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9 October 2005
News Stories: October Headlines

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1. Hub winner faces $50b bill for building arts facilities

2. $10m plan takes root for the greening of Central

1. Hub winner faces $50b bill for building arts facilities
DIKKY SINN, SCMP 9 October 2005

The successful bidder for the West Kowloon Cultural District could face a bill as high as $50 billion for the arts component of the project.

Chief Secretary Rafael Hui Si-yan yesterday clarified in a meeting with two lawmakers that developers would have to pay the cost of construction of the controversial canopy, art and cultural facilities and an automated train service.

This is in addition to an upfront $30 billion payment to a trust fund for the operation and maintenance of the facilities.

Independent legislator Albert Cheng King-hon estimated the construction cost could stretch the total investment on the arts component of the hub to at least $50 billion. The Hong Kong Institute of Surveyors put the construction cost of the arts facilities at about $12 billion, taking the total bill to $42 billion.

"If it's $50 billion, I would not participate in the project [if I was a developer] because there's not much profit to be made," Mr Cheng said after the meeting.

Secretary for Housing, Planning and Lands Michael Suen Ming-yeung yesterday said the $30 billion for the trust fund was only an assumption which was subject to changes according to annual returns and inflation. "If these factors change in the future, the amount will be adjusted. But it will be in no relation to the profit," he said.

Permanent Secretary for Housing, Planning and Lands Rita Lau Ng Wai-lan said the new requirement for the winning bidder to carve out at least half of the residential and commercial gross floor area for other developers was in response to public opinion and to encourage competition.

She said there would be mechanisms to prevent the winning developer owning all the best land at the site.

Spokesmen for Henderson Land Development and the joint bid of Sun Hung Kai Properties and Cheung Kong (Holdings) yesterday declined to comment on the new model for the project, saying they were now studying the revised plan.

Henderson chairman Lee Shau-kee said on Friday that his company would go ahead with the project if they won, even if the profit margin was small.

The government will have to start the cultural hub project all over again if two bidders decided to drop out. But Mr Cheng believed the government already had a back-up plan. The three shortlisted bidders have until the end of January to decide whether they want to stay in the running for the project.

2. $10m plan takes root for the greening of Central
RAYMOND MA, SCMP 9 October 2005

Splashes of colour could transform grey areas in Queensway and near the Star Ferry. SCMP photo

Stretches of roads in Central could be ripped up and replaced with grass under proposals to make the district greener.

The concept has been suggested by the government as part of a $10 million plan presented to the Town Planning Board this week to beautify Hong Kong's financial district.

Nothing has been finalised yet, but Hong Kong Tramways has been asked by the civil engineering department to study the feasibility of replacing parts of the road carrying trams but not cars - such as the central region of Queensway - with a living grass surface, an official said.

"It's a concept we got from other countries," said Wilson Pang Wai-shing, a senior engineer for the department.

"We are considering whether it is suitable for Hong Kong. We actually haven't thought about how to go about this yet, but we have asked the tram company to study this because it will have an effect on their operations.

"We were hoping they could tell us whether this concept is doable in Hong Kong," he added.

Grass-planting along tram lines has been implemented by a number of European cities including Strasbourg in France, Barcelona in Spain, and Dusseldorf in Germany.

Mr Pang said grass could be planted inexpensively along stretches of tracks where cars and other vehicles were unlikely to go.

If given the go-ahead, the concept will form the second stage of the government's plans to introduce more greenery to Central.

Meanwhile, the department has proposed a short-term plan, beginning for next year, to plant a range of colourful flowers and trees in the area, depending on available funds. The department has so far asked for $10 million to press ahead.

The third and final stage envisions the building of landscaped decks joining footbridges over the junction of Connaught Road, Central and Pedder Street, and an avenue of trees along the former road.

"It's part of an initiative to provide greenery to the urban district. We've already begun work in Tsim Sha Tsui, and now we are looking at what we can do in Central. Hopefully if it all works we can expand it to other areas," Mr Pang said.

Maintenance work after the planting stages are completed will be shouldered by a number of departments.

The government has also said that it wants to enlist the services of private developers in developing and maintaining green spaces.

 




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