7. The witnesses concurred in attributing this depreciation to the withdrawal of business houses from the Eastward, and their concentration in the Central and Western portions of the City, assisted according to some witnesses, by a change in the mode of conducting trade in rice, cotton and bulky produce. They stated that formerly it was the custom for European firms to hold large stocks of these products, and to store them in godowns at Wanchi; but that this system had been altered since the introduction of the telegraph, and the opening of the Suez Canal: and that there is no longer the same use for godowns, or employment for coolies, who have consequently migrated to other parts to live near to their work.
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It also appears that the Crown has, in the last three years, resumed fifty-four other lots at the request of Mr. P, and remitted to him very large arrears of rent, and, having regard to our previous remarks, we think that the case is beyond our powers, and that it is to His Excellency that Mr. SHARP must look for any relief from the unfortunate position in which he is placed.
$15,710 was paid in order to obtain the Leases of these lots to the exclusion of other intending lessees.
15. We have already referred to Marine Lots 20 and 21 as not being liable to the rent of £40.
8. The withdrawal of business must, we think, be partly attributed to the shallowness of the harbour opposite to these districts; there is not now sufficient water even at high tide for junks of moderate capacity to discharge alongside the Praya, and steamers of ordinary draught, which might anchor close to the Praya in the centre and west of the City, would here be obliged to lie a considerable distance from the shore. This part of the harbour continues to silt up and thus increases an evil for which the tenants clearly are not responsible, and from which other districts do not suffer to the same extent.
9. None of the witnesses were able to suggest any method by which business, and, with it, population may be again drawn to the Eastern districts. They expressed an opinion, which seems well-founded, that any remission of Crown Rent would be of no avail for this purpose, and that a reduction of even fifty per cent upon the rent, although necessarily a relief to the tenants, would not have the effect of reviving the prosperity of these districts.
10. We pursued this enquiry under a feeling that we should not be justified in recommending a serious diminution of the public revenue, unless we could also show that the Colony would, directly or indirectly, obtain some advantage in return. There are 40 Marine Lots in Bowrington and Wanchi and 196 Inland Lots, paying a yearly rent to the Crown of $38,791. If this rent roll were reduced by 25 per cent, the revenue would suffer every year to the extent of $9,692; if reduced by 50 per cent the loss would be $19,384, or more than a seventh of the Land revenue of the Colony, to which must be added the loss of rates in respect of these sums. We fail to see that the Colony would gain any fair equivalent in return, and, therefore, we do not see our way to recommend any general remission to these districts on the ground of their depressed state.
11. It cannot be denied that many of the Crown tenants in these districts, in Bowrington especially, hold their lands without obtaining any return at all for the rent, and others but an inadequate advance upon the rent; but we are not prepared to say that the Crown rent is in itself out of proper proportion to the return that would be obtainable from these lots if the districts were even moderately prosperous. In the Wanchi district, the annual rental of rateable properties as given by the owners, estimated by the official valuers for the rates of 1875, is $84,374, while the Crown Rent paid upon the same properties is $10,866. In Bowrington, the assessed rental is $12,839 against a Crown Rental of $2,153. These figures, coupled with the admission that a moderate reduction of rent would be of little advantage to the tenants, seem to show that the grievances complained of are attributable not so much to the actual amount of rents, as to the depression of trade and depreciation of property, which have made the tenancies unproductive. We respectfully submit that it lies with the Executive Government to determine whether the altered circumstances of the Colony, or of any particular portion of the Colony, are a ground for relieving Crown tenants from the obligations they have voluntarily undertaken. If it pleases His Excellency to admit the principle, the adjustment of it to the respective localities affected would afford matter for consideration in a future enquiry. It seems not to be within our present powers.
12. The depressed state of the Colony was also advanced as a ground for reduction by tenants holding land to the West of the City, but their complaints have less weight than those of the Eastern tenants; for they could not but admit that business continues to draw towards the West, and that the Chinese part of the town is extending Westward, giving reason to believe that lands which are now unproductive would, in a few years, become profitable even at the existing rental. In these cases, as in nearly the whole of the complaints that were laid before us, the Leases were purchased at a time of great commercial activity, and subsequent changes have turned a promising investment into unsuccessful speculation, of which the want of success has been, in many instances, aggravated by the amount of premium given by the tenant to secure the Lease.
13. The same remarks apply to portions of land along the Robinson Road, and the higher levels of the City, which formed the subject of complaints to us, but which had been left by their owners in their natural state, unimproved by buildings or other expenditure. The complainants had given large premia for their Leases, ranging in amount from six years' to twenty years' rent. There is now no demand for such land, and the lots are unprofitable and the Leases unsaleable. These were obviously speculative purchases, and are hampered by the interest upon the premium, which, in many instances, would, at 12 per cent, be more than three times the Crown Rent. Putting aside this interest, which we ought not to take into consideration, we doubt whether, if the circumstances of the Colony offered a prospect of a fair return for building on these lots, the Crown Rent would be found to interfere with the work being undertaken.
