HOTEL LEASE

Greymouth Evening Star, 8 November 1944, Page 2

HOTEL LEASE

TRANSFER GRANTED

An unusual case occupied the W estland Land Sales Committee at Greymouth, this morning, when M. B. Edwards, owner of the Union Hotel (Mr. F. A. Kitchingham), sought to transfer the lease tt> J. Dai'well at a consideration of £l5OO for goodwill and balance of the lease (about four years). The Chairman (Mr. Mark Wallace) commented that the case had unique aspects in that Darwell was not only lessee from the Native Trustee, but head lessor in the sublease and desired to purchase the sublease 7 held by Edwards. The Committee had doubted whether it had jurisdiction, but the District Land Registrar would not register the transfer without the sanction of the Committee. C. L. Kettle, hotel valuator, in evidence stated that Darwell had leased the property to Griffin and Smith and others for £2,000, plus a weekly rental of £lO for eleven years. Simultaneously the lessees had leased the hotel, with the same goodwill) to Mr. Withers for eleven years at a weekly rental of £9. In May, 1941, Mr. Withers transferred it to Mrs. Stribling, the consideration being £2400. Mrs. Stribling had had to leave Greymouth because of ill-heslth and had had to sell, Mr. Edwards being fortunate m obtaining the lease for £ 1500 in July, 1942. The hotel was one of the best businesses in Greymouth, with a turnover of 24 hogsheads a month, which probably would not .be exceeded. It was the only hotel with a bottling plant and which delivered bottled beer around the district. That part of the business would be worth £2O a week profit. The hotel was m first-class repair and should not require early attention. Witness thought that after paying £9 a week rent there would remain a liberal profit. He estimated the fair value of the goodwill for the remainder of the lease to be £9 a week. The Committee granted consent. Consent was also granted to the transfer of a'dwelling of one rood 36.6 perches at Paroa Extension from L. Gelardi to L. H. Gelardi for £340. On the Bench with Mr. Wallace were Messrs J. W. Greenslade and J. Mulcare. ______