The herald., 1897-06-27
OFFICE OF THE HERALD.
Lon Angelica. June Is. 1897.

u .tt Luz Au8SAoss SSnC ~ %eS's
It b an old saying that one must 30
away from home to learn the news about
oneself. The same adage is often found
true in regard to communities A case in
point may be found in q recent article pub
lished in the Real Estate Circular Of
Thomas Magee & Son Of San Francisco
concerning the building Of business blocks
In this city. The article contains some
valuable hints. but 1t is SO curiously awry
on its facts as to the quantity of building
that has been done and that is now actively
going on, that it is quoted in full below.
y = y
sIos ANGELES BUSINESS BLOcKA
.xLos Angeles still has the modern build-
ing craze within the last few years seven
or eight business buildings on lots vary
ing in size from 1o0x100 to 200x225 have besn
erected there, and. with one exception.
they all pay at to 5A per cent net on the
Investment. This exception was a struc-
ture built heavy enough to carry twelve or
fifteen stories should the owner decide.
later on, to add them. This extra ex-
psnse, together with too much solidity and
ornament, keeps down interest on the in
vestment. II this owner were again to
build, he would probably stick to severely
plain architecture. which costs less. rents
as we'll and is in better taste. Two new
business buildings are now being erected
in Los Angeles, and tenants are ready to
take them as soon as they are completed.
Leases have already been signed for most
of the stores and offices. The owners OF
these new buildings have been prompted
to build by three reasons; they knew the
buildings would rent well; they are enter
prising and want to boom the town in
which they have done SO well land each
one is making an effort to protect his own
locality by keeping business there. There
is fear among Spring-street owners that
the center will move to Broadway. We
do.not know whether 1t will go there or not.
but that 1t will move we feel certain. This
fear caused Spring-street owners to build.
There is hope among Broadway owners
that that street will be the principal one of
the town, and they are strengthening their
hopes and increasing the streets chances
by improving their property. In both cases,
however. they are taking time by the fore
lock, for Los Angeles is five to eight years
ahead Of the times, and its prosperity, even
its friends admit, is somewhat artificial
and forced. In a city Of only $4,000. 100000
or even 10000 inhabitants, with regularly
iaid-out blocks. nobody can foresee where
the permanent center win be. Rents in
Los Angeles are out Of proportion to
values, chiefly because the business centers
are compressed into a small area Store
keepers pay big rents to be actually in the
very center, or very close to the center
Of retail trade, to catch the custom Of the
large transient population, which is about
10000. we believe. Eastern people annually
visit Los Angeles; at certain seasons they
form about one-third Of the whole popu
lation. If anything can make central re-
tail locations. permanent good buildings
will. but those locations will certainly
100000 to 100000 people,"
+ + y
The circulation Of such an article as the
foregoing by a firm of such influence as
that of Magee & Son is calculated to give
widespread and false impression con-
cerning the growth of this city. and the
intelligence that 1.-TWO new business build
ings are now being erected" shows almost
an unwillingness to get possession Of easily
ascertained facts.
Octavius Morgan. one Of the longest
established architects here, says that his
firm alone has let contracts in this city
since the first of January calling for the
use Of 5,000, 900 brick. He estimates that at
the present time there are at least twenty
business buildings going up costing up
wards Of $4,000 each, and ten of these will
cost upwards Of $4,000 each. OF two build
ings now going up on Broadway, one will
cost over $4,000 and another s15O,0OO.
To cure the impression that there are
just couple Of property owners who are
putting up business blocks "to boom the
town in which they have done so WE'LL" the
following statement of building permits
issued from the superintendent's office is
given:
January .... s127.s15 $23s,5s1 $3.50, 700 |
February 147.427 204, ,30s 264, ,003