Columbia University Libraries Digital Collections: The Real Estate Record

Real estate record and builders' guide: v. 77, no. 1992: May 19, 1906

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May 19, igo6 RECORD ATsD GUIDE 937 Dev&tiD to Re\l Estate, Building %cKiTE(mjR^ .HouseHoid DEoOR^nwf. Busii/ess Alfa Themes or'GE^d IKte:r,esi. PRICE PER YEAR IN ADVANCE EIGHT DOLLARS Pablls/itd etiern tSalurdaiP Communications abould ho addroasod to C. W, SWEET, 14-16 Vesey Street, New York } Telephona, Cortlandt 3157 "Entered at the- Post O.fflre al Krw York. If. Y., as second-class mailer." Vol. LXXVII. MAY 19, 1906. No 1992 INDEX TO DEPARTMENTS. Advertising Section. Page. Page. Cement .....................xxiii Law ..........................xi Consulting Eugineers ..........x Lumber ..............-. .xxviii Clay Products ...............xxii Machinery ..................iv Contractors and Builders ......v Metal Work ................xvii Electrical Interests..........viii Quick Job Directory..........xxv Fireproofing ...................il Real Estate ................xiii Granite .....................xxvi Roofers Sc Roofing Materials.xxiv Heating .....................xx Stone .......................xxvi Iron and Steel .............xvill Wood Products ............xxix ^ '^ - ■ ' - . ..-— — ■ -— . . . ■■_..._■. WALL STREET seeme to have settled down to the,convic¬ tion that for the time being the season for a bull market has passed. Many happenings of the last fortnight, including the revelation of the tragic death of the private secretary of Henry H. Rogers, tend to show that all had been arranged for a bull campaign when interrupted by what may be designated as the greatest catastrophe of modern times, the San Fran¬ cisco calamity. The unparalleled decline that followed, mea¬ sured by the tremedous shrinkage in values in such a short space of time, has taken the spirit out of the street, and a dull, hard summer is generally looked for. There are some erstwhile shrewd operators, however, who believe that cheap money and cumulative bull conditions if steadily fortifled by improving crop prospects will cause a hardening market which, under covering of a stiff short interest might any week burst into a bull flame. Such a market might well be set in motion by sporadic advances in stocks now long overdue aud selling much below their value. Half a dozen such advances follow¬ ing each other would cause the street to examine the list for other winners and soon all would be in motion. Such a stock for example, might be found in the preferred shares of the Toledo, St. Louis and Western railroacl. In April, 1905, they sold on the street at 65 and in the recent break as low as 48, notwithstanding that in the intei-val the net surplus has exactly doubled. Th.e statement of gross and net earnings recently published-for the eight months of the present flscal year indicated about four million, two hundred thousand dol¬ lars for the year that will end June 30, 1906, and the full dividend, earned on the preferred aud a balance for the common stock. Should the road be taken over by one of the great trunk systems under a guarantee as contemplated, the pre¬ ferred stock should rule as high as Mobile & Ohio 4% stock, guaranteed by the Southern road, now quoted at 98 to 100. Meanwhile the beginning of dividend payments this year should result in establishing a price on the Stock Exchange of say 75 to 85 for the preferred stock, and that indeed is the expectation. THE ARGUMENT for Toledo, St. Louis and Western pre¬ ferred may also be said to apply in a modifled way to the Iowa Central preferred and Wisconsin Ceutral preferred shares. The earnings of both these roads are increasing very fast and the shares should be selling at higher prices, and indeed did sell at higher prices prior to 1901. It certainly seems as between the high-priced railroad shares on the one hand and what may be called the inflated metal shares, at least of some issues, on the other, that the safest and most profitable operations will be found in buying the medium- priced railroad shares now unduly depressed. This subject has been referred to several times in these columns. Railroad shares like Reading, St. Paul, Union Pacific, Pennsylvania, Reading, Southern Pacific and Missouri Pacific will of course have their ups and downs, but for the average operator there is not liliely to be the prospective margin of profit in thera as in operations in some of the medium-priced issues mentioned. As to rboney, it is a remarkable fact that one of the most important banks in 8an Francisco annouhces that it now holds in cash nearly 85 per cent, of its deposits. This is surely a striking proof of the sound'monetary condition, not only of the Pacific Coast but