The Minneapolis journal. [volume] (Minneapolis, Minn.) 1888-1939, 1903-03-28
OFFICE BLDGS. FULL
In All Such Structures Here There
Are Less Than Twenty Rooms
Vacant =
This Condition Would Seem to Point
49, to a Stiffening Of
... AZ =. ......
Rates.

The Chicago Record Herald of Satur-
day last, in calling attention to the raise in
rents and the unprecedented demand for
flats, also stated that for the first time
since 1892 every available foot Of office
space In Chicago was occupied, with a
long list Of applicants that could not be-
accommodated in the hands Of locals
agents. It is quite generally known that
the same conditions SO far as fats, dwell
ling houses and business property are con-:
cerned, exists in Minneap polls, but it may
not be known that the same conditionsE
also apply to office buildings. The Jour
nal In looking up the real estate and rental,
situation found from a canvass made of;
the office buildings in Minneapolis, like
Chicago, practically all the office space:
In the city Is filled, and space going to a.
premium. Interviews with the different
office building managers developed that
there was very little, if any,, space left, !
and that for the first time since 1892 prac-;:
tically all Of the available office space in
the best buildings is occupied, and each
building has a list of applicants to be ac-;
Commodated as soon as space can be made
for them. Which is only possible by the re-;
moval of tenants now and then. h
The New York Life has only four va ;
cant rooms; the Andrus one; Loan and
Trust, two; Oneida, none; Kasota; two:
Boston Block. three; Syndicate Bloch,sS
none; Temple Court, three; Lumber Ex4
change. four; Guaranty building, none !;
Phoenix, none; Bank of Commerce. none !;
Pillsbury building, none. Il
- From conversation with tenants, it is
found that rentals are being increased
constantly The building managers give
as a reason. the Increased costs in taxes
fuel, general supplies, labor pay rolls, etc.
and the further fact that not a single
office building has paid, within the last
twelve years, much, If any, interest, OIL
the investment after paying cost of oper-
alton, repairs. etc. It seems that where
prices from 90c to. $1.10 aper* square foot
are now obtained, twelve years ago the
same rooms brought from 81. rs to1sa.5O
per square foot. Nearly all tenants are
increasing their business, and ASIA rule
they do not stop to bubble over rents
providing they can obtain increased room
to meet their requirements. {, 10 '%
1t was; formerly the custom in this city
to furnish free, electric lights, but all Of
the buildings are now charging for same,
either by meter, or, i'll the case Of small
consumers, by the light, ranging from %
cents per month and upwards, according
to the number of sixteen candle power
lights used. Also, three Of our office
buildings furnisher free law libraries but
the Guaranty building sold and removed
Its library about a year ago. the Bar libra
| ry In Temple Court is to be removed to the
courthouse about May l. and the New
York Life building has sold it's law library
and will move same out about May l. =
One of the most conservative Of the
building managers, representing one Of the
largest buildings, made the statement that
building could not be operated In this
climate at less charge than $125 per
square foot for space above the second
floor; of course, some offices should rent
for little less than this and some higher;
depending upon location. and he claimed
that ground and second floors ehou1d hY.i,,..
at least from $1.75 to $3.50 per square foot!
lntimations were made that office ten
ants would soon be in for another advance
In rents, on the ground that it could be
shown that the buildings were actually not
paying even a small rate of interest on the
Investment. AS almost every one is do
ing better, it Is likely that such advances
will be met with the same resfgnation
common to people in general In these days
Of Increases all along the line