The Municipal Leases.

Horowhenua Chronicle, 28 July 1910, Page 2

The Municipal Leases.

— DEBATE AT LEVIN COUNCIL. HOW Ti-Ilfl MAYOR PROPOSES T(0 DEAL WITH TIIJCM. A special meeting of tho Levin Boi<oiigh Council was held bust evening at the Council offices, Oxford, st reet, when the .Mayor (Mr JL J{. Gardener) presents! nn important report 011 tllio question of the municipal leases, section 8, block 11. The report and recommendations mul as follows— 1. That th*e present niisu rveved portion of section 8, block XI. be surveyed and .sub-dmdt'd, laaving front-ages as follows:— Feet Section Now leased bv frontage 27 F. W. Pink' 21 28 W. IT. Wilson 28 29 Thos. North 33 30 I<\ Weitxel -10 31 Henry Anstico 40 32 T). Smart 41 33 R. W. Bradley 9.5 31 R, W. Bradley 25 35 A. Corson 26 3G . Geo. Smith 24 2. That public notice bo given that the unlensed sections in Bath street: i.e., 1, 2 and 3. and sections 6, 7, 9, 11, 12, 14, 16, 17 and 19, 27, 28, 29. .10, 31. 32, 33, 3lj 35 a*id 36, situated in Oxford street, and sections 8, 10, 13. 15, 18, 20, 21, 22, 23. 25, 26. situaft l in Chamberlain sltrcot, all of wliieli sections are part of section 8. block XT. will be leased by public tender or auction, in accordance with the. Municipal Corporations Act. 1908. section 138. 3. Tlint Hie term of tlie lease shall be for a period of 21 years with right, of renewal for a further term of 21 years, in terms of section 136. «uih-swt.ion B of the Municiiwl Cornnrations Act, 190S: i.e.. that 'the his executors, administrators or assigns, shall be at. liberty .it anv time prior to tho expiration of the term of his lease at his or thoir option eith.(-r:—(a) To have a new lease for .a furtiher term of 21 years containing 'all the same covenants and provisions (inoltrtTinig tin's present provision), at, a vent to he fixed bv valuation of the land only withnut roornrding the value of if 1 i<e buildT ii"s or iniDi'ovements thereon, or To have a new lease for n. further term of 21 venrs. containing the

same eovona nts nnd provisions (including tliis present provision) put up to auction at the upset price ot tli(! anniuil value of tli-e land only to be fixed by valuation), without regarding tlio value of any buildings fir improvements thereon, subject to ;i condition 'that in the event of amy i»:-r:-'.fjn other than the lessee, hi'.s executors, administrators, or assigns becoming entitled to such new lease, j)n'ii_ s'i;•!i pel "sun .shall, before being lofc into possession, pay .Hie lessors lor the benefit of the lessee or hi.s "f-signsj tlie vialue of such bu.i]din< r ,s and improvements (to be fixed by valuation), whether erected for made

l).v the lessee, his oxecutoi's, adminisirators or assigns or nnv fonne.r le.sseo o.r teiiiant of all or any part of lands included in tlbe Tense. I hat evorv valuatirMi required to be ma do uii'der tlieso presents shall be made by two di-interasted per'nn«. to he appointed in writinjr, o'lio by the h\ssors and the othier by the lessee. Such persons before entering upnn the. yalunlion tc,aether to '•ppa-int in v.-ritinji f.heir reive hairdo n valuer who •hall he an uiiijiire as between them. The decision of smdi two first, appainted it 1 they ae'rei. 1 or in -ue.h respects as they aeree. or oi 1 ■>ucli thir l valuer fir nmpiro, if they do not in .such rcspet't.s a." t.liey (!o no'! siliall he hindo'iig on_ all pirtie.s. Tho duty of sueh third valuer or umpire, en reference to him of any ipie.-.tion unileir these presents, shall he to analyse the respective valuations of the first two appointed in the matters in which tlvt'ir valuations shall not. a:iree. and thon to make an indeP' lidi'iit and substantive valuation, whiidi last nieiitioned valuation sliall be the decision of the third valuer

"i" umpire: provid'cd always that in niakiiip; sueli decismn on any nupstiou referred to him. i'ho said' third valuer or umpire shall in every ense he bound to make a valuation not ex•eedinp; the hiajlior or less tlian the 'ower of the valuations made by (ho •ther valuers resp:eet.ivelv. ) ' hat' I'o'hine; contained •':>a!l be deemerl tfi renden' the lessors liable (o pay to the lesseo all < . mv j'.art of (he value of any buildups or improvements upim ;miv valuation made under the fo-iM'jioiujj; provision;, save after liaviipr iv;'c:v<v| 'he amount th-er-of for his ben.'tit. from any incoinrnK K'.s.see. I'lr.'t if _, iu the ev'ent of any vaiua-

