Columbia University Libraries Digital Collections: The Real Estate Record

Real estate record and builders' guide: v. 65, no. 1663: January 20 [i.e. 27], 1900

Text version:

2?, t^dd. RECORD ANt> GtinDfi. 141 ESTABUSHED-^M.My;H21V>IB68. Dev&teD to R.EA.L Estate .BulLDl^'G %cKit£cture.Kousehold DEGOfiftnotf, BiJsn/ESS Alb Theses of Get^r^L 1Htei\esi.. PRICE PER YEAR IN ADVANCE SIX DOLLARS. Published every Saturday. Telefiioke, Cortlandt 1370, Communications should be addressed to C. W. SWEET, 14-16 Vesey Street. /. T. LINDSEY, Business Manager. "Entered at th& Post-OSice at New Tork, iV, Y., as second-class matter." Vol. LXV. JANUARY 20, 1000. No. 1U63. Theliidex lo Volume LXTV of tlie Record and Guide, covering the period between Jul;/ 1st and December 31st, 1SU9, will be ready for delivery dining the eomina week. Price, $1. Thi'i Index in its enlarged form is noto recognised as indispensahle to every one engaged or interested in real estate and building opera¬ tions, it covers all tra>tsactions—deeds, mortgages, leases, anoHon sales, building plans filed, etc. Orders for the Index should be sent at once to the ojfiee of publication, 14 and 16 Vesey Street. ONE would suppose, judging by the comments generally prev¬ alent, that the Stock Market is influenced entirely by the war in South Africa, and that the poor success attending the British arms, explains its dullness. Of course, the war has its influence, and victory or defeat on one side or the other ari= things that professional traders use to direct sentiment whither they want it to go; but the real reason why cur prices do not advance mere, is the absence of speculation due to the occupa¬ tion of the public in their legitimate pursuits. If there was any public in Wall Street, it would soon cut itself away from out¬ side influences. Even in Europe, where the effects of the war are felt mo&t directly they have moderate results, owing also to an inability of those who make the security markets active by their presence, to attend to speculation and the large business they are doing at the same time. The Bank of England and the Bank of France both reduced discount rates this week, though the remainders are not so low as to indicate absence of commer¬ cial demand. "Wilih us rates are low enough, the condition of business good enough, and that of corporations whose securities are traded in, prosperous enough to encourage speculation. If the moneyed public had not something better to do. As it is, prices hold fairly strong, the investment demand continues good, and there has been no fair and adequate reaction from the de¬ clines forced in the last half of the past year. IL is reasonable to suppose from these facts that when the security market does be¬ come really active, it wili be in an upward direction. There are those who foresee a renewal of the currency fight in the coming presidential election, and look askance at Quoted securities on that acccunt, but it will be early enough to take fright on that account when the nominations are made. THERE is much to support the claim of architects and build- ■ ers in the Bronx that there cugbt to be within that bor¬ ough an office at which they -can file their plans instead of hav¬ ing to make the long journey down to 18th street and 4th avenue for that purpose. The closing of the Bronx branch offlce of the Department cf Buildings was a mistake and that the parties aggrieved thereby are now appealing to the Legislature for re¬ dress ought not to surprise any one. Nor should it be surpris¬ ing that while about it they take the radical step of asking for the appointment of a separate Commissioner of Buildings for their borough. This, however, is opposed to the principle of con¬ solidation, which the' Charter embodies, and is, therefore, hardly likely to meet the approval of the municipal administra¬ tion that may be said to have the deciding word cn such mattes. The claims cf the Bronx people and the reasons with which they support them will be found in our news columns. It would be easy for the Department of Buildings to meet the worst com¬ plaint by reviving the facilities once given to Bronx builders and architects, and for whose withdrawal it is hard to Imagine any just cause. -----------^---------- THE introduction of Senator Stranahan's Tax Bill has aroused a pretty lively discussion throughout the State. As a result more bills are being introduced to direct the effects of the first away from, particular interests. The agriculturists have procured the introduction of a bill to exempt from the pro¬ posed mortgage tax farm mortgages. It need not be pointed out that the effect of this would be to correspondingly increase the tax burdens of the cities. Another bill, that