Evening star. [volume] (Washington, D.C.) 1854-1972, 1890-11-08

STAR: WASHINGTON
REAL ESTATE GOSSIP.
A Lively Demand for Options Tor y
Street Property.
COL. srRoNo's LARGE INvKsrNINf AND WHAT
II. THINKS OF TIE PRxsEHr PRIoBs-Pno.
POSED HEw STEAM IAILRoADs 10 ooNHECf 1Hz
CITY WITH TIE suBUnss-oTHx1 MArr1nA
n STREET PROPERTY h again a ths
Ia front - IN interesting feature Of the real
II estate market In the moysmsnt In bust
ness property, which came over 70 the
- fall season a. legacy from the spring
season, there have been certain distinctive linsa
which have marked the course Of sales. Tol
example, . wave of activity swept along j
street and then subsidized. Presently people
were buying and selling property on the side
streets, and then the boom, ~ IL q more gen
orally termed, struck G street and spread out
to the north. The entire section between 9th
and 18th, Pennsylvsnia avenue and New York
avenue, has been pretty thoroughly harvested,
10 use another figure by the industrious real
estate agents and it il safe 70 say that there ID
no owner Of property in that section who has
not had . chance at least to give IN option on
his property. There have been good number
Of sales and corner lots and eligible inside lots
timea The prices have been going steadily mp,
as the readers Of The STAB are aware. and some
surprisingly high figures have been paid for
property. During the past few days there
has been manifest . renewed interest
in street property; and do, owner. hay. A.
least were extremely tempting. With one or
two exceptions owners have held out and
ct the same time held on to their property.
notable sale was, however, made In the trans
fer OF two pieces Of property at the northwest
corner Of 18th and to Col Henry Strong.
store is located, was sold about Ave months ago
to n. NJ. Parker and Charles Baum. They paid
what was regarded a. an enormous price,
namely $40 per square foot, which was then
the highest figure ever paid for property on r
street. 1t il. however, . very compact piece Of
ground and contains not waste inch. Il has
only frontage Of 16 feet aud depth Of about
55 feet and contains S88 square feet Col
Strong, however, paid e55 per square foot for
the property and in addition . bonus Of $4,000
piece OF property cost him S58,000, or more
than $65 per square foot This ID the highest
price per foot ever paid for business property
In this city, and goes far beyond the highest
previous price, which was as per square foot
This latter was the consideration paid BY the
non building, at 10th street and Psnnsylvsnia
avenue. Mr.. n N. Parker in speaking of this
sale said that he was told when he bought the
property five months ago that he would never
get his money back. He believed then that the
property was fully worth the money. and he il
could have secured . higher price then Col
Strong paid, but he did not wish TO stand in the
way OF handsome improvement, which he
knew Col Strong intended 70 make.
ANOTHER GOOD PRICE PAID
Col Strong at the same time secured the sd-
joining piece Of property, No. 1l0S, by paying
the owner, John A. Stephenson, ss6,00o. This
property has the came depth - the corner
piece, but is one foot wider. II contains "a
square feet and the price per foot was there
fore about eSa. Col. Strong paid also bonus
Of $4,000 70 the tenant holding lease Of this
which, az IN the case Of the corner
had several years yet to run. II
therefore cost Col Strong over e47 per square
foot The combined properties gives him .
frontage OF 80 feet on F street BY . depth Of
about IS feet and contains 1882 square feet Il
cost him $l0S 600, which ID, at the rate Of about
$56 per square foot. No higher price has ever
been paid for property in this city.
The property, however, must be worth the
money, for the reason that 1t was secured by
Col Strong, who il q shrewd investor and has
had wide and varied experience in real estate
investments both in this city and in other parts
OF the country. He came here several years
ago as other men of wealth have come and are
still coming and, liking the city, he decided to
have home here and built fine residence at
the northeast corner Of 10th and L streets,
He was not long in foreseeing the expansion in
kkoh x1fA . -
He bought property on the south side OF = street
between 18th and 18th streets, and erected
there large and handsome business building.
He desired to become the owner Of the entire
street frontage of that square and would
have bought II he could have induced the
owners to sell He, however, secured two sd-
ditional pieces Of property on that square and
has made handsome Improvements. He isnow
erecting a spacious residence on X street, be.
tween 10th and 17th streets. Col. Strong has
shown his faith in tho future Of the city In Q
very substantial and practical manner.
COL. STRONG TALKS.
In talking about real estate here he il rather
il not bearish, in tone. To SrAa
man, who asked him the other day after he had
made the purchase Of tho property at 18th and
streets what was his opinion Of the present
activity in business property he said, In his
quick, decisive manner, 1T Is almost entirely
speculative. The prices that are being paid Ior
business property are too high. At the prevail
ing figures the property will not pay per cent
upon the money invested and in some cases not
l per cent. l understand that ESQ per foot 10
asked for G street property. Such prices are
excessive. There is only ok months Of the year
when business is done here. This city 10 not
like Chicago, where there are large establish
ments that can afford TO pay big rents. Here,
if q man secures 20, 600 feet Of ground and pays
go per foot for it there is an outlay Of 5000 900
for the ground; added to this Il @2OO, 900 for
building and there is an investment of $6O0, 900.
1t Is necessary to secure q rental Of about
$50, 900 per year. How many business estab-
lishments here can afford to pay such rental?
There Is not business enough here to pay such
rents, and, as l said before, prices are too
high"
Col. Strong stated that he had made arrange
ments to lease the building which he intended
to erect at the corner of 18th and T streets TO
New York jeweler.
Nh WARMERS vIIwS
Mr.. B. H Warner, who has been in the real
estate business for more than twenty years, was
asked for his views as to the activity in bust
ness property and the high prices recently
paid; and whether, in his opinion, tho move-
ment has been lar ely speculative, and whether
or not the prices will remain fixed Mr.. War
ner said:
"As you know I was one 81 the early sdvo-
Gates OF business property. Il 10 the choicest
kind Of investment and far less liable to fiuc-
tuation than any other security einto which
can put their money. OF course
other classes Of investment pay larger rates of