Rates would fall for older buildings in the central business district while they would rise for newer buildings in suburban areas.
Hamilton Citizen and Ratepayers president John Easto said: "We are saying no to the increases in rates not only for people at the poor end of the spectrum but for middle-income earners and people with big mortgages."
The group was also collecting signatures for a petition against the new rating system.
Hamilton Grey Power president Dave Collins said the lobby group for the elderly was "totally opposed to the whole package".
"We have already increased our rates by 8 per cent by mismanagement by past councils."
He doubted moving to a capital rating system would solve the problems, with retailers and shoppers leaving the central business district.
Mr Collins also feared charging rates for refuse collection and water was a step towards privatisation.
Judy McDonald, a spokeswoman for advocacy group Living Streets, was heckled as she expressed her support for capital value.
Mrs McDonald acknowledged the move could impose a $1000 rate increase over five years which could hurt pensioners living on $15,000 a year, but she also thought it would help out owners of central city businesses.
In the past, Hamilton Mayor Julie Hardaker expressed support for the proposal saying it was a fairer, simpler and more transparent rating system.
The council has hosted four public information meetings and the hearing dates for submissions are set for between November 9 and 15.
