TE ARAI ESTATE.

Gisborne Times, Volume XXV, Issue 2223, 29 October 1907, Page 2

TE ARAI ESTATE.

SITTING OF THU ASSESSMENT COURT. Tho Assessment Court, under tlio presidency of the Chief Justice, Sir Robert Stout, met yesterday morning to determine what compensation should be paid to the Hon. Randal Johnston, owner, and Mr John Clark, lessee, of the Te Arai estate, which was recently 'acquired by tho Government. Counsel appearing were: Mr. C- ”■ Skerrott, K.C., and with him Mr. G. Stoc'k, lor Mr Clark; Mr. David Findlay and Mr. J. AV. Nolan for the Crown. With His Honor on tho Bench, as assessors were Mr. G. Matthewson fCrown, Mr Bateson, Wellington (Mr. Johnston), and Mr. Jas. Mncl'arlane, late of Gisborne (Mr. Clark). HON. R. JOHNSTON’S CLAIM.

The acreage and description shows the land to bo 10,691 acres 3 roods 2 perches, more or loss, being To Aria No. 2 and I’ukewhinua blocks, and sections 1 to 9 inclusive of Tapatoho block, situated in Patntahi survey district, Hawke’s Bay Land District, and known as To Arai Estate. The claimant objects to tho classification of land, which ho classifies as follow, : 2928 acres ol' fiat land (including section 10 Tapatoho) of*'an average value of £24 11s 7d per acre, which is first-class land ; 4674 acres 3 roods 21 perches of hill land of a- value of £6 10s per acre, which is secondclass land, such classification differing from the Minister’s classification in that tho latter is 2488 acres firstclass land and 8203 acres 3 roods 2 perches third-class land. Tho portions of tho land omitted from the requisition are set down as 56 acres 3 roods 30 perches in section 10 Tapatoho block, first-class land worth £24 11s 7d; 11 acres 2 roods 30 perches in Taomako No. 1, first-class land worth £24 11s 7d per acre; 4 acres 3 roods 8 perches in Taomako No. 1, first-class laud, worth £24 11s id per acre; value of Okaliukuratara and Taomako No. 1, at £24 11s id per acre. £393. Demand is made that tho whole of tho claimant’s block be taken, containing 10,719 a lr 19p, comprising the To Arai No. 2 block (except the school site), the Pukewlnnua block No. 462, and sections 1 to 10 inclusive, Patutahi Survey District, known also as the Tapatoho ' The statement set. out the further particulars in detail, showing 2944 acres 1 rood 38 perches first-class land and 7774 acres 3 roods 21 perches second-class land, subject to lease to John Clark for a term of ten years from August Ist, 1900, at a rental of £3750 per annum. The total amount claimed was £119,229, set out in three items, including £330 for land not in requisition. For item 1 the amount was £11,905, for item 2 £106,994, and for item 3 £330. MR CLARK’S CLAIM. Tho statement of claim filed by claimant set forth the following:— The acreage and description of the land intended to be taken compulsorily consists of 10,691 acres 3r 2p, being Te Arai No. 2 and Pukewliinua blocks, and sections 1 to 9 inclusive, Tapatoho block, situated in Patutahi Survey District .and known as the Te Arai estate. The claimant admits that certain land [colored pink] is first-class land and that that outlined in green was, considering it by itself, third-class, but, having regard to the situation of the first-class land relatively to the third-class land, the true classification of the whole estate is sccondclass land, and the claimant therefore disputes tlic Minister s classification. The land intended to be taken is the whole of the land comprised in the claimant’s lease. The nature anil particulars of tlio claimant’s interest in the land and all encumbrances, lions, and interests affecting the same respectively are:— The claimant holds tlie same as lessee under the memorandum of lease, for a term of ten years computed from the first day of August, 1900, at the rental of £3750 per annum, and subject to the terms and conditions more particularly expressed in the said deed of lease. The claimant’s interest under the lease is unencumbered. The particulars, items, and total amount of claim are as follows: (a) To value of claimant’s interest under the said lease, including the goodwill thereof and having regard to the fact that it will be impossible for tlio claimant to continue to carry on thereon the business of a sheepfanner for many years carried on profitably by the claimant, and having regard to the loss caused by the expenses, costs, losses, and delay which the claimant will sustain m and about the re-investment of the moneys which may be awarded to the claimant as compensation—£lo,ooo. The compensation for loss and injury to the claimant’s said business by reason of tlie fact that he will be obliged