of the country generally. There is no halt in the tide of prosperity. The government report shows that our imports and exports in April are the greatest on record. The prodigious sum of three thousand million dollars will probably be the total for the whole year. BROADWAY between the Herald Square and Times Square has had little part in the improvements which have aug¬ mented values on the same side of town between Fourteenth aud Thirty-fourth streets. The hotels Vendome, Marlborough, Normandie, and Saranac, remain as previously. The new Knickerbocker will replace the old St. Cloud. The five theatres, the Knickerbocker, Casino, Empire, Broadway and Herald Square are, none of them, new and many of the buildings between Thirty-fourth and Porty-second streets show minor alterations so far as the stores or offices in them are concerned, but not otherwise. In the territory on Sixth avenue between Thirty-fourth and Forty-second streets, a district long disre¬ garded by real estate speculators, however, there are beginning to be numerous changes. Some of the old brownstone build¬ ings along this thoroughfare are being altered; others are being replaced by more modern structures. The district is one which would seem to lend itself naturally to improvement along present real estate lines. The completion of the new public library on Fifth avenue between Fortieth and Forty-second streets will certainly add to the attractions of Bryant square neighborhood, and the construction of business buildings on Fifth avenue between Thirty-fourth and Forty-second streets is not likely to leave the parallel part of Sixth avenue without some like demand. The New York Central improvements for the Forty-second street terminal must add to the business of that station, and the opening of the Hotel Belmont adds to the' importance of Forty-second street as a thoroughfare. Those portions of the west side which have thus far resisted longest any improvement seem to be the ones most likely to be affected by the changes now going forward. A SECTION of New York which has 'grown slowly, getting little of the general impetus towards improvement, is Fourth Avenue between Fourteenth and Forty-second Streets, and the territory tributary to it. Values in this section of New York between Union Square and the Grand Central Depot lan¬ guished for many years. There were isolated cases of Improve¬ ment, new buildings here and there, but no general advance. The opening of the Subway was counted upon to realize the ex¬ pectations of many for a boom in this section of Manhattan, aud certainly no section of the borough has been so truly favored by the Subway in the matter of stations, for within less than a mile aud a half there are two express stations, one at Fourteenth and one at Forty-second, and four local stations, at Eighteenth, Twenty-third, Twenty-eighth and Thirty-third Streets respectively. There, are cross-town lines of cars at Fourteenth (now connecting with Brooklyn), Seventeenth and Eighteenth, Twenty-third, Twenty-eighth and Twenty-ninth, Thirty-fourth and Forty-second Streets, connecting with the whole upper West Side. But notwithstanding this, the Fourth Avenue section has remained substantially the same as it was twenty years ago, and the intervening streets have shown but little advance. A comprehensive development of the ter¬ minal facilities of the New York Central Railroad at Forty- second Street and their connection with the Pennsylvania ter- ■ minal on tbe West Side by subway seem likely to bring about a change frequently promised but always postponed in the value of Fourth Avenue realty and the value of the large territory tributary to it between IVIadison and Lexington Avenues. It is a section of New York which has grown perhaps less than any other section having like advantages north of the line of Four¬ teenth Street. SOME strong influences have entered the Hudson River brick manufacturing field within two years, since it has become lairly profitable, and more unanimity than has ever prevailed in the manufacturers' attitude toward this market is likely to be ob,^erved. But for this there might be an expectation of another long period of shattered quotations for common brick, as a' consequence of the swelling output, notwithstanding the an¬ nually expanding market. In former times the brick manufac¬ turing business on the Hudson River was carried on almost exclusively by families of social and financial prominence in their communities. Along with paper-making, milling, weaving: and tanning, brick-making was one of the earliest forms of manufacturing in the valley. With the prospect that in the future tbe requirements of New Tork will rise nearly to an equality with the supply from up the Hudson at least, there-tg