Los Angeles herald., 1907-11-03
CONFIDENCE
rs RECLAIMED
PAST WEEKS uNEAsINEss NO
LONGER APPARENT
REAL VALUES ARE CONSIDERED
UNpIsTURBED
Real Estate Operators Say They Ex-
pect Renewed Activity to Come
from country's Recent
Conditions
BY g. q. DAVIS

The week Just closed has been one OF
some anxiety for those who have not fully
comprehended the situation. So long as
the financial furry was centered in Wall
street not much IL any uneasiness was
felt.
BY this time, however the nervous ones
have gathered themselves together and
have accepted matters philosophicaliy.
There was nothing in the premise to give
any reason for fear. The banks, as is
well known, have been prepared for
months to withstand any little disturb
ance which eastern conditions might cre-
ate, and had It not been that institutions
in other cities might have drained the
Los Angeles vaults If left unprotected
local depositors would never have noticed
anything unusual. II the banks had not
| taken the precaution they did and had
permitted the drain to be made then de-
positors might have had something to
think about and some excuse for the
severest criticism. AS 1t is. Los Angeles
is safe and has therefore just reason for
self-congratulation. Her bankers have
proved themselves worthy Of the high
opinion entertained of them in eastern
financial circles.
| Naturally this unusual state Of AFFAIRS
has had some effect on real estate trans
actions, but so far as its effects on actual
values are concerned there has been moth
ing discernable. Nobody has exhibited
any fear that material decline will
occur.
Confidence Is Unshaken
| A few who have bought on time pay
ments may possibly be unable to meet the
demands of the present on account of the
money stringency, but in none of the
very. very few cases which have come to
notice have those who have let go had
an iota of doubt about the future. Their
own personal misfortune has not caused
them any loss of confidence in Los An
geles. The city is too large; its volume
of business is too great; its financial
foundations are too solid; the growth of
its population is too steady and too
remarkable in point Of numbers say
they, for Los Angeles 10 have any set
back in it's prosperity.
This has always been the cardinal vir-
tue in Los Angelenans-conflden In the
ultimate destiny of their city.
There may be a slight easing up in the
number of deals made for short time
as compared with what Los Angeles has
been accustomed to for several years,
but when comparison IS made with nor
NAL movement of business here, TO say
nothing of elsewhere, the results will
show themselves to be highly fattering.
The lack of cash in hand will have little
to do with the situation aside from the
The west has been accustomed to doing
business with actual cash, and it may re-
quire a short period for 1t to accomrno-
date itself to the method OF paper trans
actions, but it can be relied upon to do
this for it has always had the happy
faculty of being equal to the occasion.
Those who have notified real estate deal
ers of their inability to close deals on
account of commercial and savings banks
. lrpf IN n vo1 Of
money on deposit have been promptly
told that certified paper looks good
enough. Taxes, which must be paid this
month, will probably do as much as any
thing to interfere with business.
But here is something which may sur
prise those who have not carefully can
vassed the situation: Many realty oper-
ators confidently believe the city is again
on the eve of great real estate activity.
The slump in mining and Industrial
stocks, say they. will drive many specu-
lators in these lines into real estate in
vestments for the sake of a feeling of
security, If nothing else. Even though
property values may depreciate, they
argue, the time is bound to come when
full value will return. something not al
ways true of other kinds OF business.
One well known business man walked
into a real estate office this week and
said he had $4,000 which he desired
to invest in property as soon as a de-
sirable piece could be found. He had
no doubt, he said, that the country's
financial crisis had been safely passed,
but he knew as well as anybody that
earth was the safest place for invest
ment, all things considered.
Another operator announced in conyer-
sation yesterday that he is about to
close one of the largest land sales he has
ever made and when it is stated that
he recently consummated one involving
over 100000 the magnitude of his con-
fdence in the healthfulness Of present
and future conditions may be fully APP
preciated. He sees nothing in Los An
geles or in Southern California, and he
knows both like an oft-conned book,
which gives the least indication Of cast
ing shadow of doubt upon the unparal-
leled prosperity of the southwest.
Il -9rs-er---