Omaha daily bee., 1908-07-22
NASH ON AUDITORIUM DEAL
President of Company Opposes Plan Of
City to Buy Building.
SAYS TALK NOW HURTS BONDS
Insists that IL Finished Auditorium
would Make More Money and
that Il f. Now Not Do
ing Bad.

"while the stockholders Of the Auditorium
company might be willing for the city to
buy the Auditorium at a reasonable Inquire
it would require voting of something ike
$500, 900 worth of bonds and the SATISFYING
OF 1850 stockholders, after which the build
ing would not be as well maintained ana
utilized as 1t Is at present" says F. A.
Nash, president Of the Auditorium COM
pany.
Just why the proposition should come
up at this time to have the city vote Jonas
and buy the Auditorium, is a mystery TO
me. The proposal can do nothing but
harm to the Auditorium company,
which is just now offering for sale
the last 5000 of the $4,000 of second
mortgage bonds. which will pay all the
current debts of the company and com
plete the building.
I'VE have worked hard to get the $4,000
of second mortgage bonds sold, because
there is a mistaken idea that the Audi
torium is a financial monstrosity. AS a
matter of fact. with 5000 more bonds
placed, which will doubtless be sold within
a short time, the Auditorium will take care
of itself and In a few years will be pay
ing the stockholders a little-not very much
perhaps, but ~ to 3S per cent.
why, that Auditorium has earned 5000
! IN the last EtNth iDiNh
est and taxes. That's not doing very bad.
All It needs is to be completed, as 1t does
not look good to big attractions. They are
afraid it is not popular because Of its I'M
finished condition and they will not
tackle It.
Doubts Security of stock.
"I would estimate that II the city wants
70 buv the Auditorium that 100000 worth
Of bonds be voted, but 1 am not sure that
the stock could be secured. A majority
of the stockholders could not sell the build
ing to the city If they wanted to do so.
There are 1900 stockholders to be taken
into consideration. Any one of them can
go into court and stop the sale of the prop
erty and there would be a number who
would do it If the proposition to give the
city the property for something like Sl2,O0o
was ever seriously considered.
The Omaha and Council Bluffs Street
Railway company owns $4,000 worth Of
the Auditorium stock. I don't believe 1t
would be possible for the city to secure as
, much as the street railway company owns.
"As a matter of fact the deal will not go
through and it would not be a good thing
l IL It did. We don't want our Auditorium
) used for a series Of political meetings., and
that is what it would be used for by the
party in power il the city OF Omaha ever
uSeu II. lItTb MOhlh bN ""HN NN
3 in the Auditorium within a week after the
4 city got possession of the ~building-if IT
: was caucus time"
= Mr.. Nash is Of the opinion that some arc
enthusiastic over the city owning the Audi
0 forum, because they saw the city of Den
r yer furnish an Auditorium free for moth
8 ing" to the national democratic convention
and they naturally believe the Omaha Audi
forum should be free for everyone, heated
. lighted and kept clean for any kind of 9
j. meeting, and that If 1t was Omaha would
t be the greatest convention city In America
o some DIner with Nash.
n The president of the company is one Of
e the three largest Individual holders Of
v Auditorium stock and is making every ef
d fort to, sell the 5000 remaining of tn,
II second mortgage bonds necessary to com
plete the building. The Omaha Real Estat
d exchange passed a resolution deciding tina
the dealers would take $1,000 of the bonds
but the 1900 has never been raised ant
this makes 1t necessary for the compan!
to sell the bonds elsewhere.
t. While Mr.. Nash Is doubtful about III
proposition being practical, some of tn
el business men favor the city buying tn
lie auditorium.
tie ut is the most sensible bond proposition
he that has been made for a long time sal
+" Joseph Hayden OF Hayden brothers'
lie think the city should own and maintai
y the Auditorium and l would be in favo
OF voting the bonds necessary to take owe
n the property"
es s. p. Bostwick of Payne & Bostwicl
r said: II believe the Auditorium would b
ri more popular II 1t was owned by the cit!
he As was suggested in a meeting of the res
n estate exchange and afterwards in tn
lis newspapers, there is an idea in too man
at peoples minds that the Auditorium CON
al pany is an arbitrary sort Of corporate
OF and is getting something out Of the bus
L.. ness which the Auditorium does. Will
he this is untrue, the idea prevails, and
M the building was owned by the city, tn
ny prejudice of many would be removed an
re the enterprises and entertainments give
m in the building would receive better pa
ronase."