It secures also all the land required for a railway 4¼ miles long, encompassing the town; 82 acres for warehouses, factories, markets, and a splendid site for a crystal palace devoted to shopping, and serving also as a winter garden.
The leases under which all building sites are let do not, therefore, contain the usual covenant by the tenant to pay all rates, taxes, and assessments levied in respect of such property, but, on the contrary, contain a covenant by the landlord to apply the whole sum received, first, in payment of debenture interest; secondly, towards the redemption of the debentures; and thirdly, as to the whole of the balance, into a public fund, to be applied to public purposes, among these being the rates levied by public authorities, other than the municipal authority, of the city.[1]
Let us now attempt to estimate the rate-rents which may be anticipated in respect of our town-estate.
First, we will deal with the home-building lots. All are excellently situated, but those fronting Grand Avenue (420 feet) and the magnificent boulevards (120 feet) would probably call forth the highest tenders. We can here deal only with averages, but we think anyone would admit that an average rate-rent of 6s. a foot frontage for home lots would be extremely moderate. This would make the rate-rent of a building lot 20 feet wide in an average position £6 a year, and on this basis the 5,500 building lots would yield a gross revenue of £33,000.
The rate-rents from the sites of factories, warehouses,
- ↑ The question of the form of Leases to be granted is one which is being carefully considered by the Land Tenure Section of the Garden City Association.
