CITY ASSESSMENTS.

New Zealand Herald, Volume LXIX, Issue 21132, 15 March 1932, Page 10

CITY ASSESSMENTS.

MANY OBJECTIONS MADE.

REDUCTIONS BY THE COURT. PRINCIPLES OF VALUATION. RENTS OF SHOPS AND OFFICES. Between 600 and 700 objections to Auckland city rating assessments were reviewed yesterday, when the Assessment Court opened its annual sittings at the Town Hall, Mr. W. R. McKcan, S.M., presiding. An equal number remains to bo dealt with to-day, and possibly also tomorrow.

A total of 1327 objections, affecting 4541 assessments, had been lodged, but the greater proportion had been settled by consent. In some instances objectors had not replied to offers of reductions, and these had to bo given an opportunity to appear. When they did not, the offers were allowed to stand and the reductions confirmed.

The city valuer, Mr. P. F. Nolley, said the number of objections had been abnormal, but this was to be expected in times such as the present. A majority of tho objectors had interviewed him, and most of them had been willing to modify their claims in some degree. Mr. Nolley mentioned that at the recent sitting of tho One Tree Hill Assessment Court tho borough solicitor had stated, as a general that the Court was not concerned with what properties were worfh to-day, but with seeing that assessments were mutually equit ablo over the whole borough. The presiding magistrate, Mr. E. C. Cutten, had concurred with this view. Mr. Notley added that he had'mentioned the matter although ho was not prepared to say that the principle was correct in law. Difficulty in Letting Premises. Mr. McKean said it was npt his duty to arrive at the real value of any property. Rating on annual values was simply a meanij of enabling a municipality to collect rates, and assessment Courts existed to assure that rates were equitably levied. There was nothing against assessing a property at £6O instead of £SO a year, provided adjoining properties were dealt with on a similar basis. Obviously, if valuations in general were lowered tho rates would have to be higher, and vice versa.

Tho hearing did not disclose anything new concerning property values in the city, but there were many complaints of difficulty in letting shops and offices, and of reduced rents. A good deal of time was occupied in dealing with householders of both sexes, who appeared in person to ask for small reductions in the assessments on their homes, or on houses let to tenants. A considerable number of such reductions had already been offered, and were granted accordingly. Unprofitable Theatre,

In support of a claim for a reduction of the assessment of the Arcadia Theatre, Karangahape Road, counsel for the lessee company stated it had paid no dividend for the past three years. Counsel also submitted that if the company vacated tho theatre now the building would certainly not be reoecupied as a theatre. A reduction from £BOO to £752 a year was granted. The state of retail trade in the western part of Karangalv'ipe Road was pleaded by Mr. M. J. Bennett in asking for a reduced assessment on the shop and store occupied by M. J. Bennett, Limited. He stated that the property was a City Council leasehold at a ground rent of £2B a year. He as lessee let the property to the company, but he would be very glad if lie could get an outside tenant at £5 a week.

Mr. Bennett said that there were many vacant shops in tho vicinity, and very low rents were being accepted. He did not agree that the property was worth £7520. A special valuation in 1928 had assessed it at £5650. Last year the council had ieduced its valuation from £4OO to £290 a year. He held that it should be further reduced to £260.

The magistrate stated that, in view of the largo recent reduction he could not see his way to bring down the assessment further.

A. and T. Burt, Limited, was granted a reduction from £526 to £4OO on premises in Nelson Street. It. was stated that the buildings were being allowed to deteriorate, with a view to rebuilding. Religious Bookstore.

The Auckland Sunday School Union was successful in obtaining a reduction of the assessment on its shop and office building in Upper Queen Street from £l3lO to £1250. Counsel stated that the land had been purchased in 1923 for £6OOO, equal to £IOO a foot, and the building had been completed in 1925 at a cost of over £19,000. It was submitted that the present cost would be 15 to 18 per cent, lower.

The Rev. L. B. Busfield, secretary of the said that but for the support of church organisations in the Auckland Province its bookselling business would have had to close. The shop, as such, was not paying, and there was a great difficulty in letting much of the remainder of the building, even at the lowest possible rents. The union would consider itself fortunate if it could get £25,000 for the property. Mr. McKean said he would reduce the assessment to £1250, or 5 per cent, on the amount mentioned. On the ground of poor returns from rentals, the assessment on Dalgety and Company's office building, Albert, Street, was reduced from £I9OO to £1774. itnzac Avenue House. An objection to the assessment of £584 on his house in Anzac Avenue was made by Mr. J. 13. Donald. He stated that while its value had been appreciated fully 100 per cent, by the construction of Anzac Avenue, full rates on the added value had been paid ever since. The scheme had not added to the attractions of the property from a residential point of view, and if it were converted to other uses tho house would have to be demolished. The present letting value was not over £5 a week. Tho Government valuation was £9350 and he would be pleased to sell at £IO,OOO. The assessment was reduced to £475.

A total reduction from £BOO to £675 was made on three shop properties in the Porter block. Upper Symonds Street. Other reductions included the following:—A. Cleave, printing works, O'Connell Street, £.500 to £405; portions of Home's Building, Vulcan Lane, £2OO to £l6O. It was intimated that three of the auctioneering firms occupying the City Markets would apply jointly fftr reductions, following an appeal last, year to the Valuation Court, which had granted concessions in the Government valuations of their leaseholds. It was also stated that the St. John's Collego Trust intended to contest the assessments upon a large area of endowment lands at Tamaki, and that probably half a day would be needed for the hearing.