to forthwith sell and dispose of his live stock, plant, and farm implements at much loss than their actual value and for all other loss caused by tlio disturbance of the claimant’s business, £2,000; total £12,000. Claimant further set out that m addition to the lands described in the requisition, the lease also included parts of Okaliukuratara and Taomako blocks, containing respectively 4 and 12 acres. The amount claimed, however, is based upon the .loss occasioned 'liy tlio taking of the .lands mentioned in tho requisition not- on loss of all the claimant’s interest under liis lease. Some argument took place ,as to procedure, and it was finally, decided to take Mr. Johnston’s case, first, i THE OWNER’S CASE. Mr. Johnston’s case was -t-lieu proceeded with, and MrV:-Chap®an addressed the Court, asking tlie Court for permission to amend the qlaim, wliicii had been made up on the basis of not having been dispossessed ol the land until some- twelve months after it was intended originally. Consequently the claim should now be greater than on the first occasion. Mr. Findlay, for the Crown, submitted that there was no power to make an amended claim until a dispute arose as to the classification oi the land. This had not arisen, and therefore there was no power to amend. Counsel also pointed out that tho Government had accepted their original classification. Mr. C. P. Skerrett contended that His Honor had no jurisdiction until the original claim be amended, quoting from tlio Act to show that it the Government do not acquire the whole of anv block the owner may require them'to take the whole, and that such was the condition of affairs ill this case. In his opinion there must be an amendment of the requisition. His Honor disagreed, and pointed out that in liis opinion the Act made no provision for the forcing of amendment of requisition. Mr. Chapman suggested that the Cour.t had power to allow claimant to amend his claim, and His Honor jiermitted him to renew liis application at the close of the evidence. Mr. Chapman proceeded to call witnesses as to the value of the estate, etc. Mr. A. Kennedy, surveyor, of Hawke’s Bay, gave expert evidence as to the excellent class of land, and stated that ill liis opinion it- was the most suitable estate for closer settlement that lie had ever seen. Witness was cross-examined at great length bv Mr. Findlay as to different values of the various blocks be had inspected, ami as to flic values lie bad placed oil them. Mr. ‘St radian, slieepfarmer, of Waimata ,alsc> gave evidence of his valuations of the different blocks, mid gave tlie carrying capacity of Ins laud, 6000 acres hill country, and the comparison with the hills on Te Aral, which, he said, were equally as_ good as his, and should carry 2 sheep to the acre and the usual proportion of cattle 1 to 7 to 10 acres. Witness estimated that the flats should carry 6 to the acre. , . , Xu cross-examination nv An*. _r mulay, tho point was raised to the winter carrying capacity of Te Aral, anil counsel submitted that the shearing tally was indicative of it. AVitness disagreed with this, and Mr. Findlay proceeded to show that the present lessee of Te Arai was only

carrying a little more than half tlie stock which witness estimated it was callable of carrying. Continuing, witness gave evidence as to the purchase of some fiat land at Makuuri at £36 per acre for residential purposes, and in answer to counsel admitted that at times sheepfariners paid fabulous prices for small areas between their runs and tlio markets. His Honor interposed, saying that the valuo of a pieco of land as an accommodation paddock was not a true tost of the value of it for agricultural or pastoral purposes. Witness, continuing, said the valuation was made on tlie basis of tlio price be would be prepared to pay for it with a reasonable expectation of a good return. To Mr. Chapman: Grass seeding would naturally reduce the carrying capacity. Mr. Chapman gave the amounts ot grass-seed sales for tlio last two years, with the object of showing what might be done with it as pastoral country. Mr. Jex-Blake, slieepfarmer, also gave evidence as to the carrying capacity of a property in which lie had been interested, and its value,ior purposes of comparison. Mr. J. AV. Bright, manager of the N.Z. Loan and Mercantile Co., Gisborne, detailed the various blocks, and gave individually an opinion of the merits and carrying capacity of each of them. He valued the whole of the property at £131,237. A large proportion of the land, if drained, would bo equal to any flats in the district. The hearing was adjourned to tho following day.