890





RECORD   AND   GLIDE





April 26, 1913





Brokers, Attention!

The Realty Associates desire to
co-operate with brokers in every way
possible. We sell property on easy
terms, paying full commissions to
brokers.

We have lots, flats, dwellings, and
business property in all parts of
Brooklyn, making a specialty of our
well known Easy Housekeeping
Homes in Prospect Park East.Fif ty-
Fourth Street and other sections of
Brooklyn.

It wiil pay you to get in touch
with us.

Realty Associates

Capital and Surplus $5,000,000

162 REMSEN ST.         BROOKLYN

Telephone 6480 Main





Money to Loan on First Mortgages
42 and 5^





Joseph T. McMahon

REAL   ESTATE   and
MORTGAGE LOANS





188 and 190 MONTAGUE STREET

BROOKLYN

Telephone 834 Main





SPECIAL ATTENTION GIVEN TO

COLLECTING, RENTING
AND M.\NAGEMENT OF ESTATES





Members Brooklyn Board of R. E. Brokers
HOWARD C. PVLE                   GEO. H. GRAY

General

Brooklyn Real Estate

Brokers

Howard C. Pyle Co.

Real Estate                Expert Appraising

Mortgage Loans                       Insurance

199 Montague Street        BROOKLYN

Telephone, 33So Main





James L. Brumley

ESTABLISHED ISSS
EXPERT

Real Estate Appraiser
Broker and Auctioneer

189 MONTAGUE ST.
Telephone                        BROOKLYN. N. ^.





Meinber BrooklyTi Board
of  Real  Estate  Brokers

BROOKLYN
REAL ESTATE

:EXPERT APPRAISER

S. WELSCH

207 MONTAGUE STREET
Brooklyn

Tel. 273S-9 Main        Branch, 177 Seventh Avenue





Suburban Long Island.

The striking feature of the suburban real es¬
tate situation just now Is the number of new
muniiipal im|)rovements of the City of New
York that are having a direct influence on Long
Island real e.state. To the casual observer it
would seem that the city's course was invidi¬
ous in its favoritism to the suburban area ot
Long Island east of the city line; but as a
matter of fact the city is entirely indifferent in
the premises. It is simply carrying on great
municipal projects to increase the quick acces¬
sibility between Manhattan. Brooklyn and
Queens; and while .Vassau County may go
hang, so far as New York City is concerned, the
fact is every transit improvement between the
three boroughs mentioned redounds as well to
the beneflt of Nassau  County.

Every new subway route in Brooklyn and
Queens will make all parts of those boroughs
more accessible to the Long Island railroad sta¬
tions in Brooklyn and at Jamaica; and conse-
(luently prospective residents in the suburban
area will have their desire to live in well pop¬
ulated parts of Xassau County quickened. The
level parts of this county, especially, will be
aided inestimably because the most important
divisions of the Long Island Railroad pass
through those parts. The vast level stretch
e.'ctending from Rockville Centre, on the Mon¬
tauk division to Hempstead, on the main line
of the railroad is undergoing a growth and de¬
velopment that prophecy failed to foresee a de¬
cade ago. The Long Beach division, too. is
through its electrical operation, reclaiming for
honieseekers hundreds of acres between Ocean-
side and the beach. .A. new station is about to
be erected at Oceanside and many new bouses
are in  course of construction.

Among the great contributing causes to the
steady activity of the Long Island real estate
market are the plan to build a 160-foot wide
boulevard from the city line through central
Long Island to Montauk Point; the projected
subway routes through Brooklyn and Queens :
the plan to run cars between lOtb avenue in
Manhattan and Jackson avenue in Long Island
City, by way of the Queensboro Bridge ; and the
imminent operation of the loop between the old
Brooklyn Bridge and Manhattan Bridge. All
of these improvements mean a wider distribu¬
tion of population and an indirect beneflt on
the adjoining suburban county, which is Nas¬
sau.





