ENG-1972 — Page 131

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LAND AND HOUSING

reached new peaks in all sectors. There were several particularly noteworthy sales during the year; one of which in Central District on Hong Kong Island, for non- industrial (including hotel) purposes, realised $105 million, representing $2,902 per square foot. The realised premium was payable by 10 annual instalments including interest at 10 per cent per annum; the option to pay in this way was exercised by the purchasers and consequently the full amount realised was not reflected in the year's revenue. Another sale which created considerable interest was the site of the former Mount Kellett Hospital on the Peak. The site covering 78,310 square feet was sold for $18.5 million, representing $236 per square foot. The realised price reflected the prestigious nature of the site. Although the sale included the hospital building, the purchasers intend to demolish it and redevelop the site for residential use to the much lower density stipulated under the conditions relating to redevelopment.

Interest continues in the purchase of sites where construction of supermarkets is permitted, and four such sites were sold during the year at high prices.

Revenue from land transactions in Hong Kong, Kowloon and New Kowloon during the financial year 1971–2 totalled approximately $182.9 million made up as follows: about $118.9 million from 57 sales by auction and tender; $11.9 million from private treaty sales; $14.9 million from modifications of lease conditions, extensions and exchanges; and $37.2 million from re-grants of expired 75-year leases. Revenue from land transactions in the New Territories during the same period was $18.9 million.

Where it is not possible to dispose of land immediately, either because public utilities and other services are not yet available or the site has been set aside for some future purpose, the land is rarely left vacant but may be let out either on temporary annual permit or on short-term tenancy. The 1971-2 revenue from this type of tenure was approximately $9.3 million in the urban area and $3.3 million in the New Terri- tories (the last figure includes modification of tenancy fees). As permanent develop- ment continues, permits are cancelled and the number decreases year by year; short- term tenancies however are increasing. Revenue derived in rent from the leasing of government-owned buildings in whole or part totalled $5.7 million.

Land Office

The Land Office, which is a branch of the Registrar General's Department, is responsible for the registration of all instruments affecting land; the settling and reg- istration of conditions of sale, grant and exchange of Crown land; the issue, renewal, variation and termination of Crown leases; the granting of mining leases; and advice to the government generally on matters relating to land.

The system of registration, introduced in 1844, is broadly similar to that in the Yorkshire Deeds Registries in England. The Land Registration Ordinance provides that all deeds and instruments registered under it shall have priority according to their respective dates of registration, and that deeds and instruments not registered (other than bona fide leases at rack rent for any term not exceeding three years) shall be absolutely null and void as against any subsequent bona fide purchaser or mortgagee for valuable consideration. Registration is therefore essential to the protection of title, but does not guarantee it.