November iS, 1905





RECORD AND  GUIDE









ESTABUSHED-^ OfS^HSe^ 1868,

Dd^tiD p Rf\L EsTAH. BmLDI^'G ApafiTECTUKE .HoiisDloLD Vuxs^m^,
Birsn/Ess Affe Themes of GEfteRiL Wter^est..

PRICE   PER  YEAR   IN   ADVANCE   EIGHT  DOLLARS

Published   eVerg   Saturdag

Communications should oe addroesed to
C. W. SWEET,   14-16 Vesey Street, New York

Talephone, Cortlandt 3157

"Entered at the Post Office at New York, N. T., as second-class matter."

CopjriElit by the Real Estata Record and Builders' Guide Compnny,





Vol.  LXXVI.





NOVEMBER IS, 1905.





No.   1966.





INDEIX  TO  DEPARTMENTS.
Advertising Section.

Page.                                                      Page.

Cement.................xxv         Law....................xil

Clay   Products   ...........xxiv         Machinery   ................v

Contractors   and   Builders.. .vii         Metal Work ................xxi

Electrical Interests   .........x         Stone....................xxvi

Fireproofing   ..............ii         Quick Job Directory.......xxix

Granite   .................xxvi         Real   Estate   ..............xiv

Heating..................xxii         Wood   Products   ..........xxviii

Iron and Steel   .............xx





AT present it seems improbable that the Stocli Marliet will
cross the next few weeks without suffering from a sharper
decline than any which has yet taken place. It is behaving as
if stubborn conflicting influences were at work and that the
need of conservatism was not sufficiently recognized by the
majority of bullish operators. Moreover, the continuation of
the existing troubles in Russia, and the temporary disintegra¬
tion of that Empire might well cause a European financial
panic, which would have a severe reaction upon the price of
American securities. With such a danger hanging over the
marliet, caution is doubly necessary. We do not believe, indeed,
that any but a temporary decline need be feared, because the
structure of prices is not really vulnerable, except in the cases
of some specialties which have been advanced by manipiilation.
Por the most part prices are lower than they were last August,
and there are not many commission accounts which would be
caught by a sharp decline. Consequently, in spite of the Rus¬
sian peril, stocks ought to be a good purchase, in case the gen¬
eral monetary situation causes a sudden break.





A SALE in the business part of Sth ave during the past
week at a fairly high price calls attention to the
fact that such sales have been exceedingly rare of late. "Until
the present fall real estate on 5th ave from 26tli to 48th sts had
been continually active and advancing in price for ahout five
years. Every year brought with it n6w buildings, bigger rents
and higher values; and during the season of 1903-1904, which
was not particularly prosperous in any other respect, the ac¬
tivity of Sth ave business property did not flag. Of late, how¬
ever, a certain change has taken place. No new retail firms
of any importance have followed Mr. Altman's example, and
purchased sites upon Sth ave. While there are no indications
that prices are weakening or that they will weaken, it is un¬
questionably true that a pause has taken place in the business
development of the avenue and of the adjacent side streets.
One hears of few speculative purchases iu the neighborhood,
and no announcement of new building plans. Such a modera¬
tion of the pace is, no doubt, wholesome; and it is likely to
last for some time. It will take even New York a few years to
grow up to the existing level of values on the avenue. In the
meantime, of course, real estate will not be entirely dead; but
for the present prices can hardly become much higher; and
there will continue to be a tendency for Sth ave business men
to find accommodations on the adjacent side streets. The va¬
cancies created in this way will supply the demand for addi¬
tional business space on the avenue during the next few years.





