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Sufficient materials are on hand to undertake- this work and a good deal will be completed during the next six months. Contracts have been let for buildings necessarv on the block and the contractor is making good progress. It has been possible to utilize various surplus buildings at present on the property to create implement-sheds, &c. r and it is also intended to transfer a barn to another part of the block for a community wool-shed. The installation of two water-supplies on the block will be commenced in the fairly near future. There is no doubt whatever that Taheke offers excellent future prospects to ex-servicemen. It is doubtful whether we shall have an opportunity topurchase many properties of this type. The property will be made available to-ex-servicemen shortly. Omapere (Locality : Hastings).—Possession of this block was taken in February,. 1945, but under arrangements with the previous owners Mr. Maurice Connor still retained possession of the homestead until approximately April of last year. The property is in an unfavourable rainfall area of Hawke's Bay and is definitely subject to drought conditions. The development of this block necessitates the re-establishment of pastures, clearing of gorse, and controlling rabbits. The fencing on the property wasin poor condition and a great deal has been done in the way of renovating existing fences, and a good deal of new fencing has been erected. When possession was taken two major water-supply schemes were in existence, together with a spring supply to the homestead. In order to cope with closer settlement it will be necessary to enlarge the present systems and to create a further system to supply the two houses and the wool-shed. This should give an adequate supply to meet all requirements. The ballot for this block took place in the autumn of 1945 and the successful ballotees took up residence in approximately June of last year. Under a Manager they have been employed on the wages basis and have assisted in all routine and development work. It was hoped that the block would be ready for final settlement on fixed charges at the beginning of this year, but due to adverse conditions it was considered advisable to postpone this until January or February of 1947. Hendley (Locality : Patoka). —Possession of this block was taken at the end of July, 1945. The station is situated to the west of Napier on high country and contains a large portion of easy ploughable country. It is bisected by a deep gorge, but this does not materially affect subdivisional proposals, and the station should make a good settlement. In common with other parts of the district, this area suffered considerably during the dry period. Country of this nature needs beneficial rain about January, and, generally speaking, the growth is excellent. It will be necessary to institute a fencing programme during the coming year, and externa] fencing will be necessary as well as boundary fencing. Not much new subdivisional fencing is necessary. Building contracts have been let, and the contractor has made a start. Two new houses are necessary, together with the renovation of the existing three houses. A short length of new road, necessary to connect with Section 5, has been formed but not metalled. The fairlv extensive work of putting tracks across the main gorge is in progress and one has been almost completed. Settlement of this block by ex-servicemen on wages is intended in June, 1946. Creuan (Locality : Hastings).—Possession was taken in March, 1945, and in May, 1945, a ballot took place, and the successful ballotees took occupation on the wages system in June. This area suffered considerably from the dry period. Some 105 chains of new fencing has been erected. Contracts have been let for the. erection of buildings. At the present time there is temporary housing in the way of Army huts. No major water-supply scheme is necessary, but springs have been developed and harnessed and should prove sufficient for stock requirements. Sandy Creek (Locality : Putorino). —Possession was taken at the end of February, 1945. There was a good growth of feed on this block in the autumn of 1945, but drv conditions set in and, in common with the rest of the district, the spring growth, although good in its initial stages, soon deteriorated, and the season has been a most difficult one. A ballot was held in the autumn of 1945 and the successful ballotees were installed on

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