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September lo, 1904
RECORD AlfD QUIDS
525
^
ESTABUSHED <^ H.ARpH2l- 1^68.
De/oted to REA.L E>TAiE.BuiLDir/o AfSiifFTECTURE,HcnjsniIciU)DraB^moil*.,
BusiiJess juto Themes of GeiJer^ IKterpsi ,
PRICE PER YEAR IN ADVANCE SIX DOLLARS
published eVery Satardap
Communications should be addressed to
C. W. SWEET, 14-16 Vesey Street, New TorS
J. T. LINDSEY, Business Manager Telephone, Cortlandt 3157
"Entered al the-Fosl Office al New Yorlc. N. T., as second-class matter."
Vol. LXXIV.
September 10. 1904.
No. 1904
-1 HE advance in prices on the stock market has been niain-
i tained so a long time, has made fiuch considerable and
general changes in the prices of securities, and has been siu]-
ported by such a volume of business that it is fairly entitled to
be considered a genuine recovery from the imdue depression
of prices which took place in 1903 and early in 1904. Such a
recovery was certain to come, but very few people expected that
it wonld take place during the canvass preceding the presiden¬
tial election. That it did take place so soon is striking testi¬
mony to the recuperative power of the business and finance of
this coimtry. Just as soon as money became easy and it was
discovered that agricultural prosperity would continue, prices
rebounded from the low levels of last winter and spring. More¬
over, there is no reason to suppose that the gain which has
been made will not be maintained. Prices have so far simply
been returning to their normal investment level; and there is
probably room for even a further advance without super-adding
â– any considerable speculative margin to the value of securities.
At the same time conservative banlten are likely to discourage
any very considerable further increase during the coming fail.
Financial conditions have favored a return to the normal level,
but they would not favor too lavish a use of credit for an ex¬
clusively speculative movement. At the same time it should
be added that the year 1905 should be a good year, both for
the business and financial interests of the country, and many
of the projects which were cut short by the slump of 1903 will
be resumed and will make the year one of active and profitable
trade.
THE volume of the current real estate business is very
small: but it preserves a wholesome and promising char¬
acter. Our news columns register the occurrence of about 50
transactions in Manhattan property against 43 for the corre¬
sponding week last year. The increase is unimportant, but
the character of the business is on the whole better. An in¬
creasing demand for private houses is developing, and the news
of the week includes some 14 buildings of this class against only
G during the corresponding week in 1903. Lots-for improvemenf
with tenements and flats continue to be purchased; but the
movement in this direction is the tail-end of the building opera¬
tions of the current year, and offers no anticipations of what
we are to expect in 1905. Of course there is no doubt that the
Bronx will be even mo;-e active than it is at present, and its
present activity is in the number of transactions consummated
almost equal to the whole of IVTanhattan. ' More than 35 Bronx
sales are reported in this issue of the Record and Guide against
only 9 one year ago. There can be no doubt that during the
coming year many important operators and builders, who have
hitherto confined their attention exclusively to Manbattan, will
transfer their interests chiefly to the Bronx, and will help to
carry tne activity in that Borough to unprecedented totals.
X CCORDING to all indications the streets of New York
•*^ v;iU bo more than ever congested during the coming
winter by the enormous quantity of slowi moving v.ehicles, which
will be obliged to use them. Already people who try to go up
or down town in automobiles and cal)s are complaining of the
Inevitable and exasperating delays of transit. Broadway dur¬
ing the busy hours is practically impassable. The Bowery
which, because of its width was once comparatively available.
