Septeniber 21, 1907





RECORD  AKD  GUIDE





433







mm.

ESTABUSHEB^i^CH2l!Í*^lB68.
DE6ĩtíH0j^LESTAJE.BmLDIlfc #;ff^|TEeTVJR.Ei{oUSEaolBDEQÍ]ĩiAT10IÍ,

BtrsntaB'AifotiíEMES of GEjfeHí^l IiíierísTí

PRICE   PER  YEAR   IN  ADVANCE   EIGHT   DOLLARS

Comiminicatĩoris  should be  addressed to
C. W. SWEET
^                            Tablished EVerg Satardap

By THB KECORD APíD GUIDE CO.

President,   GLINTON  W.   SWEET                        Treasurer,  F,  W.  DODGE

Vice-Pres.  & Genl,  Mgr., H. W. DBSMOND         Secretary, F. T. MILLER

Wos.  11 to  15 East 24th  Street,-New YorU City

(Telephone,   Madison   Sqiiare,  4430  to  4433.)

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CjJpyrighted,   1Ũ07,   by  The   Record   &   Guide  Co,





Vol.  LXXX,





SEPTEMBER 21, 1907.





No. 2062,





INDEX TO DEPARTMENTS.
Advertiaing  Sectlon.

Pago.                                              Page.

CemeDt   ......................xvi   Lumher    .....................xx

Clay  Producta   ...............xvil  Machiuery   ..................viii

Consulting   Engineers   ........ví   Metal  Work .................xv

Contractors and  Builders   .....Iv   Quick  Joh Directory   ..........xx

Electrical Interests   ..........ix   Real  Estate   ....................xi

Firêproofing   ..................ii   Roofers and Roofing Materials.ix

Granite    ...................xvili   Stone   ....................xviíi

ĩron and Steel   ...............x   Wood   Products...........xxi





SOME weeks ago the Record and Guide predicted that the
naturally upward teiĩdency oE the stock market
would be constantlj' checked by the influence of had news,
caused by a slow process of business contraction, aud the
course of the market recently has justified this prediction.
First the fall in the price of copper, and then the diminution
ín the volume of new business written by the steel manu-
facturers were used to depress prices, and as a resuit oC
these eonditions severe and successful attacks were made
both on the copper stocks and on the leading indnstrials.
It was remarkable, however, that the generaĩ list withstood
this pressure very well. It receded, but it did not recede
very far, and it soon reacted when it became evident that
the selling was over-done, It is probable, however, that
the industrials will remain a weak point in the market for
quite a long time. No one cau assert with any confidence,
bow far the busiuess reaction will go. They talk at present
oE a diminution of business amounting to twenty-five per
cent, but it may easily reach larger flgures. Âs long as
no panic occurs, it is improbable that railway stockã will
be purchásed very much cheaper than they ean be at pres-
ent, but it is quite possible that the very best industrials
may go lower before they go higher. How low they will
go will depend upon the extent of the business contraction.
ĩf companies such as tbe Steel Corporation and Americau
Car and Foundry are again obliged to abandon dividends
on theír common stocks, the preferred stocks may fall ten
points more; but unless the business contraction becomes
very acute some such loss would appear to be the limit,
Steel preferred went to 50 in 1903, but its position is much
stronger now and its lirait ís more likely to be flxed by the
low record of a stronger industrial stock in 1903 such as
Car aud Foundry. The preferred stock of that company
did not go much below, and the business outlook will have
to be very desperate in order to justify a ĩower price than
that. The surpluses of the conservatively managed compa-
nies have been almost doubled since during the period of
abundant business, and they are all in a much better posĩ-
tion to stand a lean season. Moreover their managements
know very well that as soon as the money market becomes
easier and the credit of the railways is restored, many im-
provements, which have recently been abandoned, will be
resumed. Just at present good railway stocks are relatively
cheaper than the industrials, but if the latter go much
lower this condition will not continue.
—------------«---------------

