The Star WEDNESDAY, OCTOBER 11, 1922, BOROUGH VALUATIONS.

Hawera & Normanby Star, Volume XLII, Issue XLII, 11 October 1922, Page 4

The Star

WEDNESDAY, OCTOBER 11, 1922, BOROUGH VALUATIONS.

Delivered every evening by 6 o'clock in Hawera. MaiMia, Normanby, Okaiawa, Eltham, Mar.gatcki, Kaponga, Awatuna- Opunake, Otakeho, Manutohi, Alton, Hurleyville, Patea, Waverley, Mokoia, Whakamara, Ohangai, Meremere, Fraser Bond, and Ararat*.

I Tli© 1922 valuation roll for Hawera I Borougli has been issued. It shows a considerable increase over the figures contained in the l§l/ roll, and no doubt the figures which we publish", in this article will provide a good subject for discussion among people, in the town and district. We expected the increase to be substantial, for it was obvious that the old valuations were not in reasonable relationship to the selling prices of "borough properties. The result was that sales at very high prices were being effected, and the Government , valuations were in no sense a guide to real values. It will be noted that the values of improvements have been set down in the 1922 valuation at slightly more than double the figure for 1917, the increase amounting bo £425,431. Unimproved values have been increased by £325,G55, so that the total increase in valuacion amounts to just over three-quarters of a million, a very large increase. The selling prices of properties increased very rapidly in the boom period, and even now they are, we believe, much higher than they were in 1917. Prices for building sections in the borough advanced rapidly as the number available decreased and houses also increased in price as construction costs advanced. Added to these factors was the speculation, which did the most harm. The new valuations unfortunately have come at a time when the town ana district are experiencing the effects, of the financial depression, and, for that reason, th© increases are probably looked at by some people with more anxiety than would have been the ease had they been made two years ago. Following are the figures: — '1922 VALUATION ROLL. A •a a | § 3 . & ■ I fj II & £ £ £ Rateable lands ... 1,503,748 708,197 295,551 Exempt and nonrateable lands ... 91,375 36,650 54,728 Gross total £1,595,123 £744,847 £850,276 1917 VALUATION ROLL. Rateable lands ... 795,801 359.412 336,383 Exempt and oonrateabl* lands ... 48,806 20,350 28,456 Gross total £844,607 £419,762 £424,845 When the growth of the town and the excellent name which it has borne as a business centre are considered, along with the fact that it is the centre of the richest dairying area in New Zealand, it was not to be expected that the total valuations would not show substantial increases. Fortunately the effect upon the individual rates will not be very serious, and probably the worst feature is that the high valuations may be used as an -excuse for continuing the high

rents, though, the old valuations did not hold good as a reason tor the high rents which have been ruling during the past two or three years. The high rents have been largely responsible for the great increase in the new Government valuation, so that owners of properties who have been collecting high rents and

those who speculated wildly have themselves to blame more than anyone else for the valuers figures being higher than they might have expected. To what extent tlie Government will move to adjust valuations more in accord with the lower prices now ruling is not definitely Known, though a message from our Wellington correspondent published last Friday stated that Mr. Massey indicated to the House that he believed that some valuations made during tne war period were too high, and he had been in touch with the Valuer-General for some time with a view to reducing them where it was clear that they were unfair. Legislation would be required and this Mr. Massey intended to bring in at the end of the session. Nothing can be done for the present, but we see little prospect of substantial reductions

unless the Government decides upon a new basis for making valuations. As the proceedings before the Assessment

Court showed, it was difficult for complainants to prove that the valuer had not made fair and reasonable valuations under the difficult conditions with which he was faced.