The San Francisco call., 1909-10-02

The condition of the real estate mar
ket either in city or country is always
an all absorbing topic and one of great
interest to any community.
Land, after all, is the basis of every
thing. and its productiveness, whether
in crops or rentals, one that naturally
interests every person.
California has now for more than 10
years. or since the dullness following
the panic of 1898 and 1894, had its at
tention especially directed to real eS-
tate. Irrigation with its attendant re-
suits in the increasing yield of prod
ucts and the discovery of vast oil
fields California is now the greatest
oil producing state in the union) have
very naturally made activity in rural
or country lands. besides enriching the
state in every way and in being the
means Of building up our country pop
ulation.
The cities meanwhile have pro-
gressed accordingly. and prior to our
late dsa ster San Francisco was Just
feeling the influence of the wonderful
wealth of the state and entering upon
an era of remarkable and, to some eX-
tent, unexpected growth and pros
perity
The setback caused by our disaster,
an unexampled one in the world, nat
urally made us fear many things.
What effect it would have upon the
valuations of our city real estate was
a problem.
Ten days after the fire one of the
greatest financierS in the country as
well as one of our large property own
ers here made the following remark to
one of our well known real estate
brokers at that time returning from
New York: Mr.. -, you viii prob
,I,,o SY1 -Gol oct a q "a l.
ues for the present but six months
from today you can take knife and
cut the value of every piece of prop
erty in San Francisco in half. This
was his judgment and that of many
others of equally good business aeu-
men This prophecy was not fulhlled'
He intended to convey the impression
that at the end of a limited period All
transactions would be done upon
basis of so cents on the dollar of pre-
vious valuations and that vast quantt-
ties of real estate would be thrown
unon the market and sold at those tg-
ures
This was a view held by many, and
for wears we have been hearing
the question, when will values come
down." by people who have been seek
ing so called bargains Gradually TINS
inquiry is becoming less and less. but
the question has been asked repeatedly,
WHY is it that real estate values In
San Francisco have not dropped2
The reasons are several. As l have
already remarked, San Francisco was
on the eve of a great growth during the
early part of 1906. construction was
active and population increasing, money
plentiful and real estate values and
rents advancing rapidly
The moving causes were that up to
that time San Francisco was behind the
state in point of growth. In other
words, the population and advance of
the state OF California had been greater
in proportion than that of the city of
San Francisco, it's metropolis 1t was
necessary that the city catch up with
the march of the state.
The courage of our people and their
prompt activity in the work of rehabili-
tation. inspiring it did the confidence
of the world, simply has made a pause
in our advance. All soon realized that
il was only a question of time, and a
short time at that, when San Francisco
would again be in q position to handle
it's business and affairs as usual.
In consequence many have been found
within and without our ranks to en-
courage and aid. Population and trade
have returned and the city is now very
rapidly resuming its normal condition