120
The Real Estate Recorix
February 11,1882
swell the receipts of the railroads; high
prices always check business. Stocks are a
sale when grain, provisions and cottoa go
up and a purchase when they go down.
Dwellers in great cities are the principal suf¬
ferers when the necessaries of life are put up
to liigh figures.
ALL ABOUT RENTS.
The landlords have ordered an advance in rents
along the whole line. New York is increasing in
population and business, and, as a consequence,
tenements, stores, dwellings, offices, and even
rookeries, are in demand, which state of affairs
is naturally taken advantage of by owners of
improved realty.
During the past week a representative of The
Real Estate Record has been thoroughly in¬
vestigating the rent question in all parts of the
city. He has interviewed real estate brokers of
all kinds, and has not neglected would-be tenants.
The result is given in detail below.
Down-town Business Property.—In no part of
the city has there been so great an increase in
rents as in the great business centres, especially
in the lower part of tho island. The marked rise
in value in business property, as shown by the
auction sales, is due to the great extension of the
internal and external commerce of this port,
which has created a demand for stores, offices and
business locations. Rents have been marked up
ten and fifteen per cent. The brokers agree in
saying that the office business has not been over¬
done, and large as has been the supply of new
offices, not less than 1,.500 during the last year,
the demand has more than overtaken it. This
is especially true of the neighborhood of the
great exchanges. The fact is noted that the de¬
mand for well-located offices in Broad, Pine,
Cedar, Wall and New Htreets, Exchange place
and Bi'oadway below Fulton street, is not only
keeping pace, but fast outrunning the accommo¬
dations which have been provided, or which are
nearing completion. Already many of the offices
in the Marquand, Kelly, Mills and Tribune struc¬
tures are engaged, and at very fair figures. Last
year, on the expiration of leases, there was an
extraordinary advance in rents, but there has
been no recession this year; on the contrary, in
every case where old leases expire, rents have
advanced beyond last year's figures. In many
cases fifty per cent, over the rents in the old
leases has been asked and cheerfully accepted.
In the Trinity building leases made two years
ago have been advanced as much as a hundred
per cent. This has been severe upon the real
estate brokers who occupy the basement, but
they have been forced to submit. Wherever
business is being done in the great marts of trade,
there has been a large advance in rents. This is
true of all the great down-town thoroughfares,
and particularly of Broadway. One instance is
noted of an advance of 180 per cent, over the
price which obtained two years ago.
Up-ioivn Store Property.—This class of realty
is in good demand, and will bring slightly higher
rentals this year than last. Property on all the
leading avenues rents readily, in fact, there are
but few stores vacant. Leases in this class of
property usually date from May 1st, so that it is
somewhat difficult to quote the exact increase, if
any, that will be demanded, but cases are noted
where tenants have been notified that 10 per cent,
additional rent will be exacted after that date.
Private Dwellings.—The demand , for houses,
large and small, continues unabated, and is far
in. excess of the supply in the market. This class
of realty rents readily at an advance of 5 to 15
per cent, over the prices prevailing twelve
months ago. This, of course, applies only to un¬
furnished houses, there is no demand for fur¬
nished houses in the spring, as the supply of the
latter invariably exceeds the demand at this sea¬
son of the year.
French Flats.—It goes without saying that
apartments in flat houses, large and small, are
eagerly sought after, and notwithstanding the
enormous increase in accommodations of this
character, there is not the slightest difficulty in
securing desirable tenants at remunerative rents.
In some instances, where owners have desirable
tenants, no increase in rental will be demanded.
The average advance in property of this de¬
scription will probably reach 10 per cent, over
last year, while expiring leases in first class
apartment houses will not be renewed except at
a still larger iucrease.
Tenement Houses.—This description of realty,
which, of course, comprises a very large propor¬
tion of the homes of the masses, will also be sub¬
ject to a considerable advance over the figures of
a year 'ago. The advance demanded by land¬
lords is being acquiesced in by the tenants who are
enabled tp pay more rent by the increase in
wages in almost every branch of trade.
E. H. Ludlow & Co. say there has been
an advance in the rents of all descriptions of
property, notably in well located offices and
private dwellings, of which there are a very
limited supply. Many persons register furnished
houses to rent with brokers at this time of
year, but these it is almost impossible to find
tenants for, as there is no demand for them
before early in the autumn. In regard to the
Borecl Building, of which they are the agents,
they report that there are fifty applicants for
every office that through any cause is vacated in
that building.
Morris B. Baer & Co. report that they
have not advanced the rents in the fiat houses in
their charge, but that they find no difficulty in
procuring tenants. Up-town private houses in
good demand at about last jear's prices, while for
down-town business property, an increase of rent
ranging from 10 to 50 per cent, is demanded, and
very generally acceeded.
H. H. Cammann says up-town business and
residence property, where the rents were raised
last year, show a still further advance of from
5 to 10 per cent., except in a few instances, where
the rents were fixed last year at the very high¬
est figures they would stand. The price for flats
will also be advanced, as they are in great de¬
mand.
Crevier Brothers report an advance in all
classes of property under their charge, without
causing much change in tenants. They advanced
the price of apartments in tenement property $1
per month from February 1 st. Stores on Bleecker,
Canal and other streets on the West Side are in
good demand, and bring increased rentals.
J. Romaine Brown thinks it a little early to
speak with exactness as to rents for the coming
season, but regards an advance of 10 to 15 per
cent, for stores and dwellings lying between
Thirty-second street aud Central Park as well
assured. There will not be much advance in
tenement property lying between Sixth and
Eighth avenues. Broadway and,: Eighth avenue
stores and flats are in great demand at advancing
figures.
James R. Waterlow quotes rents for stores and
flats located between Thirty-fourth street and
the Park at 15 to 20 per cent, higher than last
year. Stores are generally well rented, and va¬
cant ones are very scarce; so that owners are
enabled to select their tenants. Tenement prop¬
erty has not been so well rented any time since
the war as it is at present.
S. F. Jayne &, Co. report a greater demand for
Sixth and Eighth avenue store property than
they have known for some years. There will be
a natural rise in rents for store buildings of about
10 per cent. Dwellings where the tenants pay
promptly wiU in some instances be relet at last
year's figures, but where new tenants come in a
slight advance will be demanded. All residence
property between Fourth and Sixth avenues will
return at least 10 per cent, more, and in some
instances the advance will reach 15 per cent.
Most of the property under their charge is old
estate realty, and it is not their policy to force
rents up to the very highest market rates. Tene¬
ment property is in great demand near the large
manufacturies at an advance of $1 per month.
Sixth avenue store property is bringing higher
rents than at any period since the ^break in 1873.
Jacob Appell does not expect to advance the
rente of property under his charge to any mate¬
rial extent. Many tenants now complain of the
high rates prevailing. There is a strong renting
demand for all classes of property from desirable
tsnants.
MINING INFORMATION.
There is not much to note in the market this
week. Speculation has been dull, and prices dif¬
ficult to sustain. A great deal of territory is
being explored, and rich finds will reawaken in¬
terest in the mining stock market. Another dis¬
covery on the Comstock would make a very live-.
ly market, but even without that stimulus there
are properties in Montana, Arizona and New
Mexico which some time or other will be the basis
for active speculation.
Quite a number of companies are in trouble,
because of their inability to raise money to
prosecute the work of development. It is a pity
we have not some well-guarded assessment pro¬
vision by which stockholders could bo called
upon to pay for the work of developing mining
properties. The wonderful mineral wealth of
the Pacific coast is due to the distribution among
the stockholders of the cost of opening up mines.
The system has been abused, but stockholders
who do not like assessment stocks can sell them.
Take the case of Bull Domingo. It is a mine of
splendid promise, but its shaft has been sunk
barely 300 feet and has stopped because of a debt
of $120,000. The stock was originally floated at
preposterously high figures and the proceeds
were pocketed, of course, by the promoters.
Knowing they had been fleeced, the stockholders
did not care to take the bonds, which were offered
to pay off the debt, and resume work in develop¬
ing the mine. Were the stock assessible, the
debts could have been paid and the work kept
up. To get the company out of its troubles, new
stock is to be issued to the amount of 200,000
shares. These are to be offered to the stockholders
at $ I a share. If they don't take them, the credit¬
ors are expected to accept the stock in lieu of
their claims. This, it is hoped, will give some
$80,000 to continue the work of developing the
mine. The Bull Domingo has a splendid plant
and one of the best concentrators in Colorado.
It is a mine of very great promise.
There are signs of activity in Big Pittsburgh,
due to the discovery of rich ore near the Henri¬
etta ground. This company also got into trouble
from an inability to assess to pay for the work of
development. Not being able to do any better,
permission was given a responsible person to sink
a shaft on his own account, he to pay a royalty
of one-fourth of the mineral, should he find any.
Rich ore has been struck in this contracted shaft,
which has led to renewed activity in the stock.
William M. Lent says he is buying Standard
of Bodie. He has great faith in the Bodie mine,
and would not be surprised if a great bonanza
was found to the east. They have very rich ore
in the Bodie mine in the old workings, 800 feet
below the surface, and this at a point only 200
feet distant from the Standard boundary line.
Eight hundred feet deep in the Bodie means
1,000 feet deep in the Standard. If there is rich
ore on that depth, then are the stockholders of
Standard fortunate, for so far no valuable ore
has been found in that mine below the 50D-foot
level. Mr. Iient believes there are three years'
dividends in sight. He thinks a great bonanza
may be found in the Bodie district far to the east
of the present workings. At the 800-foot station
of the Lent shaft they will shortly begiii to cross¬
cut to the east, and they expect to strike the vein
within 120 feet.
The Rugby Colony is a practical failure. Our
readers will remember that when first established
we pointed out the difficulties that lay in the
path of any co-operative enterprise of the kind.
In theory and on paper these colonization
schemes and co-operative enterprises seem very
plausible, but, after all, immigrants who paddle
their own canoes do better in the long run. It
seems there was somewhat too much managln g