SIR W. BUCHANAN'S ESTATE.

Shannon News, 28 August 1925, Page 3

SIR W. BUCHANAN'S ESTATE.

NEGOTIATIONS FOR PURCHASE. The Hon. A. D. McLeod (Minister of Lands) announced at Pahiatua on Monday night that the Government is negotiating lor the purchase of the late Sir Walter Buchanan's property on the basis of the Government valuation. Mr McLeod said he was not sure it was going to be payable even at that price. The trustees were being approached with a view to seeing if the price was reasonable, the object being to acquire the property for closer settlement. He believed the Government valuation was about £l6 per acre. Under the present law, applicants had the right to select under the renewable lease system, the rate of interest being 4J. per cent., less 10 per cent, for prompt payment. Administration costs would -amount to approximately | per cent., and roading would be extra. As it cost about 5 per cent, to borrow money for such purposes, the Government would lose on the proposition or have to add to the value of the property a capital amount to recoup the State.