CONFIDENTIAL
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Embassy. We take the view that the size of the Consulate will have to be determined by its tasks, and if this requires a larger complement than the Embassy, then so be it. Britain's commercial relationship with Hong Kong is bigger than that with China, and is likely to remain so. The resident British community is larger, and the general legacy of British rule is such that there will be many tasks here which have no equivalent in the work of the Embassy. I do not believe that a large subordinate mission need create insurmountable problems with the Chinese
Government; Ambassador.
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nor need it compromise the authority of the
The amount of accommodation cannot be accurately determined at this stage but, assuming it were to rise to 5000 sq. metres, this would be equivalent to about six storeys in one of the major buildings in the Central District of Hong Kong (e.g. Alexandra House or Exchange Square Tower I). Apart from the availability of sites, costs alone would preclude building new accommodation in this area. Renting this amount of space in the Central District would also be prohibitive at present rent levels.
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If it was decided to purchase or rent accommodation in existing commercial developments, the kind of properties. which might be suitable for your purposes are the China Fleet Club and Admiralty II, both on the edge of the developing Wanchai commercial district. There will, of course, be other
opportunities for purchase or lease of this type of accommodation in Hong Kong and Kowloon and these can be examined in detail.
8.
If this course is adopted, it might be prudent to use a gradual approach. After selecting a suitable building with space sufficient for the present British Trade Commission and the British Council - and for the eventual Consulate- General the first two could occupy part of the building,
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/say in the
CONFIDENTIAL
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