PRICE OF LAND

Otago Daily Times, Issue 24226, 19 February 1940, Page 11

PRICE OF LAND

CLAIM FOR COMPENSATION DISPUTE WITH BOROUGH COUNCIL A sitting of the Compensation Court was held at Queenstown on Tuesday last for the purpose of hearing a claim by John Edgar against the Queenstown Borough Council for compensation. The court consisted of Mr H. J. Di«on, S.M., Mr James Shaw, assessor for the Borough Council, and Mr W. Gates, assessor for the claimant. The case concerned the taking of a piece of land comprising sections 16 and 17, block XV, town of Queenstown, situated on the waterfront, and measuring 9.6 poles. The land was formerly occupied by Mr J. Fraser. The council wished to use the land to continue its waterfront improvement scheme and offered £BS to Edgar in payment, but the claimant asked for £350.

Mr W. A. Harlow appeared for the claimant and outlined the circumstances. He stated that it was the intention of his client to erect a substantial building on the land to cater for speed boats, aquaplane, water shoot, to house dinghies and. if necessary, to provide a dance hall. It was claimed that the land, owing to its proximity to the lakeside, was specially suited for the purpose set out. It was stated that the previous owner sold the land to the claimant for £ 100. The claimant was approached by the Borough Council and asked to sell the land, but he declined. As an alternative, he offered the land to the council in exchange for another section on the waterfront, but the council declined the offer.

Mr C. H. McKay, who appeared for the council, said that for several years improvements had been contemplated on the waterfront sections, the intention being to lay down grass lawns. When negotiations with the previous owner, Mr Frasef, broke down the council endeavoured to buy the land from Edgar, who had purchased it from Fraser. Nothing came of the effort, a,vat that time he set a value of £BOO on the property. regarding it as a business proposition. Counsel considered that Edgar’s plans were nebulous, as no complete agreement . had been entered into by him. Moreover, he could not have set bp business because of the terms of an agreement with the Mount Cook Tourist Company, from whom he purchased the present old garage building.

Giving its judgment after hearing evidence, the court stated that it did not think there was a market for the sections except for the claimant, whose claim that he was going to start a boat-hiring business was considerably iu doubt. Evidence had been given as to the sale of, other sections, but those figures were based on valuations made in 1930. but the court considered that property had risen, considerably since then. It was of the opinion that Edgar had obtained the section cheaply at £IOO. Considering all the circumstances and the evidence given, it was decided to fix the compensation at £l5O, each party paying its own assessor.