The herald., 1897-04-14
OFFICE OF THE HERALD,
Los Angeles, April 13, 10


city of its bonds in small denomina-
tions in the shape of popular loan
would meet with great favor among
mail investors and would give employ
ment for home capital. Against TINS
proposition It is argued that the ad-
yantages such as they may appear to
be are more than offset by the elaborate
system of bookkeeping required, and by
the fact that such investments would
only tend to deplete the deposits OF the
savings banks without offering the in
yestor equal protection against his pos
sible loss from bonds.
A. b. Leach of the bond house of Far
son Leach & Co., in writing on this sub
Ject. cites the recent experience of Ra-
cine, Wis. which thought to- place pop
ular loan. Mr.. Leach says:
"This city sold block of $4,000 per
cent bonds, and in order to carry out
the popular idea, $4,000 of them were
issued in denominations of $100 each, the
expectation being that they would be
taken by local investors. There were
only two or three local parties bidding
on the loan who desired small amounts
of bonds, and these did not care to pay
within several points of the price at
which the bonds were finally sold to an
eastern municipal bond house. Bonds
of the denomination of $1,000 are much
more convenient, and also save a con-
siderable amount of bookkeeping on the
part of the city officials"
Reports OF the condition of the real es-
tate market in Chicago are not so roseate
as might be desired. A New York jour-
nal entitled Realty, has the following to
say in its issue of the 1st inst, about
matters in the windy city. We give the
item for what 1t may be worth, prem
Using that it comes from source whence
Perfect impartiality could hardly be
expected:
CHICAGO, ILL.,, March 27.-The con-
dtion of the real estate market con-
tinues along the same lines. The only
noticeable change is a more decided de-
preston. Sales for cash seem almost
out of the question. Our own people
understand that in most cases values in
Chicago are fictitious, and the only hope
of making sales is that strangers may
come and buy before looking. 1t is fol-
ly to continue the circus shouting in at
tempting to boom Chicago. 1t has been
doomed to death. 1t is useless to delude
ourselves any longer. Chicago is dead
and every real estate man in the town
must admit it, All the horns and base
drums in the universe can't put life into
It, Nearly every piece of property in
the city Is mortgaged up to its real value;
our streets are going to decay; our public
70 q ~ 1xr
nf water is polluted and our people are
forbidden to drink 1t; our manufactures
are shut down; our public treasury is
depleted and thousands of our people
are starving. Nearly every block has its
signs, For Sale" or ITO Let" and it Is
not because the tenants are moving-the
houses are empty. The people have gone
away. The worlds fair made us known
to the world. and it would seem the i'm
preston was not favorable.
The extensive electrical street rail-
way developments now taking place
throughout New England have attract
ed wide attention, and the indications
point to an unusually heavy construc-
ton during the current year. Indeed It
Is anticipated by the Boston Traveller
that the mileage built this year will be
materially larger than that of any pre-
yious year since the electric railway sys-
tenn was inaugurated. Two or three new
lines out of Boston into the suburbs
are even now under contemplation, ex-
tensions of lines already built are also
being planned, and some of the steam
roads are seriously looking into the
question of substituting electricity for
steam on slow branch lines. In all Sec
tions of the state this disposition to Sc
cure rapid transit between towns Is
growing rapidly and in Connecticut and
New Hampshire also a number of new
projects are on hand. The fact that steel
rails and other construction material is
at the present time comparatively lower
than in long time past is stimulating
very much of this proposed new con-
struction, although the fact that many
of the lines already built have proved SO
profitable is also a potent influencing
factor. The steam roads are, naturally,
still inclined to oppose whenever possi-
BILE the extension of electric roads, but
this opposition has become less pro-
nounced than it has been in the past.
Wherever these lines are suffering by
reason Of electric road competition there
Is growing inclination to meet this COM
petition rather than an attempt to crush
It out. So that the chances are now good
that the end of the current year will not
only find large addition to the street
railway mileage of New England but be
yond this it is likely to show a surpris-
ing electrical equipment Of steam road
branch lines. =.
The supreme court of the United
States has, by recent decision, upheld
the Nichols law of Ohio taxing express.
telegraph and telephone companies. The
companies were taxed under this law on
their real estate and on their gross re-
ceipts from business done within the
state and they were assessed in addi-
tion by state board. To this assess
ment the companies objected. 1t seems
that for the three years. 1898, 1894 and
1895, the state board had increased the
valuation of property in assessments
under the law from $2S9, 1862 to 81. .249, 702,
this increased valuation being arrived at
by taking the market value of the entire
capital stock OF the express companies
as basis for arriving at the true value
in money of the companies property in
Ohio The decision was rendered by a
bare majority of the court, four of the
Justices dissenting.
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