The New York herald., 1870-04-11
RESUMING THE STANDARDS OF 1861
The Rapid Decline in Real
Estate Values.
Its Causes and Edects----HOw People
Liyed---- How They May Live.
1870 AS. THE TRANSITION YEAR.


level In the calm which has overspread the CONNER
cial storm and tempest raging throughout the Union
since 1851. Finances, which from that date have.
been IN q state OF excited perturbation. have just
begun to approach their original moorngs Cold,
reaching Its pyrsmlda height in premium nearly
three times It's par value has been steadily detroned
from its towering position and whatever people may
say or political economists promulgate, 1t Is this
movement Of the prodgal metal In returning to the
fold Of the people and spurning the evil and delete
rous associations OF speculation and trickery that
has brought cheap homesteads ana moderate rents.
This IL the primary cause but there is a channel
through which 1t has been passing that has super.
added to Its influence and has had much weight IN
depressing the exorbitaut rates 80 many years
charged even for the meanest rookerles upon this
Island
THE PEOPLE
the customers OF the landlords, the lessees tnose
whose combined revenues are paid for what i'm.
prOvements made In the real estate OF New York
and its suburbs-have produced the present condi.
ton OF the MARKET. When they saw gold anchored
at liz; when they saw universal insecurity In all
departments Of trade; when they saw the weallhiest
OF the heavy dealers sacrificing merchandise at q
great loss the common voice was
'.sBNrs MUST COME down."
One OF the first Of comm0ditics--f9ai estate-has
been among the last to suffer under the vigorous
thrusrs OF the people; but now the hope is wide
spread that the time Is near al hand when man
Of moderate means can live In house with his
own family alone, and not be compelled to share
the fusil atmosphere OF filthy tenements or the
domestic horrors of d modern boarding house. II
became plainly evident but u short time since that
the
EXODUS or CITIZENS
from New York to the suburbs was Increasing, and
that from the unpropitous character OF business,
few new residents were filing up the void This un
pleasant prospect for landlords has left many houses
vacant, and has determined the depression OF rents.
With stores as with houses ana 1t may here be noted
that vacated store is generally duplicated BY the
same tenant IN vacatiug his house, for man hardly
desires an expensive establishment in New York
with no income to support 1t when he can live for
song in tue Country. =
LEssKEs,
Ia view OF these and many other IMPORTANT coi,sde-
rations made up their minds to hold bsos, and this
combined stroke OF wisdom has had more effect In
causing house owners to meet the market than any
other movement A glance at
BUSINESS RENTS
vii, sh0w the downward tendency OF the market
For above ten days the writer has been In quest OF
Information touching upon the question, and has
conyersed with the wcatliiest proprietors on the
island and some OF the best informed agents of tue
county. They were, in most cases, close-mouthed
and were very generally chary OF imparting any in.
formation that might give the readers OF the HERALD
fair insight into the general decline. and prevent
their being imposed upon by the cunning Of middle
men. In almost every instance the writer asked for
tabular statement OF the prices paid in 1869 and
the rents offered IN 1870, but In every instance was
positively refused. This indicates that owners aud
agents are
AFRAID
TO represent the true condition OF rental property TO
market ana wheedle iessees INTO the belief that the
depression Is not as great as II s, and that the
but the cover Of rapacity. But the merchants re-
fuse to lease are cautious IN all their transactions
and are keeping back, and we'll may taey for, from
all evidences the field IS theirs.
Among the first gentlemen upon whom The writer
called was well known real estate firm in
PINE STREET.
The Office did not present the animated appear.
ance that one might expect at this season OF the
year. anu upon inquiry IL was discovered that rents
"lIave you come to interview r" incurred one or
the chlef clerks OF tue establishment. The reporter
replied that lie had merely called TO ascertain the
existing condition OF the drke, and the pects
Well" said the gentleman, articles that have
already appeared in the papers nave
SCARED PEOPLE
They have been led to believe that by waiting they
backward by several weeks. Only where there is
lively competition for the same house does there
appear any lirnlness IN the market; and OF course
when several men compete one must outbid the rest
10 Obtain the lease In some instance, there has
been good deal OF STRIFE
REPoNrER-What desire Is tahuar list OF the
rents o! 1862 ana 1870 showing the decrease III
crease for this season and this for The various bust
ness centreson Wall street, Cnurch street BceklGan
street and so on
CLl:HK--That could nardly be done and il done it
would not be o fair index, as stores vary ia many
different particulars
Much conversation followed. the tenor OF II beng
Oh the part OF the clerk to snow that comparative
table would be injurious 20 the market. Evidently,
for it would truly show jnst how rents stand at dn
fefent quarters OF tue city and fix the exact per-
The head OF the concern was Interviewed and he
was very afaoie and ready. In substance lie stated
rents IN all but a few localities and lie gave a. his
opinion thar the landlords would nave 10 meet the
market before they could lease their stores.
Another gentleman WHO controls vast property
on this island perhaps as large as any. Has then
called upon.
REPoETEn-w What do yon think OF rents and the
prospects ior real estate anu ot business purposes
LAwYER--Pcople had bet er leave real estate
alone-wlth an emphatic ges,tiye)-thcy mi.nt
touch it. us dangerous.
REpORTEH-Why, stry
LAwYEg--You speak OF rents why. they have
tuinpcd all tie way ron ten GO flts per cent. ana
sole stores cannot he let at the lat er figure. WY
slr, know OF three stores around in Duane street
that formerly brought $4,000 per year, and now
would be glad 10 find tenants at $1,000. They have
been vacant for long tune: Jast walk down there
yourself, s,id you VIII nnd stores not ouy pasted
with bills bnt totally nnoccupled. This was formerly
the ground OF the dry goods tlade.
REPRESENTATIONS about other localities
IAwYEa-0h. rs the same ihrougAeut The city.
TAKE Front street: rents have declined iightfuiiy.
In Beekrnan street the downward idsh il It's
extreme, anu 80 througnout tAat wholc region on
the east side. In Eeekman street II l. dllcut
10 End tenants AT any piice and the reduction may
reach 10 dry per cent
From the representation of Mr. \. T. Stewart The
reporter learned taai the reports published In these
columns a. 10 his general reduction cl rents are
true. He has put dOwu the prices OF all MS pro-
perty from ten 10 thirty.dye ana In some instances
10 fy pcr cent. Under the Metfopo.itln the stores
have peC leased al lower figures Than last year, aud
STEWART,
with Keen judgment. ioreseeing The precise tendency
.f 1rnf to- ri ylg.
GENERALLY there will nc no temptation to owners
toward lie improvements OF their estates because OF
tile reduction ana consequent feeling OF INT
pOvcrlshInent. II not this season. surely next
spring, the usual amount of baidin. ana repairs
win nave 10 hg completed.
II now remains with ess2es alone 10 say whether
they wlIl viii not dcpress rents 10 he Level where
they belong. Cold Is at liz. This preG,um ia com.
that as long
THE POPULATION
continues 10 liiC utitcr healthy condition OF
10 ~ lrIlra Ihn I