TH'E impression is coraing to be more and more general
that some restriction on the height of buildings will
be imposed in the revised Buildiug Code. When the Board
of Fire Underwriters go so far as to ask that non-fireproof
business buildings be restricted to an area of 5,000 square
feet and a height of 5 5 'feet, and fireproof buildings to a
height of 12 5 feet, It is evident that the movement in favor
of   restriction   is   assuĩfims   formidable   proportions.     Sup-





posing such a restríetion to be adopted, it is an interesting
question as to what its effect would be.    For one thing it
would,  we belíeve, practically prohibit the erqction of non-
flreprooE   commercial   buildings,   except   in   cheap   neighbor-
hoods   and   for   manufacturing   purposes.     It   would   mean
practically  that  alî   office   and   loft  buildings   would   be  of
fireproof   construction   and   would  be   built  to   a  height  of
eleven stories. So Ear as loft buildings are concerned, we do
not believe that such  a  result would   mean a very  radical
change from that which happens at present. A few flfteen or
sixteen-story loft buildings have been erected on Fifth avenue
and elsewhere, but their number is small and their prohi-
bition in the future would not be a great hardship.    The
number of non-fireproof loEt buildings, six or seven stories
high  which are construeted  under  the exîsting  law  is  also
eoraparatively sraall, and we do not believe that their pro-
hibition would be a severe hardship,  or would substantially
affect the priee of real estate in the wholesale district.    On
the other hand, the liraitation of the height of offlce build-
ings to eleven stories would mean a drastic alteration of
existing methods and conditions.    The average offlce  build-
ing is now built to a height of twenty stories, and if this
height  were  practíeally   cut  In   half,   considerable  ehanges
would  be effected in real estate values.    Alraost twice as
many oífice buildings would have to be ereeted in order to
accommodate the sarae nuraber of tenants, and these build-
ings would eover practically twice the areá.    Property some
distance   from   the   existing  centres   of  business   would   be
favorabiy  affected,  beeause it  would  be  sooner  reached  by
the  march   oE  improvement,   whereas   unimproved   property
nearer existing centres of business would, for the tirae be-
ing, be worth somewhat less.    We do not believe that they
wouid continue to be worth less because tenants would be
willing   to   pay   proportionately  higher   rents  for  the  more
convenient   locations   but   for  the   time   being   a   restriction
would  affect  uufavorably  the  position   of  high-priced  prop-
erty.    If any of our readers believe that the results of the
proposed restriction would be different from  that described
above, we should be glad to publish their opinions.





^





IT has been suggested that the purchase by the city of the Beĩ-
mont tunnel would be the best means of solving that difficult
problem, and the Record and Guide cordially aeciuiesces in the
suggestion. The Belmont tunnel should be purchased by New
York, extended at least as far west as Long Aere Square, and
connected in the best possible manner with the existing subway.
Some equitable arrangement could surely be made whereby the
city makes the purchase, authorizes the extension of the tun-
neî, and then leases to the Interborough Co. for a sufflcient sum
to cover its outlay. Such an arrangement would have at least
two advantages, It would give the city ownersbíp of and con-
trol over a tunnel under the East River which sbould be raade
an integral part of the rapid transit system of the whole city,
and which can only be made by sueh a purehase. Secondĩy,
it would make the tunnel far raore useful to the pubĩie than it
can be under existing conditions. At present, owing to the lack
of effective conneetions on the Manhattan side its utility will
be seriously limited, whereas, if it were extended to Long Acre
Square and subsequently connected with all the longitudinal sub-
ways running north and south it would constitute a very useful
addition to the rapid transit system of the city. Under existing
arrangements the inhabitants of Queens have no very direct
method of reaching the amusement center at Long Acre Square;
and the Belmont tunnel, properly connected, would supply that
deficiency, It would not only constitute a great convenience to
the residents of Queens and a part of Brooklyn, but it would
aĩso improve the business of the theatres, restaurants and shops
in the vieinity of Broadway and Forty-second street.





MR. ALLAN ROBINSON, in a reeent interview, has
given expression to the poĩicy in respect to rapid tran-
sit, whieh the "Allied Real Estate ĩnterests," proposed to
advocate, That policy is the thoroughly sound one of insisting
upon the all-importance of the eonstruction of new subways;
and it is certain that the representative real estate organization
can in no other way perform a better public service. The
Utilities Commission is so much preoceupied with its ĩnvesti-
gation of the Interborongh-Metropolitan Co. that it is neglecting,
entirely the far more important matter of arranging for the
construction of new subways. Its investigation has not
been without good results. A certain improvement in service,
particularly during the non-rush hours is taking place, and
if these results have been accomplished at the expeuse of
a eomplete destruction of the credit of the Interborough-
Metropolitan Company that Is not the faqĩt of the comroission.