HOUSING SCHEME

New Zealand Herald, Volume LXXIII, Issue 22574, 12 November 1936, Page 14

HOUSING SCHEME

STATE LOAN PLAN LOCAL BODIES' ATTITUDE DIVERGENCE OF VIEWS Although no concrete proposals regarding the State housing loan scheme have been received from the Government by any local bodies in Auckland the plan lias been tentatively discussed bv most of tho municipal authorities. There is little doubt that it will meet with a mixed reception. The Town Planning Committee of tho City Council reported recently that it considered the council would be unwiso to embark on a housing scheme of its own while the Government was giving effect to its plan in Auckland, but tho matter was referred back to tho committee for further consideration. Tho council previously proposed spending £200.000 on workers' homes and flats to meet the housing shortage. The deputy-mayor, the Hon. B. Martin, M.L.C., pointed out that it was not intended tho council scheme should bo dropped. If the Government made an early start on the building of 500 houses in Auckland and the council still found that there was fioinrr to be a shortage it could build or enter into an arrangement with the Government for the erection of any further houses required. No Shortage in Mount Eden As there is no present housing shortage in Mount Eden and very little land available for building, the Borough Council does not contemplate doing anything in the matter. In Mount Albert the matter has been discussed by the Borough Council in committee, but it is likely that here again the council will agree that tho scheme is not suited to the district. The opinion has been expressed in the Newmarket Borough Council that it might be more advantageous for the borough to borrow money from an independent source. It would then be free to adopt a scheme best suited to its own requirements. The council is inclined to favour the building of blocks of flats rather than of a standardised type of dwelling. The New Lynn Borough Council, at a recent meeting, received advice from the Parliamentary Under-Secretary in chargo of Housing, Mr. J. A. Lee, that the Government had no immediate proposals for engaging in any housing scheme at New Lynn. All estates being offered to the Crown for housing purposes were being investigated. The council has about 40 sections as well as an estate comprising a further 32 sections which may be suitable for some scheme. It was agreed to call a special meeting of the council on receipt of particulars of the Government's proposals. North Shore Districts Of the North Shore bodies, the Northcote Borough Council has expressed the view that t'he scheme is not necessary in the district at present. There are a number of houses unoccupied in the borough and it was agreed that nothing should be done in the meantime. The Birkenhead Council, on the other hand, was inclined to favour the scheme, although nothing definite was decided in view of the lack of information. Keen interest has been displayed by tho Devonport Council and a special committee has been appointed to go into the matter when fuller information is obtained from the Government. A committee report on the gcheme is to be presented at the next meeting of the Mount Roskill Road Board. No opinion has been voiced by either the Takapuna or One Tree Hill Borough Councils. COMPLAINTS OF DELAY ADVERSE EFFECT ON TRADE [BY TELEGRAPH —PRESS ASSOCIATION] WELLINGTON. Wednesday

Delay on the part of the Government in putting its housing scheme into operation and tho procedure being adopted by the State Advances Corporation toward applicants for building loans are stated to be having an adverse effect on the building trade. With the public waiting to see what the Government intends to do in providing homes, there has been a general slackening-off in cottage construction. The reactions of this policy are at present stated to be causing many sections of the building industry serious concern, particularly the small builder and firms supplying his timber requirements. Even when the State's housing scheme is in full swing, the builder in a small way expects to receive little benefit, if any. So far as Wellington is concerned, it is the intention of the Department of Housing to call for contracts for houses in multiples of 20. It was pointed out to-day by a man connected with the trade that small builders were not in a position to undertake the construction of 10 houses, let alone 20, and finance them during building operations. Three houses or, at most, four, was the limit the small builder could contract for. "The man who really needs a house has no chance of obtaining a _ loan from the State Advances Corporation," remarked one builder in a small way. "An individual apparently has no chance of obtaining a loan from the corporation unless he can furnish 50 per cent of security. If the corporation would make advances up to 10 per cent of the security or R0 per cent at the outside, it would give an impetus to the building industry."