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SCMP Reporter

Cruise terminal will turn area into dead zone

The government has announced that it will spend HK$7.2 billion to construct a cruise terminal at Kai Tak. Add to this the HK$2 billion already budgeted for site work plus additional costs that will be factored into other budgets and the total cost will probably exceed HK$10 billion.

Unfortunately the admirable Monitor columnist Jake van der Kamp is no longer here to put this outlay into perspective, but even a cursory look at the figures raises eyebrows.

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Cruise operator Massimo Brancaleoni indicates that it takes 20 to 25 years to recover costs ('Plan wins support, but price tag an issue', October 1).

Based on a 25-year recoup period this means that the annual rental fee would need to be around HK$400 million, more than HK$35 million per month. Perhaps some of your readers in the property sector could advise if this rental is feasible.

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The number of jobs a cruise terminal will generate is also questionable. Most cruise ships sail during the night and berth early morning. The tourists are bussed around to local attractions. Most meals are taken and shopping done on board.

A cruise terminal at Kai Tak would be far removed from any sizeable shopping mall, unlike Ocean Terminal with its vast array of temptations.

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