTIAL