RENTS IN SYDNEY.

Evening Post, Volume LXXXIII, Issue 69, 21 March 1912, Page 7

RENTS IN SYDNEY.

EVIDENCE BEFORE THE 00MMIS- , SION. By TeleßMph.— Press Association.— Copyright. (Received March 21, 10 a.m.) SYDNEY, This Day. Before ( the Rents Commission the Acting-Director of Public Works gave evidence that a house costing £370 to build seven years ago would now «ost £500. [Giving evidence before the commie sion last week, Mr. Henley, M.L.A., eaid that since 1908 the cost of labour and building material had increased 40 Eer cent., but he had only increased is rents by 10 per cent. In most cases they were old tenants, and he did not want to get rid of them, otherwise he would have made further increases. His private s«cretary assured him that if new tenants were secured they would be willing to pay from 10 per cent, to 15 per cent, more than the present occupiers. The present high rents, in his opinion, were due chiefly to the Customs duties on materials and State taxation on the produce of property. The increased demand for houses wae also an important factor. The only practicable way in which the Government could take steps to lower rents was by abolishing all taxes, State and Federal, on dwellings, and encourage people to build and let their houees cheaply. He had money earning very low interest in the bank, but had to refrain from building, owing to the excessive charges. Mr. Henley considered that there was sufficient enterprise amongst builders and speculator? in Sydney to cope with the demand for houses, provided they could erect them at reasonable cost. During the last ten years the cost of building had increased 40 per cent, to 50 per cent. Taxation, and particularly tho import duties on machinery and material, were responsible. A general rise in wages also militated against cheap building. The balance was thrown out of adjustment owing to the extensive increase in the number of agriculturists and labourers under_ the immigration policy, which did not aim at a corresponding increase in artisans and skilled tradesmen. It was an economic impossibility for the Government to limit a landlord's return on his outlay. He considered that a fair gross return from property by rental would be 12 per cent., and a fair net return 8 per cent. In 1908 his rates and taxes represented 8 per cent, of his gross rents, while last year they had increased to 10 per cent.]