:;;.n having t:> he made uivden' any rw She provisions in that behalf ibe'rein e.m ta:i!l'd, either party shall fail to ipp;.int in u'ritinp: m valuer who will onsent to act. or shall fail to.servo •m -the other party a mitieo in wnt- ;,, fr n f end; a.ppoiii'tnieiiit haviii"; heen made witiliin 21 .(lavs after hriiig serye.d by thy ofiher painty with a notiee 'n writing of the appointment o( a vainer hy sueih party, tlveii the vainer appointed hy tJie party 'riviii'r sueh la,st mentioned notiee -sill make the reqniml valuatien ■jlone, ->nd sueh valuation .shall It-. !i"al ".iid oonelusive on nil jwj'i url a similar fn-til valuation si mil he the.r valuer shall refuse or ivogl-eet 'direr value irhnll refuse or ireg!" ■■ to aid. -I. That the hnste of any ol ti:o • ."veetioiis fronting oh Oxford .sf.ree: -.hall not, except with the writ Imi •en.s; nt of |.':o U-wors lirst obtain:!, re- 1 t 1 hereon Imiklings of a iis.s value than 0250 tor each see-tiun wiih imper: !.i\e iinderst-andinjr he.re in lot lie a briek or eooierere .>:! iviu,'j; wall betiveen eaeh si•'•tioa, r ; :i -•' ' -iiie i;-iens as the. l>:!M>n<2;h i>-v----provider. •). 'I'iat_ tlie J-nS'-ee of any of t!ie vx-tions Iront.iinr on Chamberlain ■.U"> rt shall not ere-t any dwelling:nnse thereon of a kss Ve.liK; than 0 r.r any <tf:_er hnildiiiir thereon without tire previous tw ibiien eon sent r )f the Couneil. .*'• each tenderer shall furn Ml vis.i his tend')' n sum wpial to IT, •y-r cent, of thp amount of his ten•rl'.. -IVI that in case of n .iderer sue.) sain shall he '-rediii'd ~i :m • !!S ikwVl on aeconnt; of (,lie •;"sM.alf-vear's re'it: or. Tlm.t ca.'-ii '"II a', the fall ;: f the

') mn.-r pay to -'xnf-l:r.ii,j* asnni 1' ! . ' M ' r of t?ir miifinit '1 -.i:s that amount slid,] 1,-j ! l:iin 'is boin't paid on acfii• h half-year's rfjifc. 7. Tli'-it tbo rentals payable in renf ; ;»y s-y.-U.cn rhnll bo povabl" 'mlr-vmrly in advance on tlie']4th av of tho mouths of March and Sep. Member in enrli y ß provided always -if po.sse.ss-ion is ifiake.'i -i_llict before or after anv of the afore.".arl day* f.], s fj rs t half-year's ''out si;-ill li» apportioned according-

8 I bat the le«seo atrl Ids anfl,tli«ir under-lessees and uwlor-tenawls sh,-.]/ not nor noil at any time or times call fbo Wr.rs to join in or onnu townrrLs the owl ton or inaini r'mnr-o <-f finy fences. p. That slin 11 pay all ra remand tnyes cli-M <Tes, assessments '"i-l whatsoever, to be '* rate;!. nw/>ssed. or imprwvi in rrsjrrt of the nrsmiw of wh-b in ™ T^ 6 '! 13 ' he " the *»nanf.. 10. r inf. |1- t . sb.nll i„ s „ rf , ; * tta Conn"il tbo bnild-'ii-r or bnil'lin.rs for tV- time boirrr • ■ I ', l 7 ' lni T l " ,u ' b-swl bv him in tl.o ful , n «nr.nbla t-bor^f ; n "iSJSJ* ¥* f. raW)fs :.i lesppct of such nisnranoo sliall be

forthwith laid out and applied in rebuilding or reinstating the premises in respect ol which the sjiicl money shall have been received. 11. That eaoli lessee within (tune to be stated) from the date of tho sale, or from tho date of acceptance of his tender,.shall execute a valid memorandum of lease to he prepared by the. Horough Solicitors (whoso charge will be C 3 3s, exclusive of disbursements, ami whose charge sluall be paid by Hive lessee. Provided, where any person shall bo declared the lessee of more lots than one, the costs of the pre.pa ration of the necessary memorandum of lease shall he arranged between such person and the Jlorough Solicitors). Such lease to con tain all usual covenants and the provisions hoi win .setforth. 12. That the upset yearly rental ol the various sections shall bo as under : —

In respect of sections 6 ,7, 9, 1.1, 12, 17 and 1!>, situated in Oxford street, between the corner ol Baitih street and Geo. Smith's section, be an annual rent of Lis per loot. In respect of sections 10, 13, b>, 18, 20, 21, 22, 2.'i, 21. 2o 'and 20, situate in Chamberlain .street, be an annual rent of 30s per section.

