STATE HOUSING

Otago Daily Times, Issue 24685, 14 August 1941, Page 6

STATE HOUSING

£5,606,608 SPENT LAST YEAR ADVANCES CORPORATION’S REPORT SURPLUS ON OPERATIONS (0.C.) WELLINGTON, Aug. 13. A surplus of £9165, compared with a loss of £2570 for 1939-40, on new vented properties built under the State housing scheme is shown in the an- , nual report of the State Advances Corporation for the year ended March 31, 1941. which was presented in the House of Representatives to-day. The report says that the better result was due mainly to the fact that the average rate of interest paid on borrowed funds was less than that in the' previous. year. The report of the Director of Housing Construction, Mr G. W. Albertson, reveals that the total net payments for the purchase of land, the provision of services, the erection of joinery factories. , the erection of houses 'and all administrative charges' had amounted to £16,252,809. The expenditure for last year was £5,606,608. The_ department claimed that its administration charges were still remarkably low, being 2.58 per cent, of the net expenditure since the commencement of operations. Corporation’s Activities

The management and supervision of the existing securities and the cratrol of State rental houses had constituted a large proportion of the corporation’s activities during the past year, the report said. At March 31 the corporation was responsible for 43,071 urban securities totalling £25,512,141, 20,748 rural securities amounting to £24,168,711. and 11,046 old and new State rental properties. The new loans granted for the year amounted to 1510. of a total value of £1,431,033. Of these 1101 valued at £988,289 were on urban securities. Since '1935, when the corporation began lending, 17,450 loans of £17,583,964 had been granted. Discussing trade and industry in New Zealand, the corporation reported that financial assistance would be provided by the Government to the dairy industry in appropriate . cases. "From an investigation of the trading accounts of our farmer current-account clients for the past season, we anticipate that the average farmer will have been* able,, to meet his commitments for the; period in, full without difficulty,’’the report said. f For the past year supply of 979 huts as temporary accommodation for farmers ’and farm workers had been approved. Financial Aid for Soldiers

A total of 3464 applications ha'd been lodged ' with the Soldiers’ Financial Assistance Board up to March 31, 1941, the report added. With the necessary funds drawn from the War Expenses Account the total commitments to March 31 were £40,014. Rent was thfe main item, reaching £24,090. The only other considerable items were £7683 for interest on mortgages and £7193 for insurance premiums. Jhe net surplus payable to the Treasury from the operations of the corporation is shown at £207,233, which with a reserve of £160,000 set aside 4o meet income taxes and other, factors represented a return of 4.96 per cent, on authorised capital and contingent liability.