As long as it remained in its present
condition the existing valuation based upon the annual rent obtainable
for it would apply, but any parts of it which now are or may hereafter
become unoccupied, would, instead of escaping as they do now from all
rates and taxes, contribute on the basis of the value of their sites,
which would be assessed at an annual rent for the purpose of comparison
with the existing valuations, at least until the capital values of the
whole rating area could be ascertained. If any improvements were carried
out the assessments would not be raised on that account, as they would
be under present conditions, and if a whole area were pulled down,
replanned and rebuilt, the assessment instead of being based, as it
would be to-day, on the annual value of the reconstructed property,
would be based upon the site value alone. Gradually in this way site
value would become the prevalent basis of assessment. "It is obvious,"
as the Committee said in 1913, "that unrating of future improvements is
from the economic point of view of far more importance than the unrating
of existing improvements; if we want to encourage new buildings and new
improvements, what is really important is to ensure that new
improvements (not old ones) shall be exempt from the burden of rates.
Pages:
289
290
291
292
293
294
295
296
297
298
299
300
301
302
303
304
305
306
307
308
309
310
311
312
313