The record-union., 1894-08-31
SHE STRUGGLES AGAINST THE TIDE.
San Francisco Explains Her Low As
SeSsment
The state Board overwhelms Her Rep.
resentatiyes With an Array of
Facts and Figures.

Yesterday was the day set apart for San
Francisco to show cause why the assess
ment roll should not be raised SO, ,0OO
or SlOO. .OO0. 900 in order to bring 1t back
somewhere near to what it was two years
ago. Mayor Ellert, Supervisors Denman
and James, Deputy Assessors Herze and
Briggs aud Auditor Broderick. with
others, were present to oppose the raise.
They had fortified themselves with nu-
merous figures in support of their con-
tention.
Deputy Assessor HerZe read state
menI showing that the assessment IN
lS92-lS93 was S342, 643, l79. and in 1881
S325, ,10S, ,S9S, a reduction of Sl7, ,2ol.
The average reduction for 1S92-1S93 IN the
other counties was per cent. The reduc-
ton in San Francisco for the same time
is 5.12 per cent. The merchants are mol
carrying so much stock and the value OF
the stock itself is less-fully % per cent.
This accounts for the decrease OF personal
property. AS the business establish
ments have reduced their force OF en-
ploves. rents have fallen fully ~ per
cent. Many manufacturers ana mer-
chants have retired from business. leaV-
ing places vacant.
AS rents have declined, the savings
banks are returning better interest on
money than real estate is, and the latter
depreciates.
In support of his contention that real
estate had deprecated in value, he cited
the sale of lot on Market street at y, ,oO0
per front foot for which $1,000 was asked
and 81, 700 was offered in 1891. A piece OF
property which was sold in 1892 for 9lO,-
600 has been sold for $4,000.
Mr.. Morehouse asked what this prop
erty was assessed at. If the $4,000 was
still much in excess of the assessment it
would not cut much figure in this hear
ing.
Mr.. Here said that he would present
the assessment figures later.
In answer to a question by Mr.. swan,
Mr.. Briggs said that Mr.. Fair some time
ago made purchases of property and
erected fine buildings on it. In 1892 the
assessment between Market, East, Front
and Broadway was raised about 40 per
cent. Fair has built on his property
since, hoping TO draw business to that
locality, bat the buildings are not bring
ing him 3 per cent. 1t has deprecated 20
per cent. Other water front property has
been raised from 80 to l25 per cent.
Three lots were recently sold on Market
street, near City Hall avenue. and two in
the rear on Park avenue, each 25xl00 feet,
for SOC. 600. Lots in the same block, of
the same size, fronting on Market street.
sold in 1891 at $1,000 per lot. The sale
shows q decline of S55, 900. A probate sale
of the Halleck Block, at Montgomery
and Washington streets, brought Sl2l, 100.
The lowest estimate on it by eXperts in
1892 was Sl50, 900, Tor which it could have
been sold then.
The Douohue property, on Market
street. sold IN May TOR S50O,0O0. In 1892,
1faiv, v,ra1 f,v.5 5t
The corner of Valencia and Fifteenth
streets sold in 1890 for S45, 600, and is to-
day for sale at S35, ,000 Sales of Western
Addition blocks have fallen from Sll0 and
Sl37 80 per front foot in 1892 to $50 and SllO
This year.
Following the city clear through. he
could not see anything encouraging IN the
future of property. The 50-vara sys-
tenn and the l00-vara system contain
about 90 per cent. OF the property value
OF San Francisco, and if 10 per cent. OF it
was put on the market to-day 1t would
not bring the face of the assessment,
Much property on Market street would
not bring to-day 70 per cent. of the mort
cages on II.
Much OF the best property is in few
estates and has been held entirely too
high and is assessed beyond its value.
Men have invested their money in prop
erty that only brings them two and
three per cent. Allyne and White are
investing their money in New York.
where they say they can get six per cent.
net on it, by investing it there.
The receipts of the internal revenue
offices for the first seven months this
year show a falling off of Sl03, 3,l5l from
corresponding months last year.
Hebron asked If that condition of af-
fairs was not partly due TO the attitude
and utterance of the daily papers OF San
Francisco.
William Briggs said he thought the
papers probably were prejudiced in favor
of their own side of the question and,
like the State Board, took a one-sided
view OF it.
He thought that San Francisco is not
worth as much by % per cent as it was
in 1892, Oh account of the condition of
business. The outlying districts were
unduly inflated in 1891 and 1892 and have
suffered more than the district from Mis-
sion street north. They have deprecated
in value about one-half.
Speaking of mortgages, he says many
of them were placed on properly eight or
ten years ago. when property was avail
able for business. Now the buildings
are out of date and not in demand, conse-
Quently the mortgages would not fetch 70
per cent. OF their face. Some of them
have been running for fifteen years and
have been renewed several times. Now
the buildings are old and in disGse. He
had never seen the time in the forty-five
years of his residence in San Francisco
when business was so depressed as il is
now. Property values all over the State
have been unduly inflated and prosper
ity will not return till they find their
proper basis. He thought the depression
throughout the State would amount to %
or 80 per cent.
The State at large. he thought, has not
suffered as much as San Francisco has
from the general depression, as she de-
pends upon her surroundings for sup
port. He had examined the books of
many large houses while assessing, and
the board would be astonished at the re-
turns from the business shown by them.
Some OF them had made nothing and
others had not made over to per cent.
There was no doubt in his mind that
most of the business houses in San Fran
cisco are not making a fair return for
their investments.
Hebron asked if Mr.. Briggs knew of
any wheat farmer in the State who had
made per cent. the past year.
Mr. Briggs did not know of any farmer
who had made dollar out of wheat in
the past ten years.
He admitted that during the same time
San Francisco had been making money
and growing, but claimed that at present
she was suffering the most. Landed
property throughout the State, he thought
has not deprecated anything like it has
in San Francisco.
Hebron reminded him that the testi-
mony to which the board had listened
lately showed a depreciation far greater
III farming and fruit lands.
The people of San Francisco. Mr.
Briggs said, were not here to plead the
cause of the whole State. They believed
their cause was just and thought the
board would deal justly by them, as well