CITY HOUSING

Evening Post, Volume CXXXIII, Issue 28, 3 February 1942, Page 4

CITY HOUSING

LOAN AT 3 PER CENT

It was reported by the Mayor, Mr. Hislop, to the City Council yesterday afternoon that advice had been received from the Minister of Finance that the council's request for £100,000 of loan money at 3 per cent, for a city housing scheme had been approved. The money will be available for houses erected either for rental or sale, but certain conditions were stated by the Minister.

The State Advances Corporation had forwarded particulars of the conditions attaching to the loan, and those were satisfactory, said Mr. Hislop, except the proposal that preference should be given to persons with incomes up to £7 a week. It was the opinion of the council's officers that no restrictions should be placed by way of income limitations, otherwise the scheme would not be worth proceeding with.

It was also considered.that the following condition should not be imposed in the event of houses being sold for cash: —'That a special covenant be embodied in any contract for-sale or lease by a local body providing for the prior consent of the local body concerned to any sale or other disposal of any house included in the housing scheme and providing further that such consent be withheld to any proposed sale where the purchase price on the resale is in excess of the original value of the house and section, less depreciation, plus value of improvements."

The matter was referred to the housing committee to interview the State Advances Corporation and report back to the council.