The Lyttelton Times.

Lyttelton Times, Volume VI, Issue 346, 23 February 1856, Page 4

The Lyttelton Times.

Saturday, February 23. The sale of the property handed over to the Province by the Canterbury Association have, as yet, realized a very good stun. We noticed the other day (he first sale of Christchurch Town Reserves, which fetched £1,100 over the upset price. On Wednesday Inst, another sale took place, including the Jail Reserve, at Christchurch; the Store at Sumner ; the Brick's Wharf, at Christchurch ; and the Heathcote Wharf Reserve. The whole upset price amounted to £(ioo ; the property realized ,£915. Yesterday, the Hospital Reserve at Lyttelton, which was put up at the upset price of £50, realized £125. The system of sale which the Provincial Government has adopted is,'we think, a very judicious one. It will he remembered that by tie Ordinance the Province will not be called upon to pay off the Canterbury Association Debentures for ten years, but that in the meantime we must pay interest upon these debentures at the rate of six per cent. Now the rent derived, at, the tune of transfer, from those porticos of the Association property which were let, would

not be sufficient to meet the annual interest due upon the debentures ; an advance would therefore have to be made out of the Provincial Revenue to meet it. Meanwhile, a large number of Reserves, including the large and valuable Town Reserved Cliristcliurch, would not, if held by the Government, realise a rent sufficient to »ive much assistance towards the payment of the annual interest upon the Debentures. At the same time it was feared that to force the Reserves into the market while the Province was so young, and while money was so comparatively scarce, would be equivalent to sacrificing them for a very small part of their value v Under these circumstances the Govern^, ment resolved to sell them under the conditions which have been made public. All deposit paid on purchase money are carried to the capital account of the Debentures' Fund, and go towards decreasing the capital of the debt. All rents accruing, or interest due upon portions of purchase money not paid up, go towards the payment of the interest on the debentures. We observe that the Provincial Government require 7 per cent, interest upon all the purchase money not paid up, with a view, doubtless, to the covering of all expenees by the 1 per cent, over the amount of interest payable to the Association. We believe that there is every prospect of the payment of the Debentures' interest without any further advance from the Provincial Revenue, and that when all the debentures are paid oft', there will be a balance accruing to the Provincial chest from the sale of the Association's property.

We never had any doubt but that the property handed over by the Association was more than equivalent in value to the amount claimed by that body from the Province : we did fear however that the immediate burden upon the Provincial Revenue would be very heavy. We are glad however to find that, thanks to the judicious arrangement of Government and to the confidence in the future prosperity of tiie Province shown by the public, there will be no great difficulty in meeting the liabilities which the Province has incurred in accepting the functions of the late Canterbury Association.