The Pacific commercial advertiser. [volume] (Honolulu, Hawaiian Islands) 1885-1921, 1898-08-25
REAL, ESTATE BOOMS.

general belief prevailing here that
several "booms' would manifest
themselves, after that event So far as
the industrial stocks go, the belief is
realized. At this time we do not com
ment on it, excepting only so far as it
involves the values of real estate and
business other than that connected
with sugar and coffee.
4 real estate boom may arise out Of
the large surplus of idle money in the
community, the results of great local
prosperity, or it may arise out Of out
side or foreign influences and from
foreign capital.
Annexation has secured permanent
stability Of government. This, Of it.
self, increases or hardens the values
of all kinds of business, and especially
the value of land.
The prosperity of the country, more
than all, has increased the value OF
lands and forced a boom of its own in
raising it's prices 1t requires no for
eign aid to do it, The large sums
poured into the Islands, in previous
years. and especially the comparatively
vast sum of 100000 which is the
value of last years sugar crop, is nat
uraIy felt in real estate values. Sim
liar effects are seen elsewhere, when
ever there is great local prosperity. The
rule is universal. The only ''specu-
Iation" which the very conservative
indulge in, as a rule, is the purchase
of land in their immediate neighbor-
hood, which is always visible and can
not abscond. Profits are not so much
regarded as safety. Values here that
men who are familiar with the prices
of real estate in the great cities of the
Mainland, would, and do, regard as
extravagant and absurd, are largely
the index of the local prosperity, ana
these values will probably hold, so
long as this prosperity continues. They
may even go higher than they are at
present The prosperity of the com
munity is simply dazzling and almost
-ominous While the exports OF the
II 600, 900 of people on the Mainland
are only $14 per capita, the exports
from the Islands reach $40 per cap
tia. AS we have said before, the state
ment astounds political economists
But in it lies all the element and
force of real estate booms, without for
eign aid. But even these have their
limitations.
Regarding immigration from the
States, as a cause for blooms" it is
not easy to give any reason why it
should be large, unless the sugar plan
tations are about to employ many Am
erican Iaborers in the cultivation OF
cane. The tendency on their part is
unfortunately, to substitute Asiatic fol
American labor in the mills.
Outside of the sugar plantations
how many more men are really wanted
in mercantile business, in the mechan
zeal trades, for general labor, and il
the professions? 1t is said that ever
with our prosperity the industrial anC
professional market is overstocked
There are about ], 621 American male
here over Is years of age. These d.
not find that places go a begging. !
number are out of employment. Nov
if 900 more men, an insignificant
number in the States, land here, wha
are they to do? And if they find moth
inc to do, how can they cause rea
estate values to rise? Ninety-five pc
cent Of the people must work for a liv
ing. The class with independent
means is so small in any community
it makes no figure. The growth of thi
city and suburbs depends upOn tn
growth of industries which furnish
living. So far, sugar has done it. Blu
will it employ several thousand NOR
men here, and create demand TO
residences? Other industries are sma
and no new industries are being ere
ated. The demand for more popula
ton. aside from labOrers and farmers
seems to be more than supplied, and
rise in values cannot come from thi
direction.
Real estate investors from the Main
land are rather startled at the presen
prices of land, but they hardly under
stand that it is mainly due to our ow
surplus of wealth.
That the American population Wi
gradually increase is certain. But
will permanently increase only so fas
as the immigrants can feed and cloth
themselves. "OId Glory" don't fee
any one. 1t simply protects. All els
is left to the economic laws.
Blooms do not necessarily folio
the Flag. Millions of acres on tn
Mainland are under the Flag. but w