CORRESPONDENCE LAND PURCHASES.

Evening Star, Issue 20194, 6 June 1929, Page 7

CORRESPONDENCE

LAND PURCHASES.

TO THB EOITOS. Sir,—A leading article on .-tho- above subject appearing m your issue of May 30 lias recently been brought to my notice. It is not my desire to criticise your article so much as to give your readers some information on one estate recently purchased by the Government which you single out for adverse criticism. Whilst you do not name the I estate, it is nevertheless assumed by I your readers to b- Brooksdale, which I was one of, four estates recently acquired by the G'rown. I desire to make I it quite clear .that whilst I hold no brief whatsoever for the owner, nor am I in any way connected with the property, I nevertheless consider that it is in the interests not only of this district, but also of prospective applicants, that a more optimistic report on 1 this estate is required. The conclusions 1 draw from your article are these:— (1) That you believe I that the purchase price of this property is excessive when taking into consideration its present state of productivity. (2) That the successful applicants will require to command considerable capital as well as practical knowledge. (3) That unless the present prices c primary produce are maintained the successful applicants will be unsuccessful farmers Thest views, I may state definitely, are not upheld by practical 1 farmers in this district. The purchase price as rumoured in your city some days ago was actually pounds higher than the price paid. The Government valuation was only shillings, and not pounds lower than the purchase price. I hope that your article was not inspired by these rumours The purchase price as known hero caused a I shock to surrounding farmers, and will have the direct effect of reducing yalI ucs in a district which, when taking ■ productivity of the land into consideration, has always been lower than land from which similar returns were derived elsewhere J. will endeavour to draw some comparisons between the price paid for this estate and the market prices paid for similar land adjoining. An unimproved portion of this estate was sold in 1920 for a price higher by 37.) per cent, than that paid by the Government, and is to-day ono of the best farms in the locality. Small Crown leasehold dairy , farms adjoining have been sold for ! prices reaching 250 per cent, higher I.than Brooksdale, and the land of no better quality. Improved farms up to 700 acres, and capable of no higher productivity than this estate, are being farmed successfully at prices up to 60 per cent, greater, and tho purchasers have not the assistance of State finance. The stock-carrying capacity of this estate is to-day greater than ten years ago, despite the fact that during that period one freehold farm and several hundred acres of leasehold have been conveyed away. This surely proves that tho land is being farmed wisely. It is to bo admitted that the land has ! not boceu fanned intensively, but that is an asset to the smallholder as there is a wealth of natural plant food untouched by tho stimulating effect of artificial manures, or detrimental effects produced by tho excessive use of such stimulants. Without accelerating growth to any great extent by generous applications of these stimulants, it has been possible to derive returns on an average of seventy bushels of wheat to, tbe acre from this land. At the present time, without- taking into consideration the land under cultivation, tho carrying capacity of this estate is two and one-fifth sheep per acre. Last season’s wool yielded a. return of 9 2-31 b per sheep. Fat stock from this locality has always been predominant at Burnside. It is futile to suggest, in view of the above returns, which are authentic, that this land requires the expenditure of large sums of money to bring it to a high state of productivity. The success ot this settlement is entirely in the hands of the Lands Department, and depends solely upon its scheme of subdivision and examination { of applicants. It is the studied opinion of local fanners that if these two factors are carried out wisely the success of the settlement is assured. It is also the opinion of expert farmers that if a careful selection of young, capable fanners were admitted to the ballot, and provided the prices of primary products arc maintained for a few years at a level equal to the average over the past five years, there should be no risk to the State in financing the above type of fanner up to 100 per cent, of tbe value of the required improvements and stock. Far from being pessimistic over tbe success of this settlement, the expert opinion is that the Government officers responsible for acquiring this estate are to be congratulated, as _is also the owner, who no doubt was iniluenced into parting with this desirable property, not only by tbe value received, but also by the knowledge 1 hat the future prosperity of this country depends upon every assistance being given to closer settlement. I am, etc., LG. Heriot, June 3. [ Our correspondent is right in assuming that Brooksdale is the estate referred to. Wo prefer to leave discussion of the question of price until it is officially announced, merely remarking in the meantime that our information was not based on rumour, either as to Government valuation or j tho price actually paid. It is cheering to learn that local expert opinion of the outcome of the subdivision is so : confident, and sincerely hope they will be verified. It may be unnecessary to remind our correspondent that loading j lias to be added to the actual price paid ; by the Government for tho land on account of the following items: —Interest at 5 per cent, to the date of the first rent payment by the incoming lessees; cost of roads, drains, and other works; cost of advertising; cost of survey and administration from date of purchase; cost of deeds; incidental expenses, and i per cent, on purchase money for contingencies. —l'kl. E. S. ]