11l respect of sections 0, 7, i). 11, under set out in the first column hereunder, the upset yearly ground rental for each section shall be the sum set out in the second column hereunder opposite the number of each section, wilh an addition of an animal rental payable on each building at present erected or standing ou such section as set out in the third column hereunder. Provided that in the event ef any lessee at any itiine erecting new premises on bis section in place of the premises now standing ■thereon, be shall not be refill'!rod to nay the sum set outill the third column hweunder. but shall continue to ray the ground rental as aforesaid. Xanie Xo. Frontage. Pink 27 21l't (11 ft) Ci:> £30 "Wilson 28 28l't(£lft) £22 £50 Xorth 2!) 33ft. (C Ift) £17 £50 Weitzel HO lOl't (CI ft) Clo Coo A notice 81 40ft(CI ft) £10 £n0 Smart .'l2 -lilt (Gift) £20 £01 Bradlev 33 Soft (CI ft) £I~> C-IO Brad-lev 31 .~>2ft CI ft) C2"> Corson' :r> 20ft (Cll't) £10 £30 Smith 30 2111 (Clll) Clo C3fl Stiles 1-1 £10 ."2 (1 -"'s I't) ;C2o CO I lA' 8 C' 3 per annum ClO £13 That the Council reserves the right, in the event of any building or erection, or any part- thereol on any of the snid sections in their opinion becoming unlit for occupation, or dangerous to public health, or falling into a ruinous and dilapidated condition, to order the lessee to rebuild the whole building or erect-inn or to reinstate the part- of such building or erection so condemned. That where any lessee is ordered to reb'i'ild in accordance with the foregoing paragraph or intends to rebuild on hi* own initiative then and in anv <U"h ca«e he siVall' forthwith notify the Council of his intention so to do, and on receipt of such noire the Council shall dispose of such old building in such manner as it shall think" fit. and the proceeds, if any, of snub disposal shall be the property of the Council.

The Mayor, at the outset, said that he thought it would be impossible to settle the question of the leases that evening. He propose;! to give a general view of the report which he had submitted, and that would allow the members an opportunity of discussing the report as a whole. There was no doubt, to his mind, tint the matter was one of the greatest importance; and one of the most important, that the Council had ever had to do with. The Council owned the reserves, and it recognised in them verv valuable assets. The trouble was how to deal with them. The man in the street said j it. was an easy matter. The tenants on the rrserve said a similar thing, •led oiler p-Tsons expressed the same opinion. Rut the Council had to studv the master from a business point of view. They had not to consider e.wactlv what tenants and landlords told them, but they had to consult the interest of the ratepayers and do justice by them. The proposed leases were practically perpetual leases. They went on from 21 years to 21 years, and therefore councillors would see the very gwat importance to the ratepayers it was 1 that there should he an eouitable arrangement, The riucstion was a very difficult one, and the report he liatl drawn up had taken very considerable trouble and thought. (Hear, hear.) He had to get legal assistance, and the result of that legal advico had lreen to wipe aside Tots of technicalities. On the question of building and re-building, the .Mayor Raid that he was opposed to compelling a innn to pay C'oOO to put a building up on the reserves. Iu his opinion that was not fair or just. He was of opinion, as he stated in his report, that the minimum sum should be C2oo. With reference to tendering or auetioneecring, the Mayor said lie thought auctioneering in public was the better system to adopt. Mo far as the valuations he had drawn lip were concerned, he believed they were fair and just. He had decreased the valuation of certain sites and buildings. It seemed to him this was the time to submit those sections to tho nnblic. Tf the council delayed an.v longer it would find itself in a serious position, and he asked the council to try to get tenants for the properties so tlnat a substantial revenue might, bo brought into tho horom'h. "With regard, to the question of building. Mr Gardener said it was not his intention •to alter the present position of the frontages. On the question of compensation, he thought if would he wrong—in_ fact impossible—to pay compensation for the buildings. If the council decided in favour of compensation it might as well go to the present owners and let them have the land at their own prices. Of course all kinds of tilings ware being said on the matter, and he had heard some very hwhsli statements. Whatever certain persons might .say, the Council must put its back to the wall, and .see that justice was done to the ratepayers. The council had no right to give anything away which justly belonged to the ratepayers. Applause.) There was only ono building oil the reserve where an exception might be taken to, and that was in the case of a man who had only ,jiist got his money back. That man had, unfortunately, at the start, been led astray. The Mayor went on to say that if the councilAccepted his scheme it would .ret a very fine revenue for the borough. Home members conscientiously l,eHv ?! at , a roa ? t'lroiiffli the centre ol the block would increase the value of the sections. In his opinion such a road would bo detrimental. (Applause.) It. would result in a grout lass or .revenue to the town. He nugh.t have spoken strongly, but it was necessary on such an occasion to speak -unambiguously. "It was a question of doing justices to the ratepayers, and ho felt perfectly satisfied that if those who were present in tho chamber were in the position of the councillors they would adopt the very same policy. -Tn concludiing, the Mayor remarked that the -future prosperity of the town lay in the hands of the conn oil, and it had a perfect right to view tire matter as though the sections belonged! to the councillors individually. He that the report be received. Cr. Hannan considered it a, pity that the council could not make a uniform system of sections. He hoped that the proposed 'right-of-way would' not be considered seriously. He would 1 strongly object to any right-of-way.

