THE LAND.

Hawera Star, Volume XLVIII, 23 June 1924, Page 7

THE LAND.

DIFFICULTIES OF FINANCING. Mr W. Watson, acting-chairman of the Bank of New Zealand, speaking on land at the annual meeting of the proprietors this morning, said: * Country lands have not changed hands to any great extent, vendors’ ideas of value still being much in excess of those of prospective buyers. Unimproved or partially-improved hush lands are not easily disposed of, not only because of the present excessive cost of improvements, but also because of difficulties of financing such propositions, lenders being extremely shy of that class of security. In several districts in the North Island improved bush country, unless well handled, has a pronounced pendency to develop rubbishy growth, and experience has shown that, apart from that disability, the quality of the pasture deteriorates a few years after it has first been sown. Where the plough can be used that difficulty can he overcome by its use, and by liberal manuring. Many deserving "and industrious settlers who took up rough bush land without possessing the necessary capital or credit to complete the required improvements and to adequately stock their properties have been obliged to abandon their holdings after years of battling against adverse conditions. There is no question that considerable areas of land, thrown open years ago by the Government for settlement under various leasehold tenures on what were at the time considered reasonable terms, should never have been grassed. In view of the greatly increased cost of improvements, it would be but fair that there should he not only a revision of the rentals of such properties, hut also that an occupier should be allowed to relinquish any unimproved portion of the property, provided the latter area is large enough to support a settler when improvements can, if ever, be effected at a reasonable figure. The settler who goes out into the wilderness to carve out. a home for himself is entitled to every consideration—in a great many cases it would pay to let him have the land for a mere trifle, subject to his making satisfactory improvements within a reasonable period, hut he should not have the right, save in exceptional cases, to sell out. As a rule, unimproved bush country should be handled only by men of ample means.

On the other hand, some 20 years ago considerable areas of improved land were leased on terms which have enabled the fortunate lessees to transfer at a handsome profit after allowing for the capital expended on improvements. It is desirable to sound a note of warning with regard to city and suburban properties, which in "some centres have changed hands at such high prices that, whether the occupiers he owners or tenants, the rent charges are necessarily so great that success in business is rendered very difficult.