The Washington times. [volume] (Washington [D.C.]) 1902-1939, 1910-01-15
Owners Find They Insure
Profitable Returns on
Investment.
PREFERENCE GIVEN
LOWER BUILDINGS
Market Not OverdