THE WILLIS STREET VALUES.

Dominion, Volume 5, Issue 1274, 1 November 1911, Page 3

THE WILLIS STREET VALUES.

£196,000 PER ACRELAND COMPENSATION CASE. CLAIM POR J22520. Illumination on city land values, and also on city land valuing, lit up the usually sombre Compensation Court yesterday. The easo was one in which Thomas Coterdale sued the 'Wellington City Corporation for X 2520. The Chief Justice (Sir Robert Stout) presided, and, fitting with him as assessors, were Messrs. Goo. H. Scales and L. 11. B. Wilson. Mr. 0. Bcere, with him Mr. G. 11. Fell, appeared for the plaintiff Ooverdalc, and the City Solicitor (Mr. J. O'Shea) appeared fc-r the corporation. "Do You Know What That Would Amount To?" Plaintiff, Coverdale, claimed the amount stated above, as compensation for loss arising from the taking of land at tho corner of AVillis Street and Old Customhouse Street. The land had been taken in connection with the widening of Willis Street. Its dimensions were given as 10ft. depth, and about 56ft. in frontage to Willis Street. Its exact area was 558 sq. ft. Tile claim was equivalent to J;ls p=r f&ot of frontage. In opening the case, Mr. Bcere mentioned that Coverdale's land was subject to a mortgage to Levin. The claim, as stated, was for .£2520. His Honour: Do you know what that would amount to per acre? Mr. Bsero: I have not worked it out. His Honour: It is over ,£196,000 per acre.

Jlr. Beere did not make any remark in reply to tbat, but went ou to state that Laym had sold to Pinny, the agreement being peculiar in its wording. The price was to be 4'U,000, less £ r M if the eonipensatiou did not exceed ,£3O per foot. The amount mentioned in the claim had been figured out on the estimated loss of revenue which Coverrialo would sustain through tho taking of tho land. He had erected a three-story building on the property, and had tho lOit. not bsea taken for street widening the building would have been larger. Its revenue would, in fact, have been more per annum than was the case at present. This sum (.£1.32) was the interest equivalent of a capital oi JE2IOO, if the rate of interest were taken at 5V per cent. In addition to this loss there were other expenses and loss of interest totalling A']2o. Counsel, by way of enhancing his case, went on to fluote the Corporation settlement with M'Lean and Archibald. M'Lean. and Archibald had been paid at tho rate of £i 15s. per square foot. He thought that that settlement especially supported his case, as Coverdale's land had a side frontage as well as a 'frontage to Willis Street, ami his property was consequently all the more valuable. Then there was the award of the Court in Pike and Bate v. the Corporation. That award worked out at £i 5s ad. per square foot. His Honour: It is not tho conect thing to take these compensation cases in patches. There should have been one sitting to fix the whole cost of tho lands affected. That is the American system. In my opinion, people whose value is increased by street widening should bear a portion of the cost.

Counsel then put in the agreement made on August 29, 1010, between Robert Lionel Levin, settler, ■of Feilding, vendor, and Frederick James Pinny, music-seller, of Wellington, purchaser. This was nn arrangement to buy and sell the section at the corner of Willis Street and Old Customhouse Streets, known as Block I of the Heath Estate. The price was to be .filS.otfO, but it was provided that (if the corporation took a portion for street-widening purposes, and the compensation paid therefor amounted to .£3O per ft. or more for frontage to Willis Street) the purchase money should be £li,m.

Evidence in support of plaintiff's oaec was given by S. W. Eaplcy, law clerk; E. R. M'Lean Dymock, accountant; Wm. John Prouse, architect; A. A. (jellatly, land agent; E. F. Dishy, tea merchant; J. G. Ilouldsworth; and J. B. Harcourt, land agent. Several of the witnesses agreed that tho value of Coverdale's section was .£250 per foot to Willis Street.

"These Demands on the Public Purse." Mr. O'Shea stated that he proposed to lead evidence to show that tho land taken had a value of £700 or £SOO. After careful consideration the corporation had decided to make an offer of £1000, which was to include all costs and charges. This had been refused. Ho asked his Honour not to place tco much reliance on the values lower down the street. The Court should take a general idea, and act on general principle. If the corporation had to go on, and pay for street-widening at tho rate which they had paid Pike and Bate, then they would have to "close down" on street-widening. Corerdale had bought knowing that the street would be widened, and the Court should give nothing for compulsory taking. What tho Court should consider was that Coverdale had lost 10 feet fronting on Old Customhouse Street. It was high time for. the Court to discourago claimants making theso extraordinary demands on the public purse.

Wished They Could Emulate the Government.

James Ames, city valuer, considered that the outside price of the land was £225 per foot. He believed that if the cash had been put , down, it could have been actually bought for that. The rateable value oi tho land was £IGO per foot. His Honour: You will have to put it up to £250 in future. Witness: I dare not do that. Mr. O'Shea: There is a leaseholders' association already to see that they don't pay too much rent. Witness: I am always being asked to reduce city values. His Honour: I don't' fee what right you have to value land at less than selling value. The system should be the same as tho Government valuation in the Lands for Settlement. Act.

Mr. O'Shea remarked that the Government had purposely left the Municipal Corporations out of that Act. He only wished that the city could collect rates on that system.

Further evidence iu support of the corporation's case was given by M. Murdoch, retired builder; H. A. Sheppard, land agent; W. H. Morrah, land agent; C. I. Dasent, land agent; D. Eobertson, ironfoundor; and E. M. Beechey, solicitor.

Mr. Beere briefly addressed tho Court, after which his Honour intimated that decision would be reserved.