EMPTY HOUSES

Otago Daily Times, Issue 26624, 21 November 1947, Page 4

EMPTY HOUSES

Compulsory Letting Bill Introduced

LOCAL AUTHORITIES TO ACT

Parliamentary Reporter

WELLINGTON, Nov. 20.

The compulsory letting of unoccupied dwellings is provided for in the Fair Rents Amendment Bill, which was introduced and. read a first time in the House of Representatives to-day. The Bill states that if a local authority is satisfied that any house within its district is unoccupied and has for 28 days or more been unoccupied or only occasionally occupied it may, if it deems it necessary, having regard to the need for housing accommodation and other relevant considerations, serve on the owner of the house a notice in writing requiring him to let the house for immediate occupation as a dwelling.

The house may be let either furnished or unfurnished at the option of the owner. The owner or any other person having an interest in the property appeal to the local authority concerned within 14 days of notice having been served. The appeal shall be heard by a magistrate and the decision of the court shall be final. , __ On default by the owner, the House may be let by the State Advances Corporation within 14 days after service of the notice or after determination of the appeal. The house shall thereupon become subject to Part 1 or the Housing Act, 1919, as if it had been acquired on behalf of the Crown. The letting of any house by the corporation shall be deemed to be letting by the owner of the house. Rent for the house will be paid by the corporation to the owner, less commission not exceeding 5 per cent, and expenses, whether for rates, insurance, rent or repairs. The corporation may at any time hand the house back to tne owner. ,' ~ A house is defined by the Bill as any building or part of a building that is constructed or .adapted for use as a separate dwelling but does not include any dwelling in which the °w neY . oY a tenant ordinarily resides and which is his permanent home, nor does it include any dwelling that, by reason of its construction or location, is not suitable for permanent occupation. An owner is defined as a person who, for the time being, is entitled .to back rent or would be so entitled it the house were let to a tenant. An explanation of the Bill was given by the Minister of Labour, Mr McLagan, who said the Bill exempted a permanent home even though the owner might be absent. It provided for the inclusion of any dwelling that was not suitable for permanent occupation, for if a house were unoccupied for more than 28 days, power was given to the local authority to serve notice on the owners requirin'' it to be let. The Minister said the position in regard to .sub-letting was covered by the principal Act The most useful effect of the Bi 1 w ° be notice to the owners to let their premises. Experience elsewhere had been that this resulted in a large number being let and a comparat vely small number being c ° l T l P!i lsor 'i. y The Prime Minister, Mr Fraser, said

the Bill had been brought in at the express request of the returned servicemen’s organisations. The Government had investigated the operation of similar legislation in Tasmania and Victoria, and the other day had a further conference with the returned servicemen’s organisations to ascertain whether they felt the need for such a Bill was as great as ever. They felt that people should not have two or three houses when ex-servicemen were lacking them. The Bill also contains a number of miscellaneous amendments to the Fair Rents Act. It stipulates that the basic rent of a house is not to be increased because of the addition of furniture unless application is first made to the court and its consent to the higher rental obtained. Landlords are also to keep tenancy registers giving details of premises, name of each tenant with dates of commencement and termination of tenancy and rentals paid. An inspector of factories may appear and give evidence at the hearing of any application to a magistrate to fix a fair rent. It is made an offence to demand or accept rent irrecoverable under the principal Act and it is also an offence to demand or accept either from an outgoing or incoming tenant any fine, premium or other sum in addition to the rent in consideration of grant renewal, transfer, termination or continuation of tenancy.

Another clause provides for recovery of possession for occupation by one or more of several joint landlords. There is also a clause providing for the recovery of possession by a serviceman who vacated the dwelling to become a serviceman. Where several amounts are payable by two or more persons occupying a room or rooms, then the total of these amounts shall be deemed to be the rent of the premises. The principal Act is to apply in cases where services are provided, if meals or food or the cost of them to the landlord does not form a substantial proportion of the total amount payable by the tenant to landlord as rent or otherwise. The existing law that a tenant is not to be ejected unless the hardship caused to the landlord would exceed the hardship caused to the tenant is extended so that hardship to other persons can be taken into account.