GROUND RENTS

New Zealand Herald, Volume LXX, Issue 21546, 18 July 1933, Page 13

GROUND RENTS

Sir, —I see by the Herald of Friday that the Auckland Cfty Council has again reduced the rentals for the Civic Square leaseholds, which goes to show that the City Council is at least doing its best to ease the burden of the business people. Why is it that the Government has not taken a step i.u this direction:-' Nothing has been done to relieve the burden of Government leaseholders. They still h'aVe to pay 5 per cent on the Government value of the properties; in many cases a valuation taken when properties were at least 100 per cent more valuable than they are at the present time. Is it not time Government properties were revalued and the unfortunate leaseholders given some relief? In my own case —eleven years ago I bought a Government Glasgow lease, with a ground rental of £lB, with seven years to run. When the lease was renewed it was at a rental of £6O. It is still £6O, despite repeated pleas to the Commissioner of Crown Lands for a reduction, on the grounds of hardship. For two years I have been unable to afford to live in the house, and, owing to the ground rental, it is impossible to sell it. At present it is let at a rental which does not really pay its expenses. If the section were put up for auction to-day, 1 doubt if it would realise £SOO, yet I am compelled by our Government to pay interest on £I2OO or lose my property. Does this seem right? Is it not time that the Government did something to assist its leaseholders? Government Leaseholder.