The herald., 1895-05-14
OUR REALTY PRICES

One of the first. and. we might say. the
only objection filed by the easterner con-
tenn plating investment in Southern Cali
fornia property, especially acreage. is to
the price asked. They come prejudiced
with the notion that because of our dis
tance from thickly populated sections of
the United States our lands should be
several times cheaper than in the east. 1t
is amusing to listen to the exclamations
OF surprise uttered by these pilgrims from
the home Of the cyclone, blizzard and
sunstroke as they are told of the price of
this or that piece of acreage or city lot.
''Wby!" exclaimed a gentleman from
Iowa. who is quite an extensive farmer
in that state. to the writer not long since
there is not piece OF country prop
erty in all Southern California that |
would think of paying more than Sl0O per
acre for it is ABSURD" A few months
later after he had had an opportunity of
investigating the basis of our valuations.
he left for his home with changed opin
ions. There is a solid, indisputa BILE basis
for the values prevalent here. 1t is the
earning. power OF the property, country
or city. 1t may be true that in the vicin-
ity of prominent eastern communities.
land is to be had at from $50 to 500 per
acre. while out this way land correspond
ingly located costs from 500 to $500 per
acre. The latter should obtain tho differ
ence IN price because it is worth that
much more as a producer OF dollars, and
the dollars obtained here are Just as
good as those gotten out of the sol in the
east, and have just as much purchasing
power.
The fact that the property is not located
east of the Great Divide has nothing
to do with the case. The land sold here
at 500 to $500 will, if planted to appro-
pirate crops, commonly Fay from 10 to %
per cent annually on the total invest
ment, and very frequently beat that
limit. This IN addition. generally. to fur
nishing the cultivators with the most
necessary of the articles of fool for their
own table, such as butter, milk, fowls,
eggs. vegetables, etc. Within fifteen
miles of Los Angeles plenty OF alfalfa
land is to be had at 500 to $3.50 per acre.
This land will produce from one to one
and one.half tons per acre, and yield five
to nine cuttings per year. For the last
five years alfllfa has ruled at fro m 81 to
$s per ton loose in the field. How long is
it to be presumed such sources OF wealth
could be bought in the east at the prices
asked here? And it is our opinion that
tn people who are waitin, and hesitat-
ing ON these figures are going to be griev-
ously disappointed when they shake
thems selves out OF their vacllating and
doubtful condition of mind and decide to
buy. With the continual influx OF discon
tented people from the alternately frozen
up and sunburnt regions, prices are certain
to ascend several notches. And the same
proposition OF the earning capacity justi-
flying the price asked holds good with the
realty OF Los Angeles. In nearly all the
cities of the size OF t his back in the
states" four to SIX par cent is consid-
cred most satisfactory return for capital
invested in either business or residence
properties. In this city plenty Of proper =
ty OF either class may be bought that will
pay seven TO fifteen per cent net on the
pr ices asked. Then with our real estate
be it city or country, there are no retro
gressve contingencies to consider. The
experimental stage is passed., and from
now into the iIlimitable future our march
is to be one of progression People are
crowding in, resources are being devel-
oped, and industries being planted. The
country is filling up. and its forces are
falling into the hands of the enterprising
and the energetic. Hence the speculative
quantity in our real property as'um IS an
importance denied it in the older parts
OF the unio n, where in many instances
development has reached its limit, capital
evinces discomfort. and cities are stand
ing still or being slowly depopulated.
Outside Of tn few who are not yet fully
conscious Of the collapse OF the boom -
OF several years since. and are hanging
on to their holdings at figures that are
reminiscent of that era. the value we put
on that part OF the earth located in South
ern California is reasonable for the home
seeker. and will prove immensely profit
able to the speculator