A SOLID TOWN.

Dominion, Volume 7, Issue 1933, 16 December 1913, Page 11

A SOLID TOWN.

SOMETHING ABOUT VALUES,' MR. h, BURNETT INTERVIEWED. . Probably thefo is no ono in Wang#, nui who lias a better idea of tho Talus of property in Wanganui than Mr. Alfred Burnett, ono of tlio most respecteff of its property-owners and cxpcrl) valuers. The Burnett family havo long been associated with tho town, and liavo owned freeholds since tile year 1856— freeholds that liavo boon held on to through all tho years and arte still registered in the property lists of tho .borough Council ollico under the old names Having boon an owner with considerable interests, Mr. Burnett has hoen forced into koeping in touch with values' m tlio town sitico his youth. Even "in tho very cariy days property iu what 13 now the main street was not so very low-priced. Mr. Burnett states that m ltJ56 his father paid the stwn ot £600 for tho quarter-aoro of iaffij oil the corncr of lUdgeWsy Street and \ ictoria Avenue, oil which stands Messrs. Hallenstein Bros'. promises.' Four years later (in I860) it.s value was computed at £1000. At the -ti'mo of Ms father's death in 18U3 the same property had increased 'to about £4000 in value, and to-day it was probably worth about £ISO per foot. As tllero'is 60ft. of frontage to tho avenue this makes the present-day value of tho land a little short of £12.000. 'At first jglanco the accretion in value of tho block from i'tiOO to £12,000 looks very remarkable, but Mr. Burnett, very sagaciously, punts out that the process lias taken G7 years, and that had tho original £600 put out at interest tiie return vvouiS have been far greater than that registered by tho property. Our informant pointed out that in tlio sixties tho rate of interest was as high as 10 and 12J per cent., and as a high rato of Interest.meant cheap land, the values did not advance materially. In fact, for the period Mr. Burnett's father held the section—from 18156 to 1803-tlic return was nowhere near what could have been made by letting the money cub at interest. Since then, however, tho place had progressed, and tho reward bad .come to the property. Mr. Harnett stated that in 1376, when bo commenced dabbling in money matters, tho ruling rale of interest was -9 per cent., and it came down very gradually to 1 and then 6 per cent. That tlioro is iiot a very fat averago"roturn from long-held properly Mr. Burnett testified by quoting cvidesiro he had Riven in tho Court in connection with the taking over by tlio Government of tho Jhuik of Australasia's,. ■ site in the Avenue. /" "When I gave evidence," said" Mr, Burnett, "tho Judge asked mo what I looked upon as a fair interest return for city property. In a thriving town I said I would regard 6 per cent, as a good return, in fact would purchase snob property if it was showing a clear return of 6 per cent. 'fht> Judge looked rather surprised at this, but it, is very clear—a u per cent, return in a prosoerous town might mean a good deal more to the investor n.littlo later oil.' 1 am, perhaps, tlio largest owner of city property iu Wanganui, ami I re-r gard (i per cent, as an attractive retain. I don't make any more all round. I c-o n't mako 0 per cent, on suburban property. J. have never made G percent, on suburban property!" • To illustrate his jiuo of thought and action in regard to tho purchase of .property, Mr- Burnett said that one night a man camo to his lious-o and ofl'erod him a certain piece of land at- a certain price. On asking what tlio laud was returning tho owner said 14s. a weak, tic told him that it was a very poor return, but still, within threo minutes ho had paid a deposit on tho property. "That didn't return me 3 per cent.," lift said, "but I had art. idea that- it would be on& day useful for other than residential property. Today it returns mo 10 jief cent. Still, \ tho aver-ago return lias to bo taken over * the years when it onty returned "2 pgr cent-. Some of my property on the Avenue only retufns J per cent., but . I daresay my. -estate will realise a good deal more than that in tho future." Asked -to quote tho highest <price realised for land on tho Avenue, ' Mr. Burnett said that tho price paid by the Bank of Australasia, £170 per was probably tlio highest, but :bo would iia.rdly call tliat a fair value. , It was rather in tho nature of a, fancy price; still it served to sbosv the- trend in midcity values. Confidence in Wanganui, "■Confidence in the future of Wanganui ? I sho-uld think I had!" said Mr. Burnett. "Do you think I - would -My property as 1 do if I hadn't, confidence m tho place, u lam n rfircetor 'of 'tho' Wanganui Meat, Company.,, a.nd can: r<;-; member a ..little function hold at the Kutlaud Hotel twenty -years ago, at which 1 drew a picture of Wanganui if a harbour could bo made out of tile mouth of tho river. 1 said that the prodbsts' from 30 miles to tlio, north, 30 : n.iiles,.to the south, and 60 miles buck would find an outlet hero, and working it out on tlio lew computation of 1J sheep to tho acre, presented sonic astonishing tig-urais. And then only Bs. was being paid for fat-wethers that ivero now bringing l!)s., ■and wool was bringing only 6(1. per lb. There's the country, and there's the month of tho river stilt the snvue, but titers is more than n loaeonablft liop» that within three or four more years wo will have the big steamers coming'inSo tiie port of Wanganui. That Wins..i;«». wiiy shouldn't I have confidence in Y\Viiganu'i? When it comes to that ,v«8 Will find that- WnagiU-mr will he tigiii-n.; Wellington as far south as Pa'nior.sloN JCofthj and north to T,\\n, not ««lv in connection vritli the export trade, t«;S with transhipment! inward."