THE SPECULATOR'S SHARE

Pukekohe & Waiuku Times, Volume 3, Issue 205, 19 June 1914, Page 4

THE SPECULATOR'S SHARE

In Raising Land Values.

The " Swopping " Evil.

Denounced bv Auckland Land Agent.

'The increment in land vplues during the last 20 yens has been generally greater than has been justified by tha I igher returns obtained in later years as the result of improved markets, better methods of wurkirg, etc. . . . Clea r ly vsl ics of laud-dairying land especially—are adjusting ihemiclvcs at sjch a level as kavc* no room for the 'slip-shed' farm<r." ' As reported on page 4 of to-day's "Times", the above declaration by Mr HarolJ Beauchamp, chairrr.an of director.] of the Bank of New Zealand, at th 3 annual mieti gof shareholders was the eubject of Ecms ir.teretting comments by Mr Bart Kent (president of the Auckland Chamber of Commerce;, and Mr H, E. Vaile, a 1 ading Auckland land "1 have; lead Air Leaiichamp's remarks respecting the wone'erful increase i.i land values, and to a vrry lmye txtent I am completelv in harmony with his views," declared Mr Kent. "i am of opinion that land values are too high at the present time, and that the ratio of increased revenue from the land has not kept puce with the tremer.d.us increases that have bte.i going on fur some time past all over the Dominion." OPENING UP THE LAND.

"Cheaper land is essential for the well-being of the ountry, and the WBy to ebtain it is to swiftly open up all native lands at reasonable figures. By that two things would be accomplished. It would steady the prices uf existing cultivated lands by easing the deriand somewha\ and it wo:ld encoutuje the p-cditable occupation ot much excellent country now practically laid open." Mr Kent proceeded to sugg.st that in opening up native la di the ballot shoeld be retained, for he could not see anything fairer than that system. Swift and resolute action en the part of the Goternm.nt was required. In selling the land through the ballot the Govctn:nor.t could fix an ups.t price if necessary. Sprcuhtion had to a c r'.ain extent influenced land valuep, and a number of cases had come undo: his notice in which farms had been paid lor over and over again, not for the jurpose of farming the lard, tut fimplv for speculative ends. "Undoubtedly there had be:n a lot of gambling in lard in New Zcjland," continued Mr Keit, "and that is an unhealthy state of things which should be stepped if such a task is pa sible." Emphasising his opinion that cheaper lans were necessary, Mr Kent pemted out th:t a great competitor with New Zetlard butter was making rapid 1,, adwsy in . the shape ot margarine a:d the butter substitute, rnd it wbs just hs well that farmers acquiring land at eurrtnt enormous Dries should Lear in mjsd that important factor.

'J HE ".-V. ol'l ING" OF rKoi'KUMl ii K. V:'ilJ «'!) C Mil l::.!l l\li:.t Mr I!. U li.-:: ps i I about It value of ilaiii;.tij: lai ds v.;:i infc-ctly fir, b.t il;c lii.fj-tucato Ihiiijj •vji-:, a3 far aa ih:? Auckland pr. vir.cc wis c.iucrmd-particularly during the lart twelve months— that the swoppirg business in faun pnpeitiea had given t'j a Limber of l>rms an entirely iktilit.es v. luc. However, t'i c ptMrtic? of ex'.hargirg wru li'it likely to be ar.vtl.-Jng like us great in the future as it had bi.e'/ in the past, because of the reeent rmciitlmciit in ihe Stamp Art, whkh main all exchanges of property liable t; s amp du y. Hitherto the duty Lad merely tictn en thj c'ill\r rce in the valu! of the two i rDpcrtic?. He an»i ipzted thai ell et would be that when people exchange! properties they would (io it en 11.c tuo vai-.e instead of on Intitinus valu:p. While i.e did i.nt re,template any consid table i:icrea:e in the p:icfs of lard in the future, hi did not think there would be any l.nrter.cy to fal ! . "Ihe most striking f<atu:e of Mr Beauchamp'a speech," c--,ntii ued Air Vaile, "was the comparison between the South Island aid the Notth bland. A latere prcporlion of the increase is djo to the progress oi the North 1.-land and the enormous improvement in the land, tut the l.est thing that could happen to the North is that the Government should buy up all the Maori Unci they possibly can, and, in9tead of Ellowing the private speculator to reap the tremendous profit he has done in the past, th.y shoull themselves sell it to the man who will give the highest price." THE STATE LUCKY BAG.

Mr Vaile had seme causiic observations to make with reference to the Land Ballet Act. The Government was at the present time fathering a lottery, a sort of State art union, and the m:n who drew the prizas in the lucky bag sjld it, and prcbahly made a huge profit. "The problem that rcats me," continued X'r Vaile, "is why those profi's should net go to the Govtrr.ment, instead of the private speculator. There is no earthly sense in the G.jv>rnment gelling the land at lidic-ul.u'ly la* prices and allowing the buyer to rmke tte profit. They should themselves leap that benefit and ri:ad the la;.d with the proc eds. This would put u wh-jlu Lt of land on the market, which would have a studying infl.ier.ee."

Asked whether he thought that the speculator had be<n a greater influence in givng fictitious valuss to lands than improvements end lie natural progresi of the Djmir.un, Mr Vaile replied that improvemen h and toe gaud market were probably the primary f; ctors, but the tpeculator had cert ir.ly don: a great deal towards raising valjes. llowLVur, a?ainst Mr b'eau:hamp's computation as to the relative value of hud an I r.v.huc new and twenty years ago haJ had U be plaeul the facts thut whereas interest on muncy at the b ginning of that petiud w;.s about b pei' cent., the man borro/.kg of late years could ret it at •!*. Things will be lev.lied out a great deal if the Govern mei.t will pursue a mow vigorous hud policy tlmn it ij doiig i.ow," he con.Lei.d.