01
Our proposal
Our proposal
How rates work today, what goes wrong, and what changes under Land Value Rates.
What's wrong with rates?
02
and artificially lowers rates for landlords who own old and cold villas like this.
Even when they’re in the middle of town.
03
Take the owner of a surface level parking lot in the CBD…
Car park
Apartments
They get a low rates bill because they haven’t added anything to the value of this property.
If the landowner wanted to convert the car park into apartments, they would pay a lot more in rates, since the apartments are highly valuable.
Build more homes. Pay more rates.
Currently our rates system penalises those who want to invest in our communities. While rewarding slumlords and parking companies with a lower rates bill.
New Zealand’s rates system must encourage land use that provides value to our cities.
The solution: Land Value Rates
Under Land Value Rates you will be charged the same regardless of how you use the land.
Car park
Apartments
Same land. Same rates.
Comparing different uses of the same site, with unchanged land value.
This means there will be more economic incentive to build…
More homes for families means a more affordable city
Land bankers will pay more…
Rates on families
go down
go down
Rates on landbankers
go up
go up
The average Wellingtonian will pay less, especially if you live in a less-valuable property.
Overall, 60% of residents would see a lower rates bill if Wellington switches to Land Value Rates
Land Value Rates
For a more affordable city