CITY PROPERTIES

New Zealand Herald, Volume LXXIII, Issue 22399, 21 April 1936, Page 12

CITY PROPERTIES

ASSESSMENTS OPPOSED CUSTOMS STREET EAST VALUATIONS SUSTAINED TREND IN THE . AREA Values of properties in Customs Street East were under review at the City Assessment Court yesterday, when objections to assessments made by the city valuer. Mr. P. F. Notley, were made on behalf of John Burns and Company, Limited, and the Farmers' Cooperative Auctioneering Company. Mr. W. P. McKean, S.M., presided. Mr. J. Terry appeared for both firms and the city solicitor, Mr. J. Stanton, appeared for the city valuer. Evidence was given by Mr. G. B. Osmond in respect of the rental value of £B4O placed by the city valuer on premises on the corner of Customs Street East and Fort Lane. r lhe property has a frontage approximating :36ft.' and a depth of 80ft. Mr. Osmond valued the corner at £3OO a foot, and the three-storey building at £2040, a total of £12,240. Mr. T. Maclndoe gave a valuation of £325 a foot and £3SOO on the building. Asked as to his basis for fixing the value of the building, Mr. Osmond said that he took it at os a square foot, but did not include the area of the basement. Mr. C. F. Bennett, called by Mr. Notlev, valued the corner Qt £350 a foot and the building at £-1380, or 10s a square foot, a total of £17,155. City Valuer's Figures Mr. Notley's valuation was £350 a foot, or £12,775, and the building, £2400, a total of £15,175. Mr. McKean said ho was of tho opinion that land at this point was worth more than land on the other side of Customs Street, where £325 a foot had been paid. He would fix the value of the land at £12,775, and the building at £3SOO. Ho thought that 5 per cent on the capital value was as much as a tenant could pay to-day and he would reduce the assessment from £B4O to £B2B.

There was some disparity in the values given concerning main warehouse of John Burns and Company, with a frontage of 72ft. to Customs Street East and 80ft. to Commerce Street. Mr. Osmond valued the corner at £3OO a foot on the Customs Street frontage, equal to £21,600, and the building at £B6OO, a total of £30,200. Mr. Maclndoe placed the value of tho land at £325 a foot, or £23,400, and the building at £7200, a total of £30,600. Mr. Bennett's valuation was £4OO a foot for the land, or £28,800, and the building £11,520, a total of £40,320. Mr. Notley's valuation was £360 a foot and he assessed tho value of the building at £9216, the rental value being fixed at £lßl2. The Court sustained this valuation. Retail Shopping Trend

Objection was also made to the valuation .of the four-storey building at the rear of John Burns and Company's main warehouse, and used as a store. This has a frontage of 76ft. 9in. and a depth of 100 ft. to Fort Lane. Mr. Osmond valued the land at £l3O a foot, or £9979, and the building at £7675. Mr. Maclndoe's valuation was £l3O a foot for the land and £7675 for the building. On the other hand, Mr. Bennett fixed tho value of tho land at £l5O a foot, or £11,512, and of the building at £12,616. He said that the opening of shops in this block showed a trend and tho area would gradually develop ( into a shopping area. Mr. McKean supported this view, saying he thought it would be found that retail shops would continue to increase in this area. The rental value of £1059 fixed by the city valuer would be sustained. Another Objection Falls The valuation of £49,650 fixed as the capital value of the land and buildings in Customs* Street owned by the Farmers' Co-operaiive Auctioneering Company and formerly owned by Messrs. P. Hayman was objected to by Mr. Terry. The rental value was assessed at £2660. Mr. Terry said that the building was bought at auction by the present owners last year for £BOSO. It stood on a Harbour Board lease which had 12 years to run, the ground rent being £330 a year. The four-storev building had a frontago of 99 feet to Customs Street and a depth of 90 feet, the land having a further depth of 10 feet.

Mr. Notley had valued the land at £350 a foot and the building at £15,000, but Mr. Osmond placed tho value at £3OO a foot and considered that the building was worth what was paid. for it at auction plus £6OOO which restoration 'would cost. He said the building was built about 38 years ago and was of light construction owing to the nature of the foundation. Mr. Macliuloo also valued the land at £3OO a foot and tho building at £B9IO, plus £6OOO. In placing the value at £350 a foot and the building at £17,820, Mr. Bennett said the building occupied an advantageous site with a frontage to the proposed transport centre and was well fitted and of good appearance. The city valuer's assessment was sustained.