THE BEACH SECTIONS.

Manawatu Herald, Volume XXXII, Issue 842, 21 May 1910, Page 3

THE BEACH SECTIONS.

At the special meeting of the Harbour Board held at Palmerston North on Wednesday, the lessees of sections at the Foxton Heads waited on the Board in reference to certain conditions of their leases and also in connection with the proposed road to the heach. The deputation comprised the following : Messrs Mounsey, Bell, Kirk, Bennett, Turner and Tortenson. Mr Mounsey acted as spokesman. He said that a certain amount of difficulty had been experienced in getting the leases fixed up satisfactorily. The conditions as read at the first sale had been since amended, and everything was agreed upon with the exception of one condition. That was in connection with the increase in the amount ot the rent after the first 21 years. The Harbours Act laid down that the rents must be increased not less than 50 per cent. The tenants asked that the Board fix this increase of rent for the last term definitely at 50 per cent, and no more.

Mr Wilson said he thought that the lessees request was a reasonable one. Of course the Board must guard against the lessees making handsome profits out of the sale of their leases should the properties eventually become very valuable, which it was reasonable to suppose they would and have a clause inserted to the effect that in the case of a transfer of the lease the condition in reference to an increase of 50 per cent, only did not apply. Mr Gardener opposed the suggestion. He also questioned the solicitor’s opinion on the subject. The opinion expressed by the solicitor was that the increase for the last term meant an increase on the rent fixed after the expiry of the first term, whereas Mr Gardener contended that the increase referred to the original rent only. In any case he asked why should tha Board bind themselves down ? The property at the end of 21 years might be worth twenty times its present value. He would point out that the tenants do not come down to Foxton for any philanthropic purposes, but for their own good only. The future revenue of the Board must be considered. Mr Wood said that the sections were only in use for a short period in each year, and he thought the Board would bo quite justified in acceding to the request of the lessees.

Mr Nash, who had given notice at the previous meeting to move in the direction suggested by the lessees, also spoke in favour of same. He said that when the sections had been offered by auction, there was nothing in the conditions read at the time about the increase of rent for the last term, and it the Board refused the request of the lessees it might place itself in an awkward position. He moved that the resolution carried at the meeting held on May 2nd, objecting to the lessees request in reference to rent for the third term of leases be cancelled, and that the request of a 50 per cent, increase only at the end of the second terra be granted, conditional upon lessees agreeing to pay a minimum rate of 10s towards loan for road. The motion was seconded by Mr Tolley and carried, Mr Gardener alone dissenting.