Agreement over Hilton premiums finalised in near term Winnie
Wu Negotiations between the Lands Department and Cheung Kong
Holdings over land premiums for the redevelopment of the Hilton
Hotel, a neighbouring car park and Beaconsfield House will be
The three properties will be demolished to make way for a large-scale
office-retail complex once the land premium is granted.
The Government Information Service Department (GIS) will move
to Murray Building in Central from Beaconsfield House, Government
Cheung Kong originally planned to redevelop the Hilton Hotel
into a high-rise office-retail complex, yielding a gross floor
area of about 600,000 square feet.
The developer wants to enlarge the redevelopment project by
merging the hotel site, the neighbouring car park and Beaconsfield
Talks between the two parties have been taking place since May
1993 and the plans have recently been given the green light
by the Executive Council.
One of the conditions being negotiated is that Cheung Kong will
provide some office space in the new tower for Government use.
The developer is also required to build a park on the site as
part of its compensation to the Government.
Market rumours said the developer will probably continue to
expand the redevelopment project and is eyeing the present United
States Consulate site in Central.
The office development, which is due for completion after 1997,
will face strong competition from 2.4 million sqft of office
space from the property developments above the new airport railway
station in Central and the Tamar site, which will provide more
than 500,000sqft of office space in 1998, analysts said.
By the end of this year, the Buildings Department will move
to newly listed Kowloon Development's Pioneer Centre in Mongkok
from 10 office floors in Murray Building, which is to be renovated.
The GIS will move to the vacated 3rd to 12th floors, after the
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