The   New  South  American  Market.

Investigations made at the direction of Sec¬
retary Knox indicate that after the Panama
Canal is open the American manufacturer can
sell at least 5:30,000,000 worth of goods each
year to the countries of the west coast of South
America more cheaply than the people of those
countries are now purchasing the same articles
from Europe. This list includes cotton and
woolen goods to the amount of $17.000,O(.i0. ma¬
chinery, carriages and hardware and similar ar¬
ticles, $14,000.(100, and coal and coke, $11,000,-
000: pharmaceutical articles, chemicals, print
paper, shoes, canned goods, furniture, cigarettes,
cigars   and   mineral   waters.

A great deal of this trade will of course come
to New York, and together with the new do¬
mestic trade from the West, via the New York
State Barge Canal, and the stimulation from
subways, start a most remarkable era of real
estate prosperity  in  this  country.





Rational  Utilization of  Coal.

Power for April contains on page 443 an
article by F. B. Junge on the subject of the
rational utilization of coal, in which he states
that inferior grades of coal, which would hardly
be worth transporting to industrial centers are
used in Germany at the mouth of the mines in
coal ovens by producers. The gas is used in gas
engines for producing high tension electric cur¬
rent and innumerable byproducts are obtained
from the tar residues. The article describes tbe
practice followed abroad and it gives interesting
details to show the wonderful economic results
obtained by tbese processes. It is an article that
any one at all interested in industrial economics
will read with  a great deal of interest.





The   New   United   States   Income   Tax.

The tax is to be collected through the internal
revenue division of the Treasury Department,
which now collects the taxes on tobacco, cigars,
liquors, oleomargarine and similar objects of in¬
ternal revenue. Tbe Commissioner of Internal
Revenue will have direction and supervision
oyer the collection of the income tax. He like¬
wise has been in charge of the collection of the
corporation tax for the past four years. Mr.
Cobell, Commissioner of Internal Revenue, has
found that the corporation tax was the easiest
of all taxes to collect.

The Commissioner will be required to issue
forms and regulations for the collection of the
income tax. and these regulations will indicate
in everyday language, and very specifically, just
how and where the tax must be paid and upon
what It is to be paid. The regulations will indi¬
cate clearly who are to make returns and pay
the tax direct to the Government and those
whose incomes are not to be returned by them¬
selves, but which are to be collected at the
source.

The tax will be payable at the office of the
Collector of Internal Revenue in the district
where the individual paying the tax resides,
providing tbe individual pays his tax direct.

That portion of the tax which is to be col¬
lected at the source must be paid in the dis¬
trict in which that source of payment resides
Corporations will pay to tbe Collector ot Inter¬
nal Revenue in the district where they are situ¬
ated.

Payment at tho source must be made in the
case of all income which have a fixed annual
basis. This is provided tor in the paragraph
of the bill which says that "all persons.  Arms





corporations, copartnerships, companies, joint
stock companies, or associations and insurance
companies, in whatever capacity acting, includ¬
ing lessees or mortgages of real and personal
property and others having control of tbe pay¬
ment of interest, rent, salaries, wages, pre¬
miums, annuities, compensation, remuneration,
emoluments, or other fixed or determinable an¬
nual gains, proflts, and income, exceeding $4,000
for any taxable year, other than dividends on
capital stock, who are required to make and
render a return in behalf of another, as required
by the income lax law, shall deduct and witli-
sold from such annual income such sum as will
be sufficient to pay the normal income tax pro¬
posed  to be imposed."

The income must be fixed and determinable,
and must extend over the period of an entire
year,  in order to be collectible at  the source.







