WESTMERE PROPERTY

Wanganui Chronicle, Volume 89, Issue 224, 21 September 1945, Page 4

WESTMERE PROPERTY

APPEAL TO LAND SALES COURT QUESTION Of PRICE RAISED Decision was reserved by the Land Sales Court, at a silting in"Wanganui, yesterday, after hearing evldenc* in a case where the owner of a small farm property at Westmere appealed against the decision of the Wellington Rural Land Sales Committee in fixing a price lower than the consideration asked. The appellant vendor was Bertram Charles Beach, for whom Mr. B. C. Haggitt appeared, and the purchaser of the property was Thomas Oldknow Cave.

The area concerned consists of 37 acres of farm land in the Waitotara County and four miles beyoad the city boundary. The consideration was £2601 Us. but. the Wellington Rural Land Cales Committee fixed the basicvalue at £2lOO. Mr. Justice Finlay presided, other members of the Court being Messrs W. Stewart (Wellington), and W. EScott (KapunD. Tire Crown representative was Mr. M. H. Vaitlier (Wellington).

Opening the case for appellant. Mr. Haggilt said the contract price fcr the sale was equivalent to £7O an aorc. The Crown valuer valued the properly at slightly under 152 an acre, and the price fixed by the Land Sales Committee was £56 15s an acre.

"Suburban farmlets in close proximity to Wanganui have always commanded a very high price for twofold reasons," counsel added. “The best land in the district is that in close proximity to the city. Such properties come on to the market very infrequently and are keenly sought after. City rates are very high, but when you go out into the country they are much lower and this tends to Increase the price." Counsel submitted also that this Westmere land could be easily adapted for market gardening. It couid b» cut up into at least three holdings. His Honour: Are you basing this on market gardens? Counsel: No, but. it does give an idea of relative values.

His Honour: Market gardening is pretty well a pricked balloon, is it not? Counsel: Not in this district. There are two established market gardens in the vicinity of this property.

“My valuation is based on comparisons with other sales." Mr. Haggitt added. “Because other properties do not come on the market very often, however, it is not possible to give many comparisons." Propertv prices reached a high level in the eaily 1920's and then receded sharply till the slump occurred in 1929. Values remained depressed during this period, but between 1938 and 1942 they rose sharply to the level existing before the slump. Frank William Searle, valuer and estate agent. Wanganui, said properties in Westmere carried very low rates. The property in question consisted of 25 acres of flat land facing Watt Road, the rest being undulating. “Areas like this close to the town are valued on the basis of a piece of land, rather than actual acreages,” witness added. "If a piece of land in this area is suitable for what a man has in minu he does not mind if it is five or seven acres. This property under review could be divided into three farmlets.”

Witness said he was satisfied that the property could have been sold for £2750 on the open market in December, 1942. He had valued 25 acres at £9O an acre, and 11 acres at £5O, a total of £2BOO. A property of 45 acres in Maxwell. 16 miles from Wanganui, had been sold in 1943 for £72 an acre. It was sold the following year at the same price, the Land Sales Committee assenting. This property was not an economic unit on its own. The soil was the same as on the Westmere property, but the Maxwell area had far less" locality value. Witness also quoted the sale of acres at Wanganui East for £6OO In November 1942. A further 23 acres in the same locality had been purchased recently by the same owner for £75 an acre. This land could not be compared with the property under review. Cross-examined by Mr. Vautier, witness said he had made no allowance for subdivisional value of. the property when fixing his valuation. Opening the case for the Crown, Mr Vautier said the land under review was not up to the usual standard of Westmere land. Harold Wilson Shires, farm valuer in the State Advances Corporation. Wanganui, said he had valued the property at £1924, or £52 an acre. It was not up to the usual standard of Westmere land. Witness added that he valued 25 acres of the property at £62. and the rest, at £35 an acre. The Court reserved its decision.