HOUSING SCHEME.

Auckland Star, Volume LXX, Issue 147, 24 June 1939, Page 10

HOUSING SCHEME.

WELLINGTON PLANS.

UNIQUE IN DOMINION

OBJECT TO HELP WORKERS

M.tlio.l- lieine iir-e.l in Wellington to tackle the -erious problem of hnn-inir

"liortaye were outlined in an interview 1 " ''•*> '»> -Mr. Malcolm IVat-er. former

1 -o\ erninent St a tint icin n, and now « member of the Wellington Citv Co,in. il "ho A ink la nd. I„ 'collaliora . ,"" 1 ' -Mi"- " )>■ MacAlister. another member oi the ( ity ( oiirieil. Mr. Kra-er was mainly responsible for initiating the We Hi iil'l on cily housing -.heme, which is planned on line- iinioiie in \ew /ea la n<l.

"I u1 1<I• ■ r«-I.i ml that v,i:ir hoii-in" -hoitaj-e here i- a- «e\er'e as Well in- — -fid Mr. Krai-er. "We ha\e la u nched a -clieine there with the object of helping the man who is ready to help him-elf. I'lie principles nf thi"clTeme are embodied in an Art whieh war; passed (lurin<r t |„. | ilst so^j 01l ~f I'm liamfiit. It enalilt's the homc-eekcr to provide t lie type of hou-e he wants, with arrnnuement s suited to his need* and within his means, in the locality ho likes. free of all irksome eont rok.."

Mr. Krnser claimed that. tin- hotusebuilt under tin* rielieme would become tile property of (lie tenants t henisolve*-. that their -.aciiliees and efforts in making payment., would not be un recognised. The aim ivn< to (■ i"<>\ i<lttliix mi a Im-iis of weekly payments c«|iii\nlent only to tlie normal reutalnow charged.

" I hi- scheme envisages iiml i- specially <l»-~i<ri, ( .(i to enable tin- final! cut tage builder. who generally is actually engaged in (he work himself. to operate mi what would lie practically a cash I»»» -*iin regard to all liin material and labour, thus introducing tin- clement of competition an<l eliminating all overhead costs." he said. "Thin, it is believed. would be the biggest factor in reducing housing costs which could be

applied. Under the scheme, too. no additional overhead of any kind to the council, the lending institution or the ■builder is involved, ill the way of additional administration. No man is to he withdrawn from actual production for overhead work." House Impressed. "It is interesting to record that when the council's representatives went before the Local Bills Committee of the House of representatives during the passage of the Act, the only comment made by the committee, who apparently were impressed with the proposals, was an inquiry as to why the scheme vva-s not made applicable to the whole of the Dominion, an<l not confined to Wellington city only. Prior to the depression years. Mr. Eraser added, the supply of dwelling houses was provided by the private investor, the mortgage lending institutions. the architect and the builder. The experience of the depression years, with the mortgage leTislat ion enacted for relief and adjustment of the position between debtor ami creditor, dried up the sources of second mortgage money, lyid the restrictions and circumstances attaching to ownership of house property made this class of investment unattractive. The Wellington City Council had attempted, in the method adopted, to mobilise and make available the large funds in institutions available for investment on mortgage.

Thitt was accomplished by close association and assistance at the point where the existing organisation had broken down —by bridging the gap between the owner's deposit and the amount to be advanced on first mortgage, which previously had been met by second mortgage money. With full ami close co-operation of all the parties concerned —the home seeker, the builder, the architect, the lending institution and the council —the possibilities were very promising. Mr. Eraser has made an intensive (study of housing problems and schemes overseas.