BUILDING OF HOUSES.

New Zealand Herald, Volume LVI, Issue 17242, 19 August 1919, Page 9

BUILDING OF HOUSES.

— — ♦ REVIVAL SETTING IN. FACTORS IN SITUATION. FIGURES FROM ALL AREAS. The definite increase in the number of private dwellings being erected in the residential areas of Auckland City and suburbs denotes the setting in of a revival of activity in that direction. It is by no means to be assumed, however, that pre-war conditions have been established. There are too many obstacles in the way of a complete restoration of building activities for that to be tie case. One is the shortage and increased price of timber, the former being accentuated by the railway restrictions. Another factor hampering a speedy return to the normal is the matter of finance. Mortgage money is not easy to arrange for, the moratorium having made lenders shy of that form of investment. Many dwellings are erected by speculative buildere, and under the present limit of £500 for State advances to settlers, workers, etc., for building purposes, the amount of the second mortgage required by the prospective house-owner is often too high from the builders' point of view. The situation would be eased if the limit of such State advances were raised so that more ' cash down" would bo available for payment to the buildings contractor. Houses are costing so much more now than they were before the war that the amount the man seeking a Government advance can himself find to add to it is frequently insufficient. The present revival is an encouraging sign of what is likely to occur when more timber is available and when money now tied up under the moratorium is released. It should, however, be viewed from the proper perspective. For example, before the war some 200 houses a year were being erected in the Mount Eden borough. ! This was the average for two or three I years. At present the figures indicate j that the average is about 50 a year. A great deal of house-property is changing hands, and increased prices are being paid for it. It is a noteworthy fact that the better class of dwelling is selling more i readily than the cheaper class. Permits in City Area. In the city, or Greater Auckland, area, 40 dwellings, of a total value of £44.686, were erected or put in hand in the three months Mav-July last. For the corresponding period of 1918 13 dwellings were erected, their total value being £14,406. The increases for the three months of this year referred to are, therefore, 27 dwellings and £30,280. Tli building activity is mostly at Remuera and Epsom, while other districts in which a few houses are being built include Ponsonby. Most of the dwellings are wooden structures, but a fair proportion are being built in brick. The values of the houses for which permits were obtained in the May-July period of this year range from £550 to £5169, the latter representing a brick residence in Remuera. This month six permits have so far been issued for six dwellings, valued at a total of £6137, whereas in the complete month of August, 1918, only five dwellings, of a total value of £3455, were erected. It is evident, therefore, that the increased activity shown earlier in the year is being maintained. In Grey Lynn operations are more spasmodic. Permits were issued in June for five dwellings, of ■ a total value of £3300. but practically none have been applied for since. The following table shows in detail the houses for which permits were issued by the City Council in May-July, 1919 and ! 1918, together with the total estimated 1 value of same : — 1 1919. 1918. Dwellings. Value. Dwellings. Value. May . . 14 £18.237 5 £2,466 June . . 10 10,992 5 2 910 ' July . . 16 15,457 3 9',030 ' 40 £44,686 13 £14,406 1 Operations in the Suburbs. , The most striking revival in building • has taken place in the Mount Albert • Borough. In the three months, May-July. i 1918, only one small house of a value of I £400 was erected. In the corresponding • period of this year 19 permits for dwel- - lings of a total value of £11,362 were • issued. l Eleven permits for houses were issued - by the Mount Eden Borough Council in i the May-July period of the present year, 3 the total value being £7550. In the* oor--1 responding three mouths of 1918 four per- >! mits were issued for dwellings of a total i value of £2340. i In the One-tree Hill road district eight - dwellings of a total value of £4525 have 3 been put in hand in the three months - j May-July last, compared with four of a 3 total value of £2250 in the corresponding period of last year. In addition, a permit was issued in June for a diocesan school building in Mount St. John Avenue, at , a cost of £2875. 1 Building operations in Newmarket have J been quiet this year, according to the f number of permits issued by the Borough i Council. No permits were applied for in ' June or July, while in the preceding five ' months six permits, of a total value of £3600, were granted. During the corrc- > sponding seven months of last year eight - permits were issued, representing a value r of £4400. The total number of permits 1 i issued last vear was 13, representing a I value of £6600,