of Assemblyman Rob¬ erts' is good ia intention, but unlikely to be satisfactory in execu¬ tion. Tlie intention is to make the mcrtgage tax fall upon the mortgagee, but the means proposed to do this are quite inade¬ quate, as, in fact, any legislation means would be; because, that; matter will be controlled by economic and not legislative laws. For a time the.operation of the former may be obstructed, but eventually they must prevail, and the more they are obstructed the greater will be the injury that will finally result from .that fact. As Viewed by Brokers. FAVORABLE FEATURES OF THE OUTLOOK FOR SPRING BUSINESS. ^^KE brokerage news, measured by the budget of last week, ■^ is disappointing. There are no items of first-rate import¬ ance, and the sum of the reports hardly reached seasonably nor¬ mal proporiiions. Nevertheless, considered with reference to the preceding autumn and winter months, the sales at private con¬ tract constitute a substantial body of business. The real estate market, though not so conspicuously as last week, developed evi¬ dence of sympathetic activity induced by easier conditions in the general money market. The resumption of dealing in vacant lots and antiquated premises is sufRcient proof that building loan operators and speculative builders are preparing for an active spring season. Apart from the movement occasioned by the re¬ newal of purchasing for improvement, the real estate market disclosed little disposition to shake off the lethargy of recent months. Still, it is worthy of note that there was not the total absence of transactions in mercantile property which has come to be accepted as an ordinary rather than an extraordinary oc¬ currence. Indeed, brokers say that they find it easier to obtain considera¬ tion for offers of investment property than tbey did a very short Lime ago. The conviction is gaining ground that intrinsic con- diLions in real esLaLe have assumed a posture attractive to out¬ side capital. Everybody admits that, after years of liquidtion and after a rise in eonstrucLional cosl, all that is required to give the upward impetus to realty values is the merest hint of a dis¬ position on the part of the public to buy improved property, and few doubt that, were the uncertainty as to the fluauciai mariet removed, this disposiLicn would logically follow. Brokers have every advanLage of argumenL—renLs are rising, fee values are low, and a period cf rising quotations is anticipated. These considerations are strongly reinforced by the prospect for rapid transit. There is every reason to suppose that the tunnel road will be constructed wilhin from three or five to ten years; if Mr. McDonald does not build iL, some oLher contracLor will, or else the municipalLy. It was observed when Lhe ele¬ vated roads were built that there was little rise iu lot values between the commencement and completion of the work of con¬ struction; a very considerable part of the speculative rise had been discounted before the constructional work began. But as soon as the lines were completed land values doubled and trebled, in advance cf the influx of population. The conclusion is inevit¬ able that it wculd be impossible to err now in buying improved property. Even a 5-sLory single flaL in Harlem would net a sav¬ ings bank interest on the inves'tment,and at the end of from three or five years to ten, at the utmost, it would command a very handsome unearned increment. The building up of the island north of 155Lh street, taking the East and West Sides as preced¬ ents, will be accomplished in a very few years, once rapid transit is realized, when the district between 59Lh and 12oth streets would stand in the same relation to the city's residential and shopping center that the section between 14th and 59th streeta does now. According to D. Phoenix Ingraham, lots on the souLh side of 125Lh streel, beLween Sth and Tth avenues, were selling at $4,000 when Lhe elevated road was under construction, while lots in other streets, between the same avenues, were bought for $1,500 and $1,200. Certainly these lots, particularly if improved and carrying themselves, proved at those figures the most bril¬ liant investments that ever combined safety with profit. Real es¬ tate is in precisely the circumstances, local and general, making for a rise in values, that obtained in 1S79, which year inaugurated a decade of extraordinary and almost uninterrupted prosperity. In short, the Intrinsic merits of the real estate situation, brokera say, are so apparen>L that, with prospect of a protracted period of normally low interest rate on money, we ought to see a move¬ ment in improved property every bit as impressive as that which we witnessed last spring in vacant land. ^