The San Francisco call. [volume] (San Francisco [Calif.]) 1895-1913, 1895-08-12
Opinions of Brokers Regarding
the Prospects of the
Market.
OUTLOOK FULL OF PROMISE
The Condition of Business in Gen.
eral Presages Well for the
Future.
Real estate brokers' are much encouraged

greater business prosperity appears to be
dawning all over the country. From all
points of the Eastern States accounts are
received of the revival of factories and
mills and consequent quickening of gen.
eral trade. In this City, without referring
to semi-annual statements and reports,
general improvement in almost every line
of business is observable, and while there
is nothing in the shape of a boom, there
are many indications of marked one day
last week.
In commenting upon the real estate
market of the future, David Rich of
the firm of A. ]. Rich & Co., said yester-
day:
There is every indication the wave of de-
preston which has been passing over the coun-
try has come to halt; this is already affecting
the business interests and will soon make itself
felt IN real estate values, hence we can safely
assume that the value OF property in the City
Will advance.
1t is difficult to prophesy what direction it
may take, but certain factors will always have
their influence in deciding the general direc-
ton OF Improvement in city like San Fran
cisco. Being great seaport the wholesale
business houses and important mercantile in
terests must center in the region of the water,
and, fortunately, this district in our City being
level is well adapted for wholesale traffic,
warehouses, shipping, financial and the large
commercial interests. With the improvement
in business this part of the City must first sym
pathiZe.
The conformation OF San Francisco is such
that the minor retail business will, as now, fol-
low the lines of the valleys and the streets ra-
dating from the greater business center down.
town.
The choice of the hills for the finer resi-
dences follows an invariable law. Exclusion,
privacy and beauty are sought and found on
the heights only; the cable system has only
enabled francisco follow what
a general law
It is likewise inevitable that our beauti-
ocean, Will make the neighborhood around
1t the choice of many who love to
have this wonderful piece of landscape
gardening at their door and enjoy it as q
retreat and playground for children. The
land around Central Park, New York, is noI
almost priceless, and the future of San Fran
cisco may see q similar rise in value around
Golden Gate Park.
In conclusion desire to say that San Fran
cisco must, in order to follow the wide-awake
cities of the United States, arrange for an issue
of bonds for the improvement OF its streets,
parks, sewers, public buildings and other
needed Improvements. Any argument against
such procedure on our part is 10 argue that
every city in the United States, with popula-
ton of 80 900 or more, is entirely in the wrong,
and that We are the only community that are
right.
In discussing the same subject F. II.
Burke of Madison q Burke said:
Everything points TO fair market this fall.
Sellers, owing to reduction OF rents, have re-
duced prices and are Offering in quiet way
investments that, until recently, they would
not entertain offers for. People with money
in the savings banks fear, owing to the loans
now being made al 81 and even per cent a
reduction IN the dividends on their deposits
and are more liberal in their offers.
The class OF buyers who need leader have
become more confident since the Mills, Croker
and Parrott estates as well as Mr.. Spreck-
les have spent so much money in i'm
proving their purchases. The recent invest
ment OF millions in San Francisco property by
these ShTeWd, experienced and successful BUSH
ness men at q time when rents are low and
general state of depression prevails throughout
the country tends to prove that such
people consider that real estate is the
safest investment. If buyers would look more
to the future increase in value of realty, which
past experience has shown always comes to
large cities, instead of the income that improve
Inents in undesirable locations produce, we
believe that the real estate market would re-
ceive new impetus and healthier tone
would follow.
In his positive style Will E. Fisher
argued:
The improvement noticeable in the real es-
tate market during the last two months war
rants the assurance OF an active fall and winter
market. While the demand for improved and
elgibly situated lots, suitable for immediate
improvement, continues good and active, there
is no tendency on the part of investors to pay
the boom prices which obtain during periods
of extravaganza speculation. This conservatism
on the part Of investors guarantees the per-
manence Of the existing activity.
Owing to the financial troubles of two years
ago many people have sought investments in
real estate as the safest employment of capital,
and the result has impaired a healthy tone to
realty. The prices obtained for improved
property are based on the per cent which The
income pays on the investment, and 1t is safe
to say that property paying fair income will
always find buyer, provided, of course, that
the situation is desirable and It's Reliability
beyond question. Outside property will always
have speculative value and participate in the
general movement. In Richmond and the out
lying districts of the Mission reached by the
new electric line property is attracting much
attention and the prices are well maintained
The many new homes in the course of erect ton
and those already projected have given an i'm
petus to those fast-growing neighborhoods,
and values are sure OF steady increase. Taken
as whole, the prospects not only for con-
tinuance but for an increase of the present
activity are very f1attering.
George Toy of Bovee, Toy g. Co. was as
usual conservative, and said among other
things:
AS sellers seem to continue reasonable in
their demands, and as buyers appear inclined
to meet them half way, the prospects appear to
me to be good. Holders of realty must not be
too stiff and make the great mistake of dis
counting the future. Every realty movement
is checked and doubtless many have been COM
pletely choked off by the inopportune advance
ment OF prices by sellers. Though realty values
are low and in general will not go lower
buyers are not tumbling over each ether in a
mad rush to get at the counters OF the brokers'
They are by far too cautious, too deliberate
The time for advantageous Investment is when
there are limited rum Der of BUYERS in the
field, but 1T requires brains and bravery to buy
then and few have these twin requisites for sue
cessful investments. However, judging by the
record of sales for the first half OF 1895, and
those OF the last two weeks of July, the pros
poets are very encouraging.
Gustave III. Umbsen, when approached
upon the subject, said:
1t is a well-knoWn fact that the status OF the
real estate market depends upon the general
prosperity OF the community at large. Such
being the case general improvement in realty
values is bound TO follow the revival of bust
ness throughout the State. This revival of
business will no doubt be gradual and it may
be some time before the State entirely RECEIVERS
from the financial depression OF the past few
years. but II is very evident nevertheless.
There are now many factors at work which
future. One OF the principal of these is the
building of the San Joaquin Valley Railroad.
rendered possible by the public-spirited action
OF Claus Spreckels, who at the same time made
Der of very heavy investments in this
City and who will, in all probability make
more in the near future thus demonstrating
the confidence of capital in the future of this
State and San Francisco.
Late events have taught our business men
and capitalists the necessity of pulling to-
gether, aud our citizens generally the impor-
lance of patronizing home industries, and
thereby keeping al home the large amollnt az