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Rent freeze criticised

PA Auckland Government intervention in the commercial property sector was criticised yesterday by the chairman of Auckland property group, Commercial Securities (Mr M. J. Tanner). Mr Tanner says the artificial restraining of rents would inevitably inhibit Commercial Securities’ profitability. However, forward budgets suggest the group will show a good result for the 1984-85 year. “Although the board accepts there may be justification for Government intervention where social problems might otherwise result, in the commercial

sphere we believe the market forces should be allowed to prevail.” Mr Tanner also says in his review that Commercial Securities’ share price does not appear to reflect accurately the group’s real worth. At the end of March the net asset backing was 66c a share. Mr Tanner says Commercial Securities will look to make further property acquisitions this year. As reported, a net group surplus of $1,444,752 was returned in the March 31 year, including $393,617 of trading profits and $1,051,135 of asset revaluations.

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Permanent link to this item

https://paperspast.natlib.govt.nz/newspapers/CHP19840602.2.120

Bibliographic details

Press, 2 June 1984, Page 26

Word Count
162

Rent freeze criticised Press, 2 June 1984, Page 26

Rent freeze criticised Press, 2 June 1984, Page 26