HOTEL DEAL

New Zealand Herald, Volume 81, Issue 24832, 2 March 1944, Page 6

HOTEL DEAL

PARNELL TRANSACTION

QUESTION IN PARLIAMENT (S.R.) WELLINGTON. Wednesday The decision of the Auckland Urban Land Sales Committee on tlie recent sale of the lease of the Exchange Hotel, Parnell, was the subject of a question raised in the House of Representatives to-day by Mr. F. Langstone (Government —Waimarino). in giving formal notice he asked the Minister ot Lands, the Hon, 13. Roberts, whether lus attention had been drawn to the decision in which the chairman of the committee advised the seller to amend his sale proposal into parts so that the committee could approve of the sale contract to show the price paid by the purchaser for the furniture and fittings at £ISOO and the price for the goodwill at £7250. _ In a note to the question, Mr. ■kangstone said the property was owned by the Auckland Grammar School Board and was held under lease by a brewery company, w*ho had sub-leased it to the licensee* on the terms that m the event of the licensee drawing beer from the lessor the rent would be £8 a week and if beer from another brewery was taken the rent was increased to £2O a week. ~ , The price of £7250 was paid for a four years' lease of the property, in addition to the weeklv rental charge, Mr. Langstone continued, and the alleged goodwill could not be separated from the property. He asked if this was not a breach of the Servicemen's Settlement and Land Sales Act and whether the Minister would have the Act amended to prevent the practice of defeating the law by the mere classification of an item as goodwill.

At the hearing of the case by the committee leave was granted to counsel for the vendor to amend the agreement for sale and purchase to provide that the whole of the purchase price of £7250 for the lease of the hotel would be payable in respect of the licence, nothing being paid for the goodwill of the lease. The chairman of the committee said that, as the Crown representative agreed on the legal question and submissions by counsel and in view of the fact that the lease had so short a period to run on a high rental, the committee could assume tliat little or no goodwill attached to it and would grant consent.

HOME SERVICES THE TWO ASSOCIATIONS AN AMALGAMATION MOVE Negotiations are in train for the amalgamation of the New Zealand Home Services Association, which has its headquarters in Auckland, and the New Zealand Home Defence Association, which was formed as the result of a conference of home servicemen convened _ by the New Zealand Returned Services Association and held in Wellington last November. After a conference of leaders of the two bodies it was decided that a circular letter be sent to all delegates to the Wellington meeting, asking for their postal vote on the question of a change of name of the Wellington body to "New Zealand Home Services Association." The present Home Services Association in Auckland is an incorporated society, but a.general meeting of its members has given approval to the adoption by the Home Defence Association of its name, its constitution with minor amendments, to be agreed on by the two associations, and its badge, with slight alterations. Should the postal ballot of the Home Defence Association be favourable to the change, the present New Zealand Home Services Association has agreed to become the Auckland branch of the New Zealand Home Services Association. The Auckland body now has nearly 1200 members. The new constitution of the Home Services Association provides that members must, have had a minimum of six months' service in mobilised units of the home _ services. This excludes from membership personnel of the E.P.S. and the Home Guard. ARAMOHO STATION CHANGE OF NAME URGED MINISTER'S REFUSAL RESENTED (0.C.) WANGANUI, Wednesday Criticism of the way an application by the Wanganui City Council for the changing of the name of the Aramoho railway station to Wanganui Junction had been passed over by the Minister of Railways, the Hon. R. Semple, was expressed by the council at its monthly meeting.

"It is about the weakest reply I have heard," remarked Mr. S. J." Harris. "We sent a request in the interests of Wanganui as a whole." Mr. Harris was referring to a paragraph in the Minister's reply that the consensus of opinion of Aramoho business men was that the name should not be changed. "There is something broader behind it than the opinion of Aramoho business men," Mr. Harris said, "and we should not take this as an answer." "I cannot see that the matter should be, put so lightly aside," said Mr. E. W. Merewether. "1 do not intend to bo disrespectful to the Government, but 1 do think we have put forward a good case. Willi a population of 28,000 people, the time has come when we should demand certain things from the Government."

Mr. G. P. Hawkins: The matter is not a new one and should not have been so lightly treated. One of the arguments put forward by the Minister was that a change of name of the station would confuse travellers and cause a possible straying of mails addressed to the Aramoho post office, the name of which would also have to be changed. It was decided to urge the Minister to reconsider his decision. LAUNCH SINKS AT WHARF (0.C.) THAMES, Wednesday Discovered sunk at Shortland wharf early last evening, the fislirtig launch Ngau was refloated and placed on the slip for repairs to-day. The stern of the launch had struck the jagged end of an old pile under the water besid? the wharf, and a hole was made, causing the launch to sink and settle on the mud, making raising difficult with the limited gear available. Men worked all night to accomplish this. Damage to the gear and the engine was caused.