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clearance areas under that Act. The compensation for such
property, as well as for the acquisition under the 1935 Act
of houses unfit for human habitation and not capable at
reasonable expense of being rendered so fit, will be assessed
on the basis applicable to unfit houses purchased under Part
I of the 1930 Act, viz., site value. The compensation payable
in respect of other property in a redevelopment area is
assessed in accordance with the provisions of the Acquisition
of Lands (Assessment of Compensation) Act, 1919, viz.,
market value, subject, however, to deductions if the rental
value of the premises is enhanced by reason of their being
used for illegal purposes, or being overcrowded, or if the
premises are in a defective state of sanitation or are not in
reasonably good repair. The new accommodation provided
to rehouse persons displaced from unfit houses in a redevelopment
area and from any other houses in the area that may
be acquired under the Housing Act, 1930, will rank for subsidy
under that Act. Accommodation provided for rehousing
persons displaced from other houses in a redevelopment area
will rank for subsidy under the 1935 Act. The subsidy
under the 1935 Act takes the form of an annual contribution
for 40 years from the State in respect of each dwelling, the
amount being related to the cost per acre of the site, as
developed, in accordance with a graduated scale set out in
the Third Schedule to the Act. Apart from the subsidies
in respect of the provision of new housing accommodation,
no State grant is payable under the Housing Acts towards
the expenditure involved in dealing with a redevelopment
area, although grants might be payable in respect of specific
services under other Acts, e.g., Ministry of Transport grants
for major road improvements.