BUILDING COSTS

Evening Post, Volume CVIII, Issue 26, 30 July 1924, Page 7

BUILDING COSTS

WHY THEY ARE DEAR IN AUCKLAND

EXPLOITATION DENIED,

(EY TELEGIuru.—spECUL TO THE TOST.)

. AUCKLAND, This Day.. Kcfemng to the .statement made-iff Parliament that buyers of houses were being exploited,- an Auckland builder gave some reasons yesterday as to why building is dear in Auckland. He declared that if there was any exploitation of the buyer of a home that exploitation was not o n the palt o f tho builder; in fact, ths cost of ci-cctin- a ■house was so high that speculative building was practically a thing of the past. One .of the reasons -,vhy the cost of wooden houses was so high, it-is pointed out, is that we are only usiima small percentage of lo'-s, the re' mainder going almost absolutely to waste. In the North Island there are millions of feet of sap timber' accumulating, winch cannot be used in the chief cities, on account of the buildin* bylaws. Also, this timber is not allowed to be exported, so that the charge for all operations of felliiw ■ and outing have to be' put on .to the small pef. CTf n', age of the lo S tllat is used, ■ Builders," said one man, "are in business for profit. When the initial cost of building is too high it is not profitable for them to build for sale. In some instances they would nqt, bo nbla to sell for what it costs them to build. Ihe next point is that the cost of sections is altogether too kWi. extraordinary high. Then, again, for homo building, with land at such prices, it is very wasteful to-erect fully detached houses. A semi-detached house would considerably lessen the cost of building It would havo but three .walls instead of tour, combined drainage and water service, and could be built easily: (wiving plenty of room) on an 80 feet lot Iho quarter-acre restriction in the suburbs of Auckland is one of the greatest factors in increasing cost and rendering building too expensive to be. .undei? taken as a speculation." It was stated there is plenty of'money for speculation, but that it. was" 'certainly not available for building under the existing- conditions. A numberof houses it is said are for sale at very little above building cost, and one builder stated that, finding it impossible to sell one bungalow he had erected at reasonable profit he had lef.it. and that the rental did not brine w interest on the cost of buildin°- •-■'.'