HOUSE BUILDING SCHEME

Taranaki Daily News, 13 September 1934, Page 5

HOUSE BUILDING SCHEME

LOAN OF £lOO,OOO PROPOSED.

NEGOTIATIONS AT DUNEDIN.

By Telegraph—Press Association.

Dunedin, Last Night.

At the City Council meeting to-night the Mayor (Mr. Cox) presented a motion asking that the finance committee be requested to report upon the proposal to raise a loan of £lOO,OOO at 3t2 per cent, for the erection of 200 houses on sites already owned by the corporation, that the Unemployment Board be approached to grant a subsidy at 12 per cent, on the cost of erection, that the houses be erected for approved purchasers, who would be charged 4 per cent, interest and 2Vi per cent, sinking fund or the cost of the houses and land, the % per cent, additional interest charged to form a fund to meet any liability arising from loss, that the houses be supplied with electric light, heating and cooking appliances and that a flat rate be made for electricity of 4s a week. In the brief discussion that ensued before the motion was carried it was pointed out that a previous venture of the City Council in building houses had proved a failure. Cr. Shacklock stated that if they sold their gas or electricity except through meter the council would find disaster.

Cr. Mclndoe said he had received figures from Christchurch showing that tenants under the scheme there were behind in their rates and in the cost of repairs. A councillor expressed curiosity as to where the Mayor was to find his 200 sections in the city on which to build the houses.

The Mayor said he anticipated they would recover £50,000 to £60,000 from the sale of these sections, and that general rates as a result would- be lowered, also that the consumption of electric power would represent a fair amount per annum.