The San Francisco call., 1910-11-19
NEW AND BETTER CITY

When the full extent of the calamity became
known predictions were freely made that the
of buildings in the business section destroyed
the shock 10 business confidence and the oppor,
tuuity afforded 10 san Fr8nciScO's rivals about
Puget sound 10 seize part of her trace gave
plausibiLty 70 this opinion That it was in fact
cisco. better and more fun Of promise than
the old one that was destroyed. has come into
being. is now generally admitted. What has
not been so clearly perceived IS that the san
Francisco disaster affords unique test OF the
permanence and stability of urban land values.
ID the four years before the hre sales of real
estate reached q total Of S242. .612. .l9S: during
the four wears succeeding the FIRE they amounted
10 sl33 6.674. falling OF Of about - per
cent. But II must be understood that during
the latter period local capitalists needed all
their money for rebuilding. thst they had nc
money for any other investments The asking
price made 10 difference. Neither capitalist nor
sneculator could consider proposals 70 purchase
snything but new stock The total for 1906
snd 1907 also suffered because sales Of a total
value ~ Sl0-o0o.oo0 made before the IRE were
Cancelled. Then. the panic Of 1907. which tied
up capital tu every city in the country, also
limited resi- estate sales for that year.
First. as was expected. there was a decline
IN the volume ~ real estate sales after the
IRE, due 10 the absorption Of much OF the capi-
tai that wss available in building operations.
As 10 prices paid for property after the fire,
there was q reduction probably Of from 10 Il
80 per cent. depending on the locatioa. Market
BEFORE the FIRE little OF no real estate could
he bought On this street IN q number Of cases
foot- Or Flof per square foot with many BUYERS
competing and very little property offered The
hrf provided an opportunity for hanks 10 secure
1etter loratloas by purchasing new sites on san
Francisco's great artery. The purchases made
by these banks Of some OF the best Market
street corners were ~ prices IS high as those
which prevailed hefore the FIRE. For the Market
street corners purchased by banks after the fire
sn average Of SOS per square foot was paid.
ADVANTAGES OF STREET
Market street. because OF the manner in which
IS WIS originally laid out enjoys such a monop-
oily of travel snd Of trade that sales on that
fhoroughfare can not be taken as an exact meas
0f The general rise end fan IN values FOR the
entire city. either before CT after the FIRE.
The depreciation OF from 10 70 20 per cent
lasted but few months Wheen the people
caught their breath, they realized that San Fran
cisco SIN held the power Of position, and that
her place IN the map was guarantee OF per
manence snd eventual greatness. Within few
weeks Market street property sold above the best
former prices; and today the original shrtnkaee
u probably 10 per cent has wholly disappeared.
ia other locations. where the depreciation was as
high as q per cent, depending on distance from
old established centers. the depreciation now
Enries from 3 10 . per cent, not exceeding the
latter proportion
Taking the prices paid for land since the fire
and the prices Il al the estimated value Of the
buildings which stood before the coufsgration
it IS found that Tie average price paid on this
street Tor tie four years preceding the nre was
SO sQuare foot. aud FOR the four succeeding
the IRE S5i square foot This comparative
increase Of 2S per cent however can not be
shown or any other street. On every street. ex-
cept Market street, there has been and is q per-
cept1ble decline. Undoubtedly The decline in
other sections viii be only temporary. the
adTancetd price in the main tborougafsre is. Of
itself sufficient to prove the confidence OF in
restors In fhe city whole.
AS property TelUes in any city sre established
and generally measured by central values. st is
not entirely unreasonable 70 ounte the sales on
the main retail thorouRhfare as showing in
general vav the rise and sau IN values of 2
whole city. Ore of the fTSt questions which q
stranger. n be he businessmen. asks In visiting