Is becoming more and more crowded—partly because of tlie
traffic, whicli seeks the new bridge by that route. Hudson St..
except along its lower end, still has a little room left upon it;
but Sth av. is very much crowded because of its use by the
carts carrying dirt from the excavation for the Pennsylvania
station. The delays aud money loss which this condition in¬
curs upon everybody who uses the streets, but particularly
upon business men, who do much trucking and carting is enor-
moiis; and it is absurd tbat it is not receiving more serious and
insistent'attention. Whenever Elm st. is restored to use one
more fairly capacious thoroughfare will be provided; but another
one to the west of Broadway is even more necessary, and it
should be laid out at an early date by widening Varick st,
cutting it through to Broadway on the south, and to extensions
of Cth and Tth avs. on the north. The present administration
has so far been inclined to limit the improvements which i!
carries along, to projects started by its predecessors; but In
this matier of dealing with the congestion of street traffic, it
has an opportunity of initiating improvements of its own of the
utmost importance. There could not be a more flagrant piece
of short-sighted improvidence than that which the City of New
York is displaying. It is increasing and improving enormously
its equipment for the transaction of business. It is building
larger and better loft buildings and factories tban ever before,
and it is improving the means of communication with all the
outlying boroughs. But the end of all these improvements
is to facilitate the transaction of business on Manhattan Island,
and this object will not be obtained unless certain improvementa
and enlargements of the street system are carried out at the
same time.
IN the beginning the presidential campaign promised to be
very exciting and interesting, but instead of that it has be¬
come increasingly dull. Of course the really lively part of the
canvass is still ahead of us, but it has already become appar¬
ent that if any enthusiasm is provided, ic will be a forced rather
than a spontaneous enthusiasm. There is nothing in the issues
of the campaign to arouse any particular interest The whole
logic of the Democratic positioa forced the leaders of that party
to draw up a negative platform, and to nominate a candidate
who would be safe rather than positive and assertive in any
one particular direction. Judge Parker filled the bill, but he
and his canvass are now suffering from the defects of his quali-
ters. He is an eminently safe and estimable man, w.ho can
proclaim in turgid sentences a sufiicieney of safe and common¬
place ideas. But the negative program of economy, and legal
aud constitutional righteousness which he proclaims, wilt not
give him much strength outside a few law^yers' ofBces. He
carefully refrains from all references to the various reforms, in
which independent voters are interested, and he apparently relies
chiefly upon the opposition £.nd dislike which the aggressive
and positive po..cy of President Roosevelt has aroused. We
fear that he will be disappointed, in case he expects the dislike
and distrust of Roosevelt to win him many votes, which he
would not otherwise get. The American people like a vigorous,,
positive and aggressive man, even if he does make mistakes,
and such a man, provided he keeps a level head, will always be.
preferred to the cautious lawyer, who makes a platform out of
the Constitution and the Declaration of .Independence. In
the meantime the apathetic campaign has an exeelient effect on
business. For the first time since 1S84 both the tariff and the
money questions are not dangerous issues, and "Wall Street is
not afraid to can-y on a bull campaign in the midst of tbe can¬
vass.
DURING the period of 1901 to 1903, the number of expensive
buildings erected was so considerable that several large
construction companies were organized to obtain a share in the
business. These companies, together with the construction
companies and building firms which date from before 1900, are
now complaining of a scarcity of work. They, all of them, still
have some good contracts on baud, which W'ill take a year or
more to finish; but they declare that there are very few big new
building contracts on the horizon of trade, and they do not like
the outlook. Well, while we have every confidence that the out¬
look for new building contracts calling for large expenditures
will be better £ome months from now than it is now, still it is im¬
probable that at any time during the next few years will be as
much business of this class offered as there was during 1901 and
1902. If the construction companies want to keep fully em¬
ployed, they should adapt themselves to the times, and use
their capital in erecting the kind of buildings, for which there
is an immediate demand. For the next few years there will un¬
doubtedly be a pressing demand for fiats and residences, both
on Washington Heights and in the Bronx, and there is no rea¬
son why this class of improvement should be left to builders
with small capital. The large capital and the efficient organiza¬
tion of the construction companies should enable them to erect
a- great many cheap buildings with as much profit as a very
few large and expensive buildings. The appearance as operat¬
ing builders both on tHe Heights and in the Bronx would be
welcomed and should not be delayed.