The New York herald., 1875-09-26
.srhe NOiseisss Panic in Real Estate

the situation than broader consideration
will justify. When, some time ago, the HER
AID gave picture of the real estate market,
showing a depreciation in values of about
thirty-three per cent, certain newspapers,
| instigated, most likely, by real estate specu-
lators, overburdened with wild investments
sought to show that it was an attempt to
''bear" the market, bring on panic and
excite alarm in the minds of holders of this
! property. On the contrary, our effort
was to exhibit the true condition of
affairs, which would tend to prevent a
panic. 1t would have been gratifying to
the spectators if the market could have been
kept at its false standard until those who
were holding large blocks of real estate on
margin were enabled to sell them at the old
rate. In time of general stringency and de-
preston, with our finances drifting steadily,
whether we legislate in that direction or not
toward specie payments, with the country
recovering from the false values of the war
times, real estate could not well be an excep-
ton to the general rule.
There is no reason for panic in real
estate or for any anxiety to its future in
New York. AS soon as a specie basis is
reached real estate will find its level. It's
true level will be found when gold is again
currency. Persons who have bought as a
permanent investment will not lose even
tually. We question if they will even lose
now. New York is a small island, limited
in extent, circumscribed by river and bay.
Every foot upon it will ultimately be built.
People will buy property on New York
island in preference to New Jersey or
Brooklyn. Attractive as these across
the-river suburbs are, and prosperous as
they have been in the last few years,
their attraction is always lessened by
fear of the ice in the rivers during the winter
and storms during the summer. Somehow
the water gives Brooklyn and New Jersey
foreign relation to New York, and until, by
enterprise and science we have a tunnel
under the Hudson River and steam COM
munication over suspension bridge
across the East River this feeling will
continue. Westchester county will sympa-
thize with the preference which we naturally
give to New York In time every acre in that
beautiful and noble county will also be inhab-
tied People will much prefer to go into
! Westchester by rapid transit than to cross
the rivers by the ferryboats. The immediate
future Of real estate in New York lies in New
| York Island. Here it will lie for the next
! generation. It will take a generation,
and perhaps two, to thoroughly build
up the island. AS soon as the first
work of building is finished our irrepress1-
BILE business men begin to tear down and
build over again. Thus the lower part of
the island. which has been more or less in
habited for two hundred years, has, during
the last ten years, undergone complete trans
formation. The traveller who comes up the
Bay after a long sojourn abroad will
find the old familiar island, with its
towering Trinity spire, gone, and a
new city in its place-a city Of towers
and towering edifces and strange land
marks Consequently, even if we should
build the island from the Battery to Harlem
and have house on every city lot, the work
of rebuilding would go on as steadily
as it is now With the changes Of business
centres, the moving of the currents of COM
merce and trade from Blocker street to
Union square and from Union square TO
Madison square, and so on further up, along
Sixth avenue and Eighth and Third
and Second avenues, the tide will con-
tinue to flow as steadily in the future as at
present, and bring with it the second change
and activity in the real estate market.
What real estate has to dread more than
anything else is the paralytic condition that
has fallen upon our city government It.
! was bad enough when we had thieves in the
treasury, and when out of every million of
dollars appropriated for city improvements
at least a half million was stolen by
Tweed and his confederates. 1t is much
worse now. Highway robbery has been
succeeded by starvation and inanition
Green. with his reform" has piled up more
debt and done less with the city's money
than his predecessor with his rapacity and
crime. We suffer from his incessant en-
deavors to defeat all measures looking to the
! improvement of property. He stands in the
way whenever anything in the shape of i'm
provement is proposed. He is obstinate to a
| fault. Taxation is increasing from year to year
without any regard to the real value of prop
/ erty, and, Notwithstanding the increase in
taxes, there is also en increase in our bonded
debt. Under this system Of reform we 60
on spending more money, raising more
money and issuing more and more
bonds Under the pretence of reform
we have abuses as fragrant and numer-
GUS as during the worst days of the Tam
many reign. minor instance of this is shown
elsewhere in the condemnation of property to
pay assessments. Here is job under the very
eyes Of the Comptroller which recalls the
days when Garvey and Ingersoll were mas
ters Of the treasury. Property owned by