INFLATED LAND VALUES.

Wanganui Chronicle, Volume LXVI, Issue 17583, 29 May 1919, Page 7

INFLATED LAND VALUES.

TAUMARUNUrS TENURE

A PERPLEXING PROBLEM

No history of the native-owned township of Taumarunui (writes the correspondent of the Auckland "Star") Avill be complete that omits to deal with the extraordinary valuations which have been made within the past half-a-dozen years. The ratepayers and lessees got a disagreeable shock some five years ago wh"en their town was valued at something like four times the amount of the preceding valuation, only to find at the next valuation the increases were still mounting up, and whilst it may be a comforting thing to know that one's freehold, land is rising in value, it is no joke to find the valuer increasing the amount by leaps and bounds every time he has the opportunity. The valuations of 1914 were an eye-opener, and the valuations of 1017 were none the less surprising. Within the past few days r; group of lessees, who were attempting to secure the freehold of their sections before the values exceeded even the absurd limits which at present obtain, were staggered when they got their valuations for purchase purposes. Some time ago an assembled meeting of native owners agreed by resolution to dispose of these particular sections to the lessees, subject to a special valuation, and the approval of the Government. Although -c is only two years since the regular valuation was made, the increases seem to be out of all proportion to any progress that might have been made (assuming there was any during the war), and the present position leads lessees to speculate and suggest drastic remedies that will put petitions and deputations in the shade and startle the Government into doing something to relieve the present in tolerable impasse

One quarter-acre section has gone up in value in two years from £297 to £792, and the valuer ha~ just reversed the figures. Another quarteracre section on the front street, about opposite the south end of the railway platform, has gone up from £1,792 to £3,300 for some reason or another. Two sections a little further down the street have risen from £528 to £990, whilst the unimproved valuo»of the section where Messrs. Abraham and Williams, Ltd., have erected a splendid block of buildings, has jumped from £1,652 to £2,500. Another business section opposite ths station has gone from £2,375 to £3,498, whilst the two adjoining allotments have risen from £990 to £1,232, and £891 to £1,320 respectively. A residential section in a back street has gone up from £330 to £528, while the adjoining section upon which the Bank of New Zealand stands, has gone up from £625 to £1,163. The most notorious example of all is the section upon which the Bank of Australasia is now building, which takes a leap from £396 to no less a sum than £1,320. The -vrell-known Grosvenor Hotel site soars from £3,090 to £4,280, and in the face of the above figures for the unimproved value of sections in a small town of less than 2000 inhabitants, it is difficult to believe that the values are set down in any degree, of seriousness, and - likely to be sustained before any impartial and ordinarily intelligent tribunal. This kind of thing is a direct blow at the true welfare of the town, for which further valuations in prospect, and a revaluation for renting purposes at the end of the present leases, the first of which expires in saven yecz' time, tLere is not the least incenti-re to lessees.vo do anything than permit their properties to get into disrepair and generally go to the dogs. To anyone outside the whole position would appear incredible, and in the interests of all concerned, and none the less so than the Government itself, the sooner the whole porition is, reviewed and a complete revaluation made, irrespective of pest valur-ions,vand on the lines of equity and ordinary justice to the lessees, the better. The Government has a very heavy stake in the town, in the shape of loans, and should stir itself into action. Practically the whole Borough Council was elected on the pledge of tackling the tenure problems, but, mayor, council and citizens will yet have to unitedly concentrate their efforts on some solution of a pressing and vital question. The town must not be held back on this account, and as Taumarunui deserves well of success, it is to be hoped that some solution will be found. Loan proposals, totalling £51,000, were recently one and all rejected because of the unsatisfactory b?sis the town tenure rests upon, and stagnation and retrogression can only be avoided by a complete reversal of the past policy of the Valuation Department, and a scrapping of unsound precedents in their system of valuation.