CHI Cheung Investment Co had entered an agreement, through Yimark International, with Spellway in respect of their relationship as shareholders of Centre Development. Spellway, a company incorporated in the British Virgin Islands, is owned by Lai Sun Development and Jinford, a company incorporated in Hongkong and owned by independent parties. The only asset owned by Centre Development is an interest under a memorandum for sale dated June 3 this year it entered into as purchaser, with Search Asia (Holdings) as vendor, for the entire Office Tower A of Mandarin Plaza in Tsim Sha Tsui. The agreement price for the property, including the entire lower basement containing a minimum of 150 car parking spaces, has been set at $1.03 billion. The property, situated in the prime Tsim Sha Tsui East area of Kowloon, comprises a gross floor of 180,669 sq ft, plus the parking spaces. The property is being sold with various tenancies. According to the tenancy schedule provided by Search Asia (Holdings) all of the present leases will expire by May 31, 1995. At present, the property is fully let with monthly rent derived from the tenancies of $4.37 million or $52.45 million on an annual basis. An initial deposit of $50 million has been paid and a further deposit of $156.5 million will be paid on the execution of a formal agreement of sale, on or before June 23. The balance of the purchase price will be paid on completion of the deal. According to the agreement, it is the intention of the parties to divide up the property into designated parts and the directors of the company have indicated that they will, together with Lai Sun, retain their share of the property as a long-term rental investment or, if suitable offers are received, dispose of some or all units.