HIGH COSTS

Taranaki Central Press, Volume IV, Issue 451, 5 June 1937, Page 7

HIGH COSTS

CARPENTERS IDLE Building Of Houses Auckllhd, May 31 Apart from the houses being built at Orakei under the Gov.rnmenVs housing scheme, the bu.lding trade, as far as the' construction 0.1 dwell-| ings is concerned, is slack in the metropolitan area, and the secretary ot the Carpenters’ Union, Mr. J. G’ Ken nerly, reports that approximately 200 members of his union are unemployed. One build r stated this morning that up to recently he had been doing a number of jobs simultaneously, but they had all been completed, with th exception of one, "and when work was finished there he would take no more contracts, as conditions were too bard. "I would be better off on wages,” he said Inquiries among builders ' and contractors elicited the information that the prices of material’s were so fluctuating that it. was unsafe to quote set prices for a job. H- said he- could ;how figures to prove that three years ago he was building five-room-ed houses at from £4OO to £425, while to-day he could not do the same job under £750. “When I quote prospective purchasers such a figure they look aghast,” he said. State Houses. “Everybody appears to be waning to receive one of the State houses,” said another builder “It’s just a shame how many will be disappointed. They are- all living in hopes, but the number of houses that will be available for the public under the housing scheme will .not be nearly sufficient to meet requirements. People who are not contemplating a State house are holding off, however, as they are curious to see, what the dwellings will ba like at the price they are being constrnc'.ed for befor. committing themselves: for their own particular requirements. A contractor who formerly built a large number of suburban homes that nek only had the price of materials risen, considerably but the market was unstable. Nobody knew from day to day what the price ol any commodity would be He, iii common with other builders approached, spoke of what they termed the rcstrict.-d legislation of the Government. Fares hac to be paid to- and from jobs and a special permit applied, for if a man were required to work on a Saturday The former 48_hour week had been reduced to 44 and thfin to 40. “An, one wonders why building prices are high,” he added.

A Disturbance. “The building trade has been disturbed considerably by the Government’s housing scheme,” commented the representative of a business’ con. cern specialising in building materials. “Everything was going on smoothly until the Government came into the picture,” he said. "A standard is now being set, and it is only : natural that people wish to see what I the State houses are like before they I go in for individual purchases. Others eontempl King building a home are holding off because they see that the workers whom the Government set cut to help will be unable to pay the rents demanded, and they feel that, they will have a chance of stepping Into their shoes. In the meantime, there is a building slump The money market has also an influence on the Position and as far as building firms ate concerned in some instances the M ate Advances Corporation is not too willing to make advances.” Local authorities, including the Auckland City Council, all report a falling-off recently in the .issue of permits for the erection of dwellings. Since April 1 the Onehunga Borough Counc;! has only issued itwo. Speculation Dead. A retired builder said that the speculative element in the building trade was dead He had been offered some "snips” recently, but would not touch (them with a 40ft. pole. He was ■irmly convinced that nobody could make money out of rented houses. "That day has passed,” he said,. “The risks are too great. Government legislation of recent times has placed so many restrictions in the way that the landlord has no say. i-ie t s re _ garded as a pariah and everybody is out to take him- down.”