The Wichita daily eagle. [volume] (Wichita, Kan.) 1890-1906, 1900-02-09

Iiquidate and buy property outright-has
been aroused by several causes appearing
simultaneously. The most prominent is
agitation for a mortgage tax, as exen-
pAhed in the Stranahan bill. With money
plentiful ana a prospect that it will be-
come more so during the confusion of
Presidential election, when business holds
off until the uncertainties shall have been
dissipated, the income from mortgage in
vestments has fallen from and to
and AZ per cent The proposed tax would
reduce this still further. The mortgage
lender is faced with condition where
BE per cent has become maximum re-
turn, especially on large loans.
At the same time the individual pros
perity of the people has slightly increased
and the cost of carrying and operating
property has perceptibly diminished. Thus
instead Of throwing the risks Of owner
ship upon the mortgage borrower, is has
become more profitable to buy and ope-
rate the realty outright, especially in
view of the period or steady enhance
ment that has apparently set in.
This rising trend Of values adds another
inducement to buy. 1t bears upon the
safety of the investment. On rising
market the chances of loss in immediate
ownership disappear. Where mortgage
lenders were formerly willing to advance
90 per cent Of the full value for return
Of or per cent they now can buy out
right and get 6 or Z per cent, with an
even gheater degree Of safety.
But the underlying impelling factor in
this new investment movement is recog-
nized on all sides as a broad bull market
that has at least given evidences of get
ting under full swing. The real estate
uncertainties have been gradually swept
away New York Is becoming not only
the financial centre of the country-a
clearinghouse through which the new
prosperity must flow-but 1t is coming in
to the old time glories Of London as the
financial centre of the world.
Capital from every cline is flowing here
for investment. 1t is coming also from
stocks and bonds, for the heights of Wall
street specula ton, in the opinion of con-
sentative interests, have been touched
The shadows have fallen on the stock
market, while the glorious suns of en-
hancement are rising grardly over the
fields of reality. The profits of shrewd
bankers and business men are being
slowed away in New York paying
real estate as never before, for magnih-
cent new apartment, fat and business
structures offer the best of divdend-pay-
ing investments.
Aside from these natural conditions in
the New York real estate market, tran
CIT
pending are almost bewildering in mag
nitude. While perhaps 50 per cent of the
enhancement TO accrue on completion of
the proposed rapid transit tunnel has
been discounted, there are bridge and
tunnel projects galore. Students of realty
say no city with the history of the world
ever stood on the threshold of so many
important projects for its betterment and
improvement as does Greater New York
today
While every project may not be carried
to completion, it is reasonably certain
that the rapid transit tunnel will be in
operation within three years; that two
tunnels and possibly two bridges, Will
connect the metropolis with Brooklyn
and Long Island within that period that
TWO tunnels VIII make new JERSEY pTdC-
tically part of Manhattan Island; that
one tunnel at least will connect this en-
tire system with Staten Island. These
considerations, in connection with posi-
bilities opened by recent advances in the
science of building through steel con-
struction and electricity, fashion vista
of the future that runs ahead of the wild
est prophecies a few decades ago.
That capital is slowly discounting these
future developments was demonstrated
by events of the week. Buying along the
upper tunnel route progressed in increas-
ing volume. Many building operators
prominent in the recent boom through
Harlem and Riverside districts took gen
erous tracts.
The auction market was not good. This
was accounted for in various ways The
fourth Emo sale will be held shortly, and
other fine parcels are among imminent
offerings. Parties at interest too, are
holding at higher figures.
The weeks salesrooms' total was $780,
439. against $7s9.O49 year ago. The years
total TO date reaches 81. 9O5, 5SS, against 3d.
645. 5OS for the 1898 period.