The herald., 1894-01-01
CITY REAL ESTATE VALUES,
- c4oS1x, Ao:.
- AcCauo VI ouCQuJ a FPs
tion on All Sides.
Comparison of Values Along Business
Thoroaghfares.
Tho Records OF Several Years Carefully
and d'ensorvAtiveIy Compiled-The
Tendency of Development
shown by the Figures.

The following article on city real
estate values is obtained from the Real
Estate Bulletin:
The causes which operate to fix or
change the location of the center Of
business in large cities make an inter
esting study. In most commercial
towns business has not remained where
the original proprietors designed, bat
has been in1uen ced by various causes
to other localities. Los Angeles has
been subject to this change, and the
plaza, which at first was the center OF
the city's business life, is now compars-
lively deserted, and the vicinity given
over to the Chinese and to the abode OF
those lines of trade in which cheap rent
is necessary prerequisite. OF course
the expanded business OF the city could
not be confined to the restricted limits
afforded by the original plan of the old
pueblo, but the growth of later years
has been in new directions, and in
some respects away from streets that
would naturally improve. In order to
point out the causes which have opar-
ated in drawing trade away from the
old center, and also to give our readers
reliable data showing the present prices
its comparative value in the past, the
Bulletin has collected from a number
Of our Oldest and most reliable real
estate dealers, data showing the trend
OF business and fluctuations in the
prices of frontage for the past ten years.
The information thus collected shows
that during that time there has been a
constant movement of trade to the
south and west, until now the business
center Is lccated on streets which at the
beginning OF the period were residence
SO; eul "a eiSa111zs a1s During the decade Main
street, which from its location and the
fact that il is the longest continuous
street in the city would naturally be the
leading business thoroughfars, has
fallen from first position to fifth or sixth
rank, as indicated by the prices at
which frontage is selling. The history
of Main street 10 demonstration of the
fact that property will not 'tske care OF
ITSELF" but that on the contrary owners
must build modern structures in order
to hold business. During the boom
Main street holders, with few notable
exceptions, seemed to think that the
most primitive building would COM
mand the highest rent, and in trying to
make the property yield exorbitant
rents without providing compensatine
accommodations, they killed the goose
that laid the golden egg." And as acon
as business began to follow Spring
street, the enterprising owners on that
street and Broadway saw their oppof-
tunity, and by the construction of mod
ern buildings entirely changed the char
acter of those thoroughfares.
Until about 1888, the highest rents
were paid on Main street, from
the old Pico house facing the
plaza to Temple, bnt before the collapse
Of the boom the corner OF First and
Spring streets had become the best
property in town. From that time to
the present this tendency to the south
and west has been constant. At the
commencement of the period Broadway
(then Fort street) was purely resi-
dence street, running into the hill near
First street, but the holders of the
frontage put money into modern build
ings, and now the value of its property
has doubled many times.
To arrive at the true valuation of
property many elements are to be con-
sidered, especially under circumstances
where there 10 uncertainty as to the
future. Many men are forced to sell
and part with their holdings below their
rental value, while on the contrary,
others, who are able to hold on, will not
sell unless they get price far in excess
Of such valuation, having a strong faith
in the future of their property. These
and other causes render 1t very difficult
to arrive st an accurate valuation, but in
the table herein we give prices made up
from actual sales and also careful esti-
mates made by conservative men who
hnva Iaor. IN, fha hf1afuoaa hGfnra 6uriuo
and since the boom, and whose judg-
ment would be taken as expert evil
dence on real estate values in any court
in the city,
Starting in 1888, which year may be
considered as the beginning of the
boom, the highest property was found
on Main street, between the Plaza and
Temple street, where property sold as
high as $500 per front foot, and re-
mained at that point until 1887, when
4 prices began to decline, and now range
from $500 to $500, while adjacent prop
erty on Spring, just south of Temple,
sold in 1888 for $3.50 to 5000, and in 1887
at from $1,000 to $l100, where it now re-
mains, the portions near Temple remain
ing stationary, while lower down, near
First, the tendency is upward. From
Temple to First on Main prices have
been somewhat irmsr than north of
Temple, and near First late sales have
been made at $500. A fair valuation,
from Temple to First, would be $500 to
$500. with prices rather receding than
otherwise.
AS we 60 further down the two streets,
the difference in values becomes greater.
On Spring, from First to Second, the
highest property is found, although some
dealers claim that values between
Second and Third are fully as great as
north of the former street. Two of the
most intelligent dealers expressed them
selves as being unable to decide just
where the highest values are located,
rather giving Second street the prefer
ence, on account OF its street car facili-
ties and it's easy access from the hill Sec
tion. On Spring, between First and
Second, prices we're given by one dealer
at from $500 to $1,000; by others at
$500. In 1888, the same property sold
from $3.50 to 5000. and at the height Of
the boom, in 1887, $1,000 to $1,000. While
on the other hand, on Main street prices
now rapge from 5000 to $500, about the
same az in 1887, wnile in 1858 the price
was onF7 ZOO.
Between Second and Third, several
gentlemen put values at $1,000 to
$500 on Spring, while on Main the
range is $400 to $500.
Nalt,aa f,y, 2nrtxss IL, 1892 xua~a c100 ",