An Agent's  Compensation.
Editor of the Record and Guide :

One of our clients asks that we ascertain from
you whether he is liable for a commission un¬
der   the   following   circumstances:

A owns a building in this city and up to
February 1st employed B as agent to manage
the property, paying him 2i/j7t, for the per¬
formance of ali duties as agent. While agent. B
renewed the store lease at $l.l'Oii. made a new
lease for one loft, one year at $000, and renewed
the I'd. od. 4th and 5th lofts for one year at
various rents, leases beginning February 1st,
lill.'l and ending February 1, 1014.

Two days before February 1, 1013. A decided
to change agents and withdrew the property
from E's charge. B now sends a bill for com¬
mission for 2Vi7 on all leases as though made
by   an   independent   broker.

Will you kindly inform us if A Is liable for
commission in this case or if B's services were
the ordinary duties of his agency for which
he was paid. It may have some bearing on the
matter that B sold the property to A about 6
months ago and that he remained as agent since
July or August last.

B had no written contract, but was employed
verbally in the usual way to take charge of the
property.

Answer : We believe it is the custom of the
real estate trade to include all commissions to
which an "agenf is entitled in the agreed
upon collection commission, and this custom
is  sanctioned  by  the courts.

The claim for a brokerage, implied when a
stranger to the property and the owner ettecta
a letting, is merged into the fixed arrangement,
when arising between "agent" and "owner."
But this is only a presumption, or custom, at
the most, throwing the burden of proving it
not the intent of the parties upon the agent.
^Editor.





Who May File a Mechanic's Lien.

The right to file a mechanic's lien is personal
and non-assignable. In deciding the case of
the Tlsdale Lumber Company vs. the Read
Realty Company, the Appellate Division of the
Supreme Court, Second Department, made these
remarks concerning mechanics'  liens:

"This action was brought to foreclose a me¬
chanic's lien which was filed by the plaintiff
as the assignee of Joseph B. Tlsdale. The lien
was claimed for materials Tlsdale had sold to
the defendant Cooper, and which were used
in the construction of buildings upon lands of
the Read Realty Company. It appears that
Cooper has also filed a lien upon the same
premises, and in his answer he demands that
his  lien   be   foreclosed.

"The right to file a mechanic's lien is a per¬
sonal right limited to the person performing
the labor or furnishing the material, and Is
not assignable. The transfer of the claim ia
suit therefore did not carry with it the aa-
signor's right to acquire a valid lien. This
has been tbe construction given to eimilar stat¬
utes for many years. The language ol the
statute limits the right to acquire a lien to
persons performing the labor or furnishing
the materials, and it must be construed in ac¬
cordance with its terms; and the contention
of respondent that the Legislature by using
the words 'and includes his successor in in¬
terest' in the first subdivision of section 2 of
the present Lien Law intended to permit a
lien to be flled by an assignee cannot be sus¬
tained.

"The language defining the term 'lienor' is
as follows: 'The term "lienor" when used in
this chapter means any person having a lien
upon -Property by virtue of its provisions, and
includes his successor in interest.' A 'suc¬
cessor in interest' within the meaning of this
term as used in the statute is one who sue
ceeds to lienor's rights under valid notice of
lien already flled, by assignment or otherwise.
In other words, the assignor must have an ex¬
isting lien before he can have a 'successor in
interest.'

"The suggestion that Tlsdale had an 'In¬
choate lien' and that plaintiff is his 'successor
in interest' is without merit. There is no such
thing  as  an  'inchoate' mechanic's  lien."





Covenants.

Where a tract of land is divided into build¬
ing lots and a plan exhibited, showing tha
prospective purchasers of the streets and lots
thereof, and such purchasers are induced to
buy the lots by and in reliance upon repre¬
sentations, either public or private, that all
conveyances would contain protective restric¬
tions of a designated character and purpose, it
is held in Sanford v. Keer (N. J.) 40 L. R. A.
(.\'.S.) 1090, that the restrictive covenants in¬
serted in the conveyances of the lots in accord-
an^e with these representations, constitute a
general or neighborhood scheme, and may be
enforced between the lot purchasers infer te.