Columbia University Libraries Digital Collections: The Real Estate Record

Real estate record and builders' guide: v. 29, no. 731: March 18, 1882

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Real Estate Record AND BUILDERS' GUIDE. Vol. XXIX. NEW TOEK, SATUEDAY, MAECH 18, 1882. No. 731 Published Weekly by The Real Estate Record Association TERMS: mE YEAR, in advance ..... $6.00 Communications should be addressed to C. W. SWEET, 13T Broadway J. T. LINDSEY, Business Manager. Since the attempted disposal of Mr. Otto Ernst's property in Eighty-third street by a forged deed and mortgage satisfaction piece there lias been quite an accession to the sub¬ scription list of The Eeal Estate Record from lawyers and others having charge of estates. Of course, our books have always contained a large list of lawyers whose clients dealt in or are largely interested in realty, but the case of Mr. Ernst shows how indispensable The Record is to every owner of I'eal estate, as no liberty can be taken with his title deeds which its columns would not immediately show. The Record has now been fourteen j^ears in existence, and has published every official transaction relating to real estate in New York and Brooklyn during that period, as well as in the adjoin¬ ing districts. It follows that by using the index an owner of real estate can very readily get the history of every piece of prop¬ erty actively dealt in during that time. Tlie case of Mr. Ernst shows what peril people run in even owning property without such guard as the columns of The Record afford. The victim in this case would have been a lawyer in the habit of passing upon titles. The Record is simply indispensable to anyone who buys, sells or invests in real estate. No sharper can take any liberties wiih your title which will not immediately be brought to your notice by The Record, and it is just here where the responsibility of a newspaper comes in. The Record pub¬ lishes everything and suppresses nothing. On this point it has a reputation which is unchallenged. in a house, and he is punished by law be¬ cause he chooses that sort of investment. The law will not discriminate against him if he invests his money in a horse or a ship or an auction stand ; he is not called upon to pay extra wages to his hostler or the man who sails his ship. The law should favor the collection of all just debts in the most summary manner, and it siiould deal for- bearingly with the capitalist who furnishes good homes for reasonable prices. All legis¬ lation which favors delinquent tenants, forces the landlord to increase iiis rents so as to have an insurance fund against loss, due to such legislation. When will Isgislators learn that laws di¬ rected against landlords are really a detri¬ ment to tenants? In countries like France and England, where the just rights of the landlord are carefully guarded, rents are very low, because the owner of property is certain to get what is due him when rent day arrives. But our local laws discrimi¬ nate against landlords, and juries show them no mercy ; hence rents are necessarily high. Assemblyman Breen's bill ought to be en¬ titled "An act to encourage dishonest and careless tenants, and to tax additionally those who pay their just rents." Mr Breen, it seems, wants to prevent the summary ejoctment of tenants who do not pay their rent. In other words, the class of landlords are picked out on whom forced contributions are to be laid for the benefit of delinquent tenants. Why should the landlord be treat¬ ed any differently from the butcher or baker ? Yet in this country a curious prejudice is fostered agaiost the man who puts his money MR. VANDERBILT AND MR. GOULD. In the summer of 1877, it will be remem¬ bered, there was a strike of the railway em¬ ployees, and it really looked as if tlie whole transportation system of the country was about to fall into confusion. Under ordi¬ nary circumstances there would have been a partial panic in the stock market; but it happened that in the spring of. 1877 Mr. James R. Keene had come to New York from San Francisco. Believing the lowest point in prices had been touched, he bought stocks largely and was loaded up when the railway strike came. He found himself in a tight place, aud an appeal was made to Jay Gould. Russell Sage, W. H. Vanderbilt, aud other great capitalists to help him through. For their own sakes as well as his, they con¬ sented, as a panic would have been a verj' awkward tiling to meet. So iu the midst of the confusion and excitement, when the whole railway system of the country was paralyzed, the great capitalists deliberately entered the street, and by active bidding advanced prices under the most adverse cir¬ cumstances. These same great manipula¬ tors have recently combined for the same purpose. Since last July, Ihe properties they control have fallen off in market value from 15 to 50 points. The market was stead¬ ily drifting towards a crisis, and so Mr. Jay Gould, Mr. William H. Vanderbilt, Mr. Rus¬ sell Sage, and other great railway manipula¬ tors and owners have taken the public into their confidence, and in published inter¬ views have let the world know that hence¬ forth they are bulls. They openly announced their intention to sustain the market. Mr. Vanderbilt, for instance, states that the rail¬ way war has stopped for flve years, and he pledges himself hereafter to make rates re¬ munerative. Mr. Jay Gould proves that not only is he not embarrassed, but t^at he is worth nearly $50,000,000 in stocks alone, without counting bonds and other invest¬ ments. It must be confessed that the bulls have just at present an enormous backing. E very active, enterprising capitalist in the country is more or less interested in some railway en¬ terprise. Their interests and hopes are bound up in seeing the lines to which they are com¬ mitted completed. Vast iron, coal and other industries are also committed to the bull side. The party, therefore, has vast organ¬ ized capital at its back to sustain the market against further depreciation. Then there are other considerations which help the bulls. Money is cheap, the immigration continues very lai'ge, manufacturing con¬ tinues active, trade is good, and what is the most potent argument of all, stocks have got back to reasonable flgures; they represent actual values. As for the bear party, it is flushed with past success, but it does not begin to com¬ mand the great capital of the bulls. It is 110,000,000 against f 100.000,000, and yet it is very doubtful whether any great advance will be made. Money ought to be tight early in April, a state o£ things which usually depresses the market. The gold drain con¬ tinues, and the general causes which have broken prices are still in operation. Tiie market is a safer one to operate in thau it has been for some time past. No great break can occur, so much is assured,, and so, if there is not much to advance the market to very high figures, there is an assurance that no ]ianic will be allowed to interfere with it this spring. It is not unreasonable to suppose that a foreign demand for our securities may now be created. It was Mi*. Vanderbilt's attitude in the railway war whicii changed the temj)er of the London market and sent so many securities back to New York. The capitalist s on the bourses of Eui ope, if satis- fled that the great railway magnates iiere in¬ tend to sustain their properties, will naturally be again purchasers of American stocks and bonds. THE LABOR STRIKES. The strike of the laborers from Massachus¬ etts to Nebraska is one of the curious signs of the times. In the latter State the troops have been called upon to preserve order. A3 every capitalist and employer knows, there has been a heavy shrinkage of values in all manner of securities. Comparing the prices of all active stocks, there has been a shrink¬ age of from 20 to 50 points in eight monihs time. This represents an enormous total, and has put a stop to thousands of enter- pri:,es in which additional labor would have been employed. Having had two years of full-time work at good wages, the laboring classes have got some money ahead and have chosen the time when capital is aban¬ doning new enterprises to insist upon an ex¬ travagant compensation. One of the first results in this city has been to put a stop on the work at the new opera-house, as well as the projected hotel, corner Broadway and Thirty-ninth street. There is a demand for new houses of all kinds in New York, but the high price of labor, bricks and all build- i'^g material, is making the capitalists who are backing the builders very cautious. Whoever erects any kind of a structure now does so with a knowledge of the fact that labor and all material are mere costly than they have been since paper money times. There is really very little encouragement in build¬ ing new houses, and a little enforced idle- ' ness would have the effect of reducing the