Cr. France remarked that in the interests ol' the ratepayers the council ought to bake the buildings absolutely. He suggested that l.u council wait till the leases uvre abou, to fall in and then to treat iv.-h tenant individually. The Mayor: \on cannot do that according to law. _ . Cr. I l 'ranee (continuing) remaikul that tlie real struggle would take place over the buildings. Ho thought: the borough 'had a right to them, and he was not m favour ol compensation. Cr. Palmer considered that the import was a very good one. I here were, ol' course, little points that he would like .enlightenment upon, lie niiite agro od with the proposed prices iind said that the Mayor's ratw were fair ;ind equitable, lie objected to tlii' suggested C2oO lor buildings, and urged that it ought to he more than that. He would go as far as to sav. increase the C' 2.10 by C2OO. He hoped the council would adopt the scheme of public auction. He would like some information on the question of compensation. Cr. Lancaster told the Mayor that he had placed a voluminous and illuminating report before them. It bad been said that the Mayor's propi il that buildings should not be riv'.'ted of a less value than C2oo was in-deouat e. TFis view was that the enoitcil ought. to make things as easy as it could for the tenants. Four hundred and fifty pou.nds. to his mind, was utterlv absurd. He tliinigilt it would be a mistake to m ike" the sections into a uniform

Cr. Cameron congratulated Mr Gardener on tho report, which was a fair one. both to landlords and tenants. but at the same time he would like a little more time to peruse it. TTe expressed himself in favour of public auction, and objected to the mad, which some outside persons se.-Miied t-o favour.

Cr. 'Mackenzie was very glad to see the Mayor climb down from the high prices that were put on the sections twelve months ago.

The Mayor: They were not my prices. Cr. Mackenzie. Cr. Mackenzie: The council put on the prices, with the exception of Councillors Haiinan, Cameron and. myself. Levin was a progressive town, and he saw no reason why prices should come down in the way it was proposed they should came down. Why were the prices put down? Simply because the previous prices were outrageous ("oh"). lie wanted to see rtspeetable houses erected, because it no ant stability to the town, and stability meant its future development. He was opposed to the proposed road through the sections. Cr. Williams supported the

scheme, which was a lair one, although one or two points needed clearing up. For one thing the valuation of the rental of the buildings was too high. He was in favour ol public auction, and expressed opposition to the suggested roadway.

'Jr. I'rouse also supported the soke me. and said that if the tenants could not s.e the advantage of the scheme he had previously drafted that was their own look out. He thought one of the best features_ of the report was that section which said that "the council reserved the right, in the event ol any building or erection, or any part thereof on any of the said sections in their opinion Ikc;:inii::j: unlit for occupation, or dangerous to public health, or tailing into a ruinous and dilapidated condition. to or'er the lessee to rebuild the wliole building or erection or to reinstate the part of such building or erection so condemned." A great nl of credit was duo to the Mayor for bringing forward such a workable proposal as he had done in the report. Cr. Areus said that he had pleasure in supporting the Mayor's proposals. The Mayor .in summing up the debate, thanked the council for its friendly criticism. Of course it was iniposible for anyone to bring down a perfect rep-art. He had undoubtedly worked very hard on the matter. and he knew when he had concluded his report that it might be improved upon, and, therefore, he had invited lull and uninterrupted diseii sion upon it. He was sorry the report did not get into councillors hands at an earlier stage, but it could not be helped, and he repeated that lie ha:! been most busily engaged up.'ii it. In fact, he had slept with maps and legal advice during the last fourteen days. The Mayor concluded by replying to certain ci'iticisin.s. and said that the suggested uniformity of frontages wao impossible in a town that had reached i!u . sizo of Levin. He traversed tlio contention of Or. France that the time had not arrived for dealing with the leases, and emphasised the fact that he did not want to see the tenants scattered, ft was li.'s wish that the present tenants got the sections back when I.ho public auction came along. The councillors would have an opportunity at an early (Into of discussing the various clauses of the report. The Mayer's motion that the report he received was then unaniinondv agreed to.