The news & observer. [volume] (Raleigh, N.C.) 1894-current, 1900-09-22
AND SELECTED A SITE
Will Give $4,000 in Bonds For the
Property.
SUBSCRIPTIONS MUST BE PAID AT ONCE
Formal Resolution Providing For the Issue Cd
Bonds and Transfer Of the Property
at Once Passed by the
Meeting

AT meeting of some of the sub
scribers to the Auditorium Fund, held
last night in the Mayors office, it
was decided to buy the TRADE" build
ing, formerly known as the Prairie
building, from the Raleigh Real Es-
tate, Trust and Insurance Company,
and erect the auditorium in it's back
lot.
The price to be paid is $4,000 in
9 per cent bonds; the bonds to run,
according to the original report of
the committee. for ten years.
To this proposition there was
strong objection on two grounds:
l. That other cities in the State
were building handsome auditoriums,
and the Capital City could not afford
to erect an auditorium in a back lot
on a, back street
2. That with the revenue coming
from the property, according to esti-
mates made by its owners, only the
interest on the bonds can be paid and
no sinking fund can be created; so
that at the end of ten years the own
ers of the bonds will own the ''Trade"
The matter was discussed for two
hours, after which vote was taken
on the question of postponing the
selection of a site and defeated by
vote of Is to IS. This was test
vote, and after it the ''Prairie" build
ing was adopted with little opposi-
ton.
Those who spoke in favor of the
Prairie" building proposition were
Judge Womack, attorney for the
Raleigh Real Estate, Trust and In
surance Company, j. Stan Wvnne, it's
president, and Attorneys Holding and
Field.
twas vigorously opposed by Mr..
Josephus Daniels.
Mr.. f. b. Arendell favored asking
the Legislature for permission to
build on Moore square.
Mr.. Ernest Haywood offered site
on Wilmington street, by the side of
the Prairie building and as large
for half the money, but without build
ings. sll*i sgsl
Several others spoke on the question
of postponement, some favoring it and
some opposing it.
Mr.. r. HI. Battle presided at the
meeting and in calling it to order he
stated the proposition of the com
mittee to buy the Prairie building.
He was followed by Judge Womack,
who explained the beauties of the
proposition, set forth the advantages
of the location and urged the accept
ance of his offer. He went into de-
tails about how much the building
cost when erected, how much rent was
now being paid by It's tenants and
how liberal the company was in
taking bonds instead of cash.
Mr.. Arendell thought the PROPOSE
ton a very beautiful one, but he ask
ed the unpleasant question of how the
bonds were ever to be paid off, as it
would take al the revenue that couid
be derived from the bulding to pay
the interest. taxes and insurance.
Judge Womack didn't know, but he
thought sit might be arranged some
how to have the bonds renewed"
when the ten years ran out.
Mr.. ArendelI didn't like this phase
of the subject. He said it was only
a question of time, under such an ar
rangement, when the holders of the
bonds would have the 'Prairie" build
ing back, together with the audi
torium.
''Why," he added, sit would take a
sinking fund of $1,000 a year to re-
deem that property in ten years, and
then we couldn't do it,"
Mr.. A. B. Stronach didn't like the
idea of ga back-lot auditorium" any
way, when other towns were erecting
handsome auditorium buildings.
Mr. Daniels wanted to ask Judge
Womack some questions:
''How much rent do you get from
the building?"
"A hundred dollars a month";" he
replied.
s'But one of the stores will be used |
as an entrance to- the auditorium
will this not decrease your rent $20?"
eyes"
s'Then will not the erection of the
auditorium make necessary the re-
moval of building that you get SIS !
a month for?''
Eyes. But we calculate that the !
will increase the rent
value of the other property"
Mr.. Daniels inquired as to how
much money had now been collected. |
He was informed that the amount was
81 ,O19 He, therefore, offered reso-
luton to the effect that the collection
of the money subscribed proceed at
once, and that the selection of site |
be postponed until at least $4,000
was in hand.
Speaking to his resolution. Mr.
Daniels declared that there is no
business whatever in investing in a
building that we don't want, have no |
use for, and that never has paid And |
when we do buy it, what have we got
an old building, back lot and an
alley-way. And venture the predic-
tion that if we do buy it we will in
ten years not have that"
This, Mr.. Arendell said, was the |
very point he was trying to make. |
s'You can't, with only $4,000, build |
an auditorium on private property and
keep your auditorium. As soon as
your bonds run out the fellow that's |
got them gets your property
Mr., Ernest Haywood otfered the lot
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