Some amazing statistics are available in connection with land values. It is estimated that in the Western district, land is worth eight to 12 times the value placed upon it 20 years ago. The land at the junction of Nanking Road and The Bund upon which stands the Palace Hotel is estimated to be worth Tis, 400,000 a mow, In 1910 {tg value was in the neighbourhood of Tls. 100,000 a mow. These values are not. assessment values but are the figures which would probably be mentioned in the event of conversations regarding sale. 'The Majestic Hotel property was sold during the latter part of last year for Tis, 2,378,500. This pro-sperry comprises' 62 mow with buildings and contents. Something: Jess than seven years ago the: property changed hands for approximately Tls. 800,000. Avenue clu Roi Albert a transaction was completed at about Tls. 20,000 a mow. A lot on"Yuen Ming Yuen Road, on which stood part of the old Lyceum Theatre, is said to have been gold at Tis." 116,000 yer mow: To touch another aspect. of investment in the Settlement we. turn to the purchase by-the Shanghai Power Ca, of the electricity cipal Council. This transaction involved a sum of no less than Tis.
In all parts of the Settlement and the French Concession, building has proceeded at an unprecedented pace. Everywhere one has noticed new houses, apartment buildings, godowns, and factories combine into being with startling rapidity. With the increased cost of land and materials, of course comes increased rents' and in the ease of the higher class residences, rents have increased as much as 20 per cent. since 1925. In the ease of new construction, rents are roughly ubout 10 pee cent. higher than they were a year ago. One authority places the reason for increased rents to additional building costs due to exchange, higher duty, increased wages, and higher prices for materials secured from Home, heating and sanitary additions, the need for garages, and the higher standard of living. In the case of the old type houses, these have to bbe broogit up to date by the add tion of heating and sanitary conveniences to enable them to remain occupied. Accordingly, with addi tional expenditure, an increase in rental is demanded and obtained.
It is estimated that at least one half of the material used in the construction of a good foreign residence is imported and with the. unfavourable rate of exchange which has obtained for some months and with the increased cost of labour, these factors at once call for increased rents. The Chinese are also buying foreign style houses for their own occupancy and landlords are increasing rents of the clder houses to as near those of the more modern houses as the market will stand.
In the case of Chinese-style houses in the Settlement and the been increased on old properties by as much as 28 per cent, in some cases, while an average would probably be in the neighbourhood of 20 per cent., these increases having been successfully levied over a period of about five years.
Text read from the printed page and cleaned; old type leaves the occasional error.