Capital value affects Riccarton rates

Press, 5 July 1988, Page 8

Capital value affects Riccarton rates

The Riccarton Borough Council will collect 13 per cent more in rates this year, but a switch to capital value will see a varying effect on individual ratepayers’ bills. The introduction of a 60 per cent differential on accommodation, commercial and industrial properties will add to the fluctuations in individual bills for rates. The Chateau Regency faces a 139 per cent increase, while some ratepayers will face drops of 18 per cent. The average increase in rates for residential properties would be 3 per cent, said the chairman of the finance committee, Cr Derek Anderson. The over-all increase in revenue from rates was 13 per cent, but a 6.5 per cent increase in the capital value of the borough and the introduction of the differential rate

meant the average increase for residential ratepayers was only 3 per cent. The rates on the average Riccarton residence would be $578 which was $B7 less than the average in Waimairi and $173 lower than the average residential rate in Christchurch City, said Mr Anderson. The council would collect $3,356,348 of which $2,371,402 was for its own use. This was a 40 per cent increase on last year’s rates for the council’s use. The biggest increase on last year came in the general rate which was $618,000 (34 per cent) more. The total rates the council would collect for ad hoc authorities were down 22 per cent which gave an over-all affect of a 13 per cent increase. The change in rates

faced by individual properties depends on capital improvements. The Chateau Regency, which has a new capital value of $12.28 million, will pay $142,190 in rates, 139 per cent higher than its last year’s bill of $59,569. A private property in Puriri Street with a capital value of $140,000 will pay $1173 in rates, 9 per cent less than last year’s $1291.

Further along Puriri Street at a property that has a capital value of $190,000, the rates will be $1591, 18 per cent less than the $1947 of last year.

A $64,500 property in Maxwell Street will pay $540, 29 per cent more than last year. An $87,000 ownership flat in Clyde Road will face a 6 per cent higher bill of $729.

The incidence in the Riccarton town centre,

which has its own rate, also varies. Shops and offices at 134-138 Riccarton Road ($400,000) will pay 26 per cent more with rates of $5921. But the rates at another Riccarton Road residence ($105,000) will drop 13 per cent to $1554. The council will collect $194,700 from the town centre rate. Residential properties will meet $809,426 of the general rate and accommodation and commercial and industrial properties, $1,036,837. Of the refuge rate, residential properties will pay $66,569 and other properties, $85,272. The water supply rate will be split $78,299 residential and $100,298 other. Another variable in the calculation of this year’s rates was the change to Transport Board and Urban Transport rating.