14. It is necessary to refer to the case of Mr. GRANVILLE SHARP, who submitted that he is specially entitled to a reduction of his rents, on account of the large amounts which he pays yearly for unproductive lands. It appears that, besides lands which give him some return, he holds twenty-two allotments at a rental of $2,440, from one of which he derives $30 for the present year, the others being entirely unprofitable. But it appears that he paid premia amounting in the aggregate to a significant sum.
These Lots adjoin the Commissariat Buildings, and the tenant not having been required to contribute to the erection of a Praya, did not join in the agreement above mentioned and remains at his old rent, under the original Lease for 75 years from September, 1844. The harbour in front of these lots has decreased in depth, and for many years the process of silting up continued steadily, so that junks which formerly discharged their cargo on the shore at all times of tide can now only do so with difficulty. Marine Lots have the advantage of a Roadway along the Praya, which at the same time scarcely interferes with their access to the water; and the rent of £40 per quarter acre is less than what is paid upon the two lots in question, and the term is 999 years instead of 75. It seems to us that this case is one without parallel, and that the tenant has a fair claim to relief so far, at any rate, as to place him on an equality with other Crown tenants. We would, therefore, recommend to His Excellency to grant a fresh Lease of these lots for the term of 999 years from the date of the original Lease at the rent chargeable upon other Marine Lots, viz., £40 per quarter acre.
16. The want of a Praya frontage seems, however, to place these lots in their present condition on a level rather with Inland Lots, and we would suggest that the full rent be not demanded. The Inland Lots on the other side of the Street are let at a rental of about £30; and having regard to the fact that the sea access is not without value, we consider that £35 per quarter acre would be a fair rent for Lots 20 and 21, including certain land which the tenant has gained by encroachment upon the harbour.
17. We suggest that this, or any other reduction of rent upon Crown Leases, should be made as a concession by the Crown for a certain number of years, three or five, so that if intervening circumstances should have raised the value of the property, the Crown shall not lose the benefit of the advance; while it is fair to suppose that the Crown would, from time to time, renew the concession for similar periods, if circumstances remained unchanged. The Leases are so long, and the fluctuations of Colonial values so great, that a remission in perpetuity seems unsuitable to the circumstances of these holdings.
18. In conclusion, we desire to express our thanks to the officers of the Treasury and Land Office for their readiness in preparing any returns that we had occasion to call for.
November 12th, 1875,
JOHN BRAMSTON,
C. MAY,
P. RYRIE,
H. LOWCOCK,
J. M. PRICE,
Chairman.
ཨཛཱཙཱནཾ ཨཔྤ' ས'ཡཏྟནཾསདྷདྷཡ4 བྦནུས-;--
7. The witnesses concurred in attributing this depreciation to the withdrawal of business house from the Eastward, and their concentration in the Central and Western portions of the City, assisted according to some witnesses, by a change in the mode of conducting trade in rice, cotton and bulky produce. They stated that formerly it was the custom for European firms to hold large stocks these products, and to store them in godowns at Wauchi; but that this system had been altered since the introduction of the telegraph, and the opening of the Suez Canal: and that there is no longer the same use for godowns, or employment for coolies, who have consequently migrated to other parts to live near to their work.
641
It also
$15.710 in order to obtain the Leases of these lots to the exclusion of other intending lessees.
pears that the Crown has, in the last three years, resumed fifty-four other lots at the request of Mr. P, and remitted to him very large arrears of rent, and, having regard to our previous remarks, we that the case is beyond our powers, and that it is to His Excellency that Mr. SHARP must look for any relief from the unfortunate position in which he is placed.
15. We have already referred to Marine Lots 20 and 21 as not being liable to the rent of £40
8. The withdrawal of business must, we think, be partly attributed to the shallowness of the harbour opposite to these districts; there is not now sufficient water even at high tide for junks of moderate capacity to discharge alongside the Praya, and steamers of ordinary draught, which might anchor close to the Praya in the centre and west of the City, would here be obliged to lie a considera-only during two or three hours of high water come alongside a jetty run out from the bank. Other ble distance from the shore. This part of the harbour continues to silt up and thus increases an evil for which the tenants clearly are not responsible, and from which other districts do not suffer to the
same extent.
9. None of the witnesses were able to suggest any method, by which business, and, with it, pop lation may be again drawn to the Eastern districts. They expressed an opinion, which seems well founded, that any remission of Crown Rent would be of no avail for this purpose, and that a reduction of even fifty per cent upon the rent, although necessarily a relief to the tenants, would not have the effect of reviving the prosperity of these districts.
10. We pursued this enquiry under a feeling that we should not be justified in recommending serious diminution of the public revenue, unless we could also show that the Colony would, directly on indirectly, obtain some advantage in return. There are 40 Marine Lots in Bowrington and Wanchi and 196 Inland Lots, paying a yearly rent to the Crown of $38,791. If this rent roll were redned by 25 per cent, the revenue would suffer every year to the extent of $9,692; if reduced by 50 per cent the loss would be $19,384, or more than a seventh of the Land revenue of the Colony, to which mast be added the loss of rates in respect of these sums. We fail to see that the Colony would gain any fair equivalent in return, and, therefore, we do not see our way to recommend any general remission to these districts on the ground of their depressed state.
11. It cannot be denied that many of the Crown tenants in these districts, in Bowrington espes cially, hold their lands without obtaining any return at all for the rent, and others but an inadequate advance upon the rent; but we are not prepared to say that the Crown rent is in itself out of proper tion to the return that would be obtainable" from these lots if the districts were even moderately prost perous. In the Wanchi district, the annual rental of rateable properties as given by the owners, estimated by the official valuers for the rates of 1875, is $84,374, while the Crown Rent paid upon the same properties is $10,866. In Bowrington, the assessed rental is $12,839 against a Crown Rental of $2,153. These figures, coupled with the admission that a moderate reduction of rent would be of little advantage to the tenants, seem to show that the grievances complained of are attributable not so much to the actual amount of rents, as to the depression of trade and depreciation of property, which have made the tenancies unproductive. We respectfully submit, that it lies with the Executive Go vernment to determine, whether the altered circumstances of the Colony, or of any particular portion of the Colony, are a ground for relieving Crown tenants from the obligations they have voluntarily un- dertaken. If it pleases His Excellency to admit the principle, the adjustment of it to the respective localities affected would afford matter for consideration in a future enquiry. It seems not to be within our present powers.
12. The depressed state of the Colony was also advanced as a ground for reduction by tenants holding land to the West of the City, but their complaints have less weight than those of the Eastern tenants; for they could not but admit that business continues to draw towards the West, and that the Chinese part of the town is extending Westward, giving reason to believe that lands which are now unproductive would, in a few years, become profitable even at the existing rental. In these cases, a in nearly the whole of the complaints that were laid before us, the Leases were purchased at a time of great commercial activity, and subsequent changes have turned a promising investment into unsuccessful speculation, of which the want of success has been, in many instances, aggravated by the amount of premium given by the tenant to secure the Lease.
13. The same remarks apply to portions of land along the Robinson Road, and the higher levels of the City, which formed the subject of complaints to us, but which had been left by their owners in their natural state, unimproved by buildings or other expenditure. The complainants had given large premia for their Leases, ranging in amount from six years' to twenty years' rent. There is now no demand for such land, and the lots are unprofitable and the Leases unsaleable. These were obviously speculative purchases, and are hampered by the interest upon the premium, which, in many instances would, at 12 per cent, be more than three times the Crown Rent. Putting aside this interest, which we ought not to take into consideration, we doubt whether if the circumstances of the Colony offered prospect of a fair return for building on these lots, the Crown Rent would be found to interfere with the work being undertaken.
14. It is necessary to refer to the case of Mr. GRANVILLE SHARP, who submitted that he j specially entitled to a reduction of his rents, on account of the large amounts which he pays yearly for unproductive lands. It appears that besides lands which give him some return, he holds twenty two allotments at a rental of $2,440, from one of which he derives $30 for the present year, the others being entirely unprofitable. But it appears that he paid premia amounting in the aggregate M
per quarter acre. These Lots adjoin the Commnissariat Buildings, and the tenant not having been required
to contribute to the erection of a Praya, did not join in the agreement above mentioned and rains at his old rent, under the original Lease for 75 years from September, 1844. The barbour in front of these lots has decreased in depth, and for many years the process of silting up continued steadily, so that junks which formerly discharged their cargo on the shore at all times of tide can now Marine Lots have the advantage of a Roadway along the Praya, which at the same time scarcely interferes with their access to the water; and the rent of £40 per quarter acre is less than what is paid upon the two lots in question, and the term is 999 years instead of 75, It seems to us that this ease is one without parallel, and that the tenant has a fair claim to relief so far at any rate as to place him on an equality with other Crown tenants. We would, therefore, recommend to His Excellency to grant a fresh Lease of these lots for the term of 999 years from the date of the original Lease at the rent chargeable upon other Marine Lots, viz., 440 per quarter acre.
16. The want of a Praya frontage seems, however, to place these lots in their present condition on a level rather with Inland Lots, and we would suggest that the full rent be not demanded. The Inland Lots on the other side of the Street are let at a rental of about £30: and having regard to the fact that the sea access is not without value, we consider that £35 per quarter acre would be a fair rent for Lots 20 and 21, including certain land which the tenant has gained by encroachment upon the harbour.
17. We suggest that this, or any other reduction of rent upon Crown Leases, should be made as a concession by the Crown for a certain number of years, three or five, so that if intervening circumstances should have raised the value of the property, the Crown shall not lose the benefit of the advance; while it is fair to suppose that the Crown would, from time to time, renew the concession for similar periods, if circumstances remained unchanged. The Leases are so long, and the fluctuations of Colonial values so great, that a remission in perpetuity seems unsuitable to the circumstances of these holdings.
18. In conclusion, we desire to express our thanks to the officers of the Treasury and Land Office for their readiness in preparing any returns that we had occasion to call for.
November 12th, 1875,
JOHN BRAMSTON,
C. MAY.
P. RYRIE.
H. LOWCOCK.
J. M. PRICE.
Chairman.
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