WHETHER or not the owner of the Martinique will suc¬
ceed in purchasing the property on 33d st, adjacent to
that hotel, it is not denied that he is trying to do so; and this
fact raises the question as to the prospects for new hotel con¬
structiou in Manhattan during the coming year. There are
some indications that this year may bring forth a moderate re¬
vival in the building of apartment hotels. For three years
now very few of them have been erected, and it is entirely pos¬
sible  that this   marked  abstention will  justify  during  1906  a





comparatively liberal supply of such buildings. Probably, how¬
ever, when the building of apartment hotels is resumed, they
will be erected for the most part on larger plots than was
customary in 1901 and 1902. The reason why so many of the
hotels of that period failed as business ventures was that they
were not either large enough or well-enough planned and built
to be run eco'nomically. Size is a most important element in the
profitable operation of all hotels; and it is particularly so in
a place like New York. Moreover, this is all the more the case
in view of the changes of policy, which have been forced upon
the managers of these hotels. In the beginning they rented
their rooms for the most part by the year and imfurnished;
but little by little they have been forced to furnish their rooms
and fill them with transient guests. The apartment hotel is
being assimilated, that is to the ordinary hotel, except that its
customers are more likely to remain for a week than for a day;
and it has to cater for transients in a way that was formerly
quite unnecessary. The prosperity of the best of the family
hotels, run in this way, indicates that there is room for more
of this kind of living accommodation.











TT cannot be claimed that the action of the voters all over the
■I- Union upon proposed constitutional changes has served to
increase the confidence of an intelligent man in the principle
of the referendum. In all instances ftie vote upon the constitu¬
tional changes submitted to popular approval, and all ques¬
tions offered for popular decision was extremely light. It
rarely amounted to as much as half the number of votes cast
for candidates for local offices; and in some cases desirable
constitutional changes failed of approval, because of the lack
of popular interest which they created. In the State of New
York the several constitutional amendments proposed were all
approved; but it would be ridiculous to assert that this approval
meant an intelligent understanding of the questions involved
by the people who voted for them. With two exceptions the
amendments were quite unintelligible, except to a person pos¬
sessing very special information; and the voters who passed
them by can hardly be blamed for so doing. The newspapers
made attempts to explain the issues involved to their readers;
but it is safe to say that only extremely conscientious voters
paid any attention to this editorial explanation and advice.
More than half of them were realiy special and technical ques¬
tions, which were meaningless aud uninteresting except to a
few people. It is a mere farce to ask such questions of thou¬
sands of indifferent voters; and it is very unfortunate that they
have to be asked. Furthermore, even when the question sub¬
mitted is of general interest and can be easily understood, such
as the amendment authorizing the expenditure of $50,000,000
on State roads, it is difficult to arouse much interest in them
during the excitement of a regular campaign. The abstract
question is submerged under the vivid interest excited by the
personal appeals of the several candidates. It is a fair inference
from the experience of the past election that wherever possible,
only broad and easily intelligible questions should be referred to
popular vote, and that such votes should be.held at a time some
months removed from the flrst week in November.











THE authorization by popular vote of the spending of $50,-
000,000 by the State of New York upon good roads will
eventually have its effect upon the State system of taxation.
As long as the Republicans insist upon collecting all the State
revenues from special sources, they are obliged to accept the
responsibility of discovering additional sources of taxation,
whenever they have to raise additional revenue. Even with
the additions of the Stock Transfer and the Mortgage taxes the
State income is barely equal to its outgo; and money will have
to be raised by other means to pay the interest on the bonds
issued to pay for the canal and better roads. Inasmuch as
it will be difiicult to find ether sources of revenue, the
necessity of inventing them may well lead to a re-adjustment
of the whole system of State taxation. Indeed, tax-reformers
should work at the present time for the appointment of a com¬
mission, whose duty it would be seriously to consider the ex--
isting State revenues and taxes, its probable needs in the near
future and the way in which these needs can be satisfled most
equitably and economically. What is wanted in this State is
above all, a constant discussion and criticism of our system of
taxation; and every means should he taken to arouse such
discussion and keep it alive.





Comparatively little of the money that supports the present-
day activity in real estate buying is said to be coming from
the banks and trust companies, a fact which has yet been
scarcely noticed. Rather is the most of the enormous total of
funds being invested r.he capital of professional operators and
the. savings of the frugal that are buying for a home or a ris*.