The morning news. [volume] (Savannah, Ga.) 1887-1900, 1898-04-08
PUTS THE CITY ON VELVET.
GROUND RENT ASSET LOOKED ON
ASA GOOD THING.


May De Used to Help out House
Drainage and other improvements.
Alderman KrOUskOH Wants a Big
share for street Opening and Al
dcrman Davis Wants a Slice for
Payfna-The Investment Very
Reliable One, Says Mayor NIeIdrim.
Mayor Meidrim's announcement 10 the
City Council Wednesday night that the
city possessed an asset in the unpaid bal
ances on ground rent lots which could be
disposed of at par, amounting to $245Oo'
was surprise to many people who had no
idea that the city had such a good thing
stored away for a rainy day.
Practically everybody understood IN
general way that there was considerable
amount due on the ground rent lots, which
was being slowly paid into the city treas
ury at odd times chiefly when an opportu-
nifty for a discount was offered, as was
done recently to secure money with which
10 pay for opening streets but that 1t was
an available asset is something that prob
ably occurred to no one until Mayor Mel
drim began looking into the matter.
If this had been fully understood, it is
not likely that Council would have raised
money, as it has frequently done, by in
ducements to the ground rent lot owners
10 pay up in the shape Of heavy discounts.
As Mayor Meldrim remarked to Council,
''What is the use of giving 25-per cent.
discount to realize on something that is
worth par.
That the city has the right to transfer
this asset to another party" said Mayor
Meldrim yesterday is certain. That
point has been fully looked into. As an
investment the ground rent lots are about
the most attractive and reliable that l
know OF. The interest on the indebted
ness varies from ) to per cent. the av-
erage being per cent, and it Is as GER
tain as can be These, lots are not only
worth much more than the small amount
due upon them. but in almost every case
the lots have been improved by the cree
ton of buildings some of them valuable
ones. thus giving additional security for
the payment of the amount due. Inc
ground rent lot owners can continue SIM
ply paying the interest on the amounts
due by them, or they can settle when they
see fit by paying the amount due ana Sc
curing title in fee simple. 1t would make
no difference to them should the city trans
fer the debt, as the conditions upon which
they hold their lots cannot be altered Re
liable 6 per cent investments are worth
more than par these days. and, as this is
the most reliable / know of, we should be
able to realize handsome premium should
the city ever decide to sell.
Mayor Meldrm said that the fact that
a M
indicate that it would proceed to dispose
of it at once. The city is simply placed
in an Independent position in regard TO its
works of Improvement by reason of hav-
ing this reserve to draw upon AS 10
whether it would be made use of for the
purpose of completing the house drainage
system Mayor Meldrim was unable TO say.
Should the city decide to realize on its
ground rent lot holdings ii Is safe to say
that a good part of the sum would be
spent for other purposes than house drain
age. Alderman Charlton regards the
ground rent lots as the peculiar resource
OF the street opening committee, and rs
the committee is badly in need of funds
with which to complete its work of street
opening he thinks the entire amount
might be applied very proftably to this
purpose and property thereby brought I'M
der taxation. which would furnish reve-
nue. to pay for house drainage and other
things as well. In this view he Is heartily
seconded by Alderman Krouskoff and
other members of the street opening COM
mittee.
Chairman Davis of the street and. lane
committee also has his eye on the ground
rent property, and it is safe to say that IL
the city should realize on ii that the paw
ing budget would come in for good slice.
If it does not the chairman of streets
and lanes will know the reason why. There
is just one more street that Alderman
Davis would like to pave before complet-
ing his present Term. This is West Broad
street. and his idea is that it should be
paved from the river south to Anderson
street, IL not to the limits, with vitrihed
brckIt would make the handsomest paved
street in the city, he thinks. West Broad
street is 100 feet in width but by parking
in the center and leaving grass plats on
the sides, it could be paved width of fifty
feet with very handsome effect. The cost
of this Improvement is estimated al abou.
$4,000
There are other departments. doubtless,
that would like to get their hands on a
portion OF the good round sum which may
be realized from the ground rents; but if
any of it is applied TO house drainage and
street opening and street paving get a
good whack at IT, there will not be much
Seft for anybody else.
There are some who think, that the city
should be in no haste to get rid of a valu-
able asset. The very fact of its exist
ence, they say. is a valuable aid 10 he
city's credit and il is always well to have
day.
CONVICT TO BE SENT BACK.