The times. [volume] (Washington [D.C.]) 1897-1901, 1900-08-23
ON AGO. OPERhTIVEB BASIS
Plan of Government Clerks TO Sc
cure Suburban Homes.
An Enterprise Originating in the De-
pnrtmcnt of Justice Which Is At
tale Nen-option on Tract of Ninety
Acres OF Land Already Secured.


purchasing on the cooperative basis origi-
mated and nov being carried out by a
! number OF department clerks. The plan
has caused much talk among department
people, also. as far as il has been ex-
plotted. The proposition is, briefly. TO
purchase a large piece of land in the
suburbs at acre prices, in order that the
purchasers may reap the benefit of the
increase of values that will come with
subdivision and improvements. instead
OF giving these PROFITS TO a syndicate or
capitalist.
The plan had its origin among the
clerks of the Department Of Justice. Sew
eral OF them wanted TO buy land and build
homes, ard il was thought probable that
they could secure the cooperation of many
other clerks, so that 4 large tract could
be purchased at low price An option
on a tract of ninety acres was finally Sc
cured. The land is in the northwestern
suburbs along the line of one of the trac-
tion companies, and well located Ii is
about eight miles from the White House
The price 10 be paid is S31 eco, or less than
$3.50 per acre.
The plan contemplates the sub division
OF the property into lots 50X250 feet, con-
tanning a little more than a quarter of an
acre each. These lots are to be given 10
the co-operators at SAC each. This price
is very little more than cent foot
The plan contemplates the payment for
the property in easy monthly installments,
The owner of the land being willing TO re-
ceiye his money in this way: A cast pay
ment OF s. each is 10 be made by the CO.
operators, and a mcnthly payment there
after until the purchase price is all in,
The plan also provides for the building
of a house by each OF those that join the
association, the money for building also
10 be accumulated on the cooperative
monthly installment basis
The prospectus circulated among the
Department clerks by the originators OF
the proposition says regarding it:
III he mere presence of permanent pop
ulation gives value to land. The forty
cdd thousand acres in the District of Co
luusbia is vaiued at more than Sl00. coo eco
This is more than the cos; of all the build
ings now standing on the land, and makes
the average value per acre more than
$2,oe5. Remove the population and the
value Of the land viii disappear.
With the cheap and rapid transit which
has developed within the last few years,
there has come a tendency OF urban popu-
lation 10 spread out over larger territory,
and suburban land has rapidly increased
in value. Around every large city much
Of the land heretofore valued emily for
farming purposes, has bsea subdiviged and
offered for sale at prices which are com
promise between the value of city land and
land for farming purposes.
The real estate agents, who receive a
commission for selling the lots in these
Subdivisions, SHOW prospective purchasers
over the land on which. very often. there
is not house, and talk flueauy OF what
a great demand there Is for suburban resi-
dence property and of the number of
houses that are tc be built in the near
future. and nine persons out OF ten who
are persuaded 10 purchase lots do so, not
with the idea OF building and living there
on themselves but because they expect
others to buy and build. and thus make
valuable the lots which they purchase. So
1t happens :hat While there is plenty of
vacant land within easy reach CT Wash
ington and suitable for suburban homes,
the future has been anticipated, and TIE
land is held at what it is expected 10 be
worth in a few years rather than gha. it
is actually worth today.
THE undersigned, anxious 10 obtain
suburban homes, and meeting with these
conditions conceived the idea OF forming
an association, buying tract OF land suit /
ably located, subdiyiding it to suit and
building homes Thereon. Il was thought /
AT farmland prices, and, when built upon. I
the members themselves would share in I
the increased value given TO the land.
This enterprise should not be eonfound- I
ed with the real estate syndicates formed 1
for the purpose OF buying land by the acre ,
and selling 1t out by the foot, thereby |
reapiRg an enormous profit at the expense /
of the hcme builder. Within half mile I
OF the land proposed 10 be developed by +
this association is a subdivision contain,
ing nearly 600 lots, % by lis feet, making ,
2. S75 square feet-iess than one-fourth the /
size of the lots in our proposed subdivi-
sion-and over $50 of these lots have been
sold at from $50 to s2C0 each. And /
though this subdivision was made some |
four years ago. not more than ten houses
have been built thereon. This is fair IL /
lustration OF the workings of the ordinary |
real estate syndicate. Our association is
10 be purely mutual. Each member viii /
participate in the advantages 10 be gained /
by buying large Tract at acre prices.
~The owners of the land included in our
option own as much more land adjoining. |
and claim 10 have made reduction in
price TO US because the building Of q com
n unity there will enhance the value of /
their remaining land. However this may
be- the land on all sides is held at from |
$50 TO $3.50 per acre more than the price |
named in our option.
That the building OF a community will
increase the value of the land. every man
knows. Our association says to each mem
her: You must build house on the lots /
assigned you; II you have not the money. |
We will furnish it 10 you at fair interest
Comment on the plan among real estate /
men is generally favorable, though there !
are some criticisms. theoretically such |
a proposition Is perfect. 1t is suggested. /
however, BIZ a real estate man who is /
familiar with suburban real estate sub
division that the estimated cost of sub
dividing the property into lots and i'm
proving Il is far too low if the improve
ments are to be anything more than nom
iusI The plan proposes that $4,000 shall 1
be expended In surveying plating. grad
ing setting out trees, and other neces-
sary expenses Of the association" This
would not allow anything for the building
Of streets. The people who enter the as
ISOLATION should not therefore, expect to
have fine macadamized streets and sewer
and water Improvements without heavy
extra cost. The cost Of matchmaking a
street is 81 eco for 300 or 400 feet, for in
stance The cost Of pretty parkings. with !
lawns and flower beds and box borders
and fountains. which make some OF the
more costly suburbs attractive, would also
be extra These things are stated here
by way Of comment on the hard things
that are said in this prospectus Of the real
estate syndicate.
A syndicate Of capitalists, when 1t is
well managed and successful, does usually
make a good profit in subdivlding farm
into suburban building lots
Some syndicates make more than others.
Some fail and leave their projectors
stranded. But in any event their profits