MOTORWAY’S EFFECT ON HOME FINANCE

Press, Volume CVI, Issue 31136, 12 August 1966, Page 14

MOTORWAY’S EFFECT ON HOME FINANCE

The Ministry of Works would have more discussions with the State Advances Corporation to see what help could be given to those who had built homes on 3 per cent loans, and who would lose them by the northern motorway construction, said the Ministry of Works district land purchase officer (Mr R. A. Aubrey), at a public meeting at Belfast last night.

The meeting was attended by about 150 people, who heard answers to many questions put to officers of the ministry, and of the Regional Planning Authority, on the effects of the construction of the five miles of motorway in Waimairi County between Chaneys and the city boundary.

Mr Aubrey’s statement was in reply to a questioner, who asked if, in arriving at a compensation figure, the ministry would take into account the fact that homes that would go had been built with 3 per cent loans. “It looks as though we will have to take out 5 per cent loans to build new homes, and that will amount to £l2OO extra on a 30-year term,” said the questioner. “We would take the position as we found it, and would have regard to that in fixing compensation,” said Mr Aubrey. “The State Advances may give some relief. In that case, we would not be affected. We will have further discussions with the corporation, however.” The Waimairi County Council’s chairman (Mr O. C. Mitchell) presided and with him on the platform w’ere the District Commissioner of Works (Mr D. B. Dallas), the Regional Planning Authority’s director (Mr C. B. Millar) and the authority’s traffic engineer (Mr M. Douglass). Mr Douglass described the general line of the motorway from Chaneys to Croziers road. He said 42 land-owners were affected in the five miles comprising seven residential sections with four houses in Preston’s road, 13 farm units with 11 houses substantially; affected. 13 farms partly affected and nine farms affected to a minor degree. He said that the regional authority had recommended that the National Roads Board start work in 1968. Little Alteration

Mr Dallas said that the ministry’s roading division; was satisfied technically with the motorway proposals, but that was about the extent of the ministry’s acceptance. The National Roads Board had not yet approved the city’s mastei transport plan, of which the motorway was part, but it was highly improbable that the route would be altered, except in minor degree. “At present, I can only guess at dates when construction might start, Mr Dallas said. “It seems to me improbable that it should be within four years. It could be much longer.” He said that compensation would be paid in cash at the full market value of property taken over either at the date of taking over for construction, or on taking title, whichever was the earlier. Whether extra was paid for disturbance would depend on circumstances. Mr Douglass said that 250 acres of land was involved. This might be reduced to 180 acres by final detailed planning. About 150 acres of farm land would go out of production. Asked if allowance for profit and risk would be made on potentially subdividable land, Mr Aubrey said that valuation would be on the basis of fair market value, based on sales of similar land. Profit and risk allowances would depend on various factors. Notice To Owners House owners would get two to three years’ notice, said Mr Dallas. He would be surprised if this happened before two or three years from now. Mr Aubrey emphasised that

the ministry would be happy to discuss problems with those affected. It would be happy to discuss details of assessments. Owners could get their own valuations.

As the scheme has not been approved by the roads board, said Mr Aubrey, advances could not be made to those who wanted to sell earlier. Mr Dallas said that once dates were reasonably firm, the ministry would be prepared to negotiate payments on account.

“In five to six years, we won't be able to live in the area we want to because of the rate at which sections are selling,” said a woman. A man pointed out that the ministry would be dealing with unwilling sellers.

“I regret that we are tied to the laws of compensation,” said Mr Aubrey. “Compensation is legally defined as fair market value. We will be as fair as it is possible to be. If the owner is not satisfied, he can get his own valuation. He should get a fair price. “We don’t want to be mean. It is true that there is no provision in law for compensation for personal inconvenience, but we try to stretch things a little bit.” Mr Dallas said there would be no question of buying on the eve of construction. There would be at least two years’ warning of disturbance. Feeder Roads

Asked about the effect of the motorway on feeder roads, Mr Douglass said that some time next year, proposals should be made by the authority to the County Council. Normal procedure for objections would apply. Radcliffe road, for example, would probably be widened to one chain, and there might be provision for more widening,

say in 20 to 40 years’ time. Owners should safeguard their development accordingly.