The Development Bureau and Sun Hung Kai Properties have reached an understanding on arrangements to ensure the completion of Ma Wan Park on schedule and to involve the community in its management.

The developer has proposed a theme of "Naturally Hong Kong", with an emphasis on retaining and refurbishing the existing structures in Ma Wan town and conservation of the natural environment and cultural heritage, as well as promoting harmony and family values.

Based on the new concept, a revised Master Layout Plan was submitted to the Town Planning Board and concerned Government departments and approved.

Given the changes in the plan, some related issues needed to be resolved and these included the finalisation of a revised road scheme. All these necessitated the extension of the completion date of Phase 1 from June 2006 to the end of 2008.

Park features

Phase 1 of the park comprises three main features - Nature Garden, Noah's Ark and Solar Tower. The Nature Garden was opened free to the public in July, 2007.

Subject to completion of the land-grant process, Noah's Ark will be completed by year's-end. However, the design, construction and operation of the Solar Tower are dependent on the authorisation of the revised road scheme.

The developer expects the Solar Tower will be completed two years after the authorisation of the revised road scheme, the bureau said.

The Lands Department will closely monitor progress to ensure early completion of this last feature in Phase 1 of the park.

Although Phase 2 has no pre-determined timetable for completion in the Heads of Agreement agreed between Government and the developer, the Government has asked the developer to consult the local community, including the Tsuen Wan District Council, on the concept, design, operation and management of the phase.

The Government will enter into a supplemental agreement with the developer over other aspects of the park. Both parties will enter into a management agreement to provide the detailed arrangements for the park's future management.

Agreement details

According to the agreements, the developer pays to the Government upon completion of Phase 1 the unexpended balance of the park construction cost deducted from the Park Island premium in 1997 for the implementation of the park, together with interest.

As at June, the planned expenditure for Phase 1 was estimated to be $700 million. Total interest accrued up to June was more than $400 million.

Public involvement in the management of the park in the form of a 10-member advisory committee will be formed to advise on the park's ongoing operation comprising four members to be nominated by the Government and another two to be jointly nominated with the developer.

The developer has also agreed a 10-member board of directors for Ma Wan Park Limited should comprise up to five Government-nominated directors.

Ma Wan Park will form a sinking fund for the park's maintenance, repair and improvement. At the end of each seven-year financial period, any surplus after deducting reasonable operating costs will be credited to the sinking fund.

Any cumulative deficit at the end of each financial period will be borne by the developer at its own expense. At the end of the 21-year land grant for the park (a recreational lease), the developer will need to return to the Government the final positive balance in the sinking fund.