RUNANGA PROPERTY

Greymouth Evening Star, 9 August 1946, Page 2

RUNANGA PROPERTY

LOCALITY DEPRECIATION DISCOUNTED

COMMITTEE APPROVES SALE

Locality depreciation applied by the Crown was discounted by the Westland Land Sales Committee nt Greymouth this morning, when consenting to the transfer of a bungalow in Runanga from G. Clay to A. Spark. The committee also Intimated that it would make some small recognition of the lessee’s interest in the leasehold section, but apart from these two considerations there was no justification for departing from the Crown’s valuation of £.595., The sale was approved, subject to q reduction in purchase price from £675 to £620. i

Mr M. Wallace presided, and associated with him were Messrs J. Mulcare and J. W. Greensladc. Mr A. M. Jamieson appeared for the vendor, and Mr N. Clay, Commissioner of Crown Lands, represented the Crown.

A value of £675 was placed on the property by Mr G. F. Shallcrass, valuer for the vendor. A bungalow type of dwelling, he said it had been constructed in 1927 in the residential area of Runanga. He had assessed the lessee’s interest in the land at £2O.

The State Advances Corporation property supervisor, Mr R. G. Drummond, disagreed with the previous witness's claim that the building had been well constructed. He placed a value of £595 on the property as a freehold, including £3O placed on the land. He considered that the lessee had practically no equity in the lease, which would expire in two years. He considered that it would cost £6O to instal a septic tank and* £6O to connect with the sewerage system. To Mr Jamieson: He still used 18/6 a square foot as his starting price for valuing buildings, despite the attitude of the commttee. He claimed that there was a locality depreciar lion in Runanga in 1942. The committee consented to an application by G. Grant to sell a Tainui street property to D. W. Morgan, the vendor (Mr Jamieson) agreeing to the price being reduced from £4OO to £350.