CHEAP RENTALS

Timaru Herald, Volume CXLIII, Issue 20640, 1 February 1937, Page 6

CHEAP RENTALS

GOVERNMENT HOUSES STATEMENT BY MR LEE By telegraph —Press Association AUCKLAND, January 31. It is anticipated that tenders will be called for the building of Government houses at Orakei about February 9. This information was given by Mr J. A. Lee. M.P., Parliamentary Under-Secre-tary to the Prime Minister on Saturday. While the Orakei tenders were being received, the scheme for the building of houses on the Casey estate ought to be ready for tendering. “Once we start on Orakei there should be no further delays,” remarked Mr Lee. “One thing has been discovered, that is, the cheapest rental house docs not necessarily mean the cheapest house to construct. It has been found that houses can be constructed at a very moderate capital expenditure, but these houses would be more expensive to rent because their life period is exceedingly short and their capital cost has to be recouped in a very short period. On the contrary an extra £lOO spent in constructing r house soundly gives such an extension to the life period of the house that the rental to be charged is substantially reduced.” Mr Lee was not prepared to discuss prices in respect of the contracts recently let, but the prices were such that he could state confidently that the rentals of Government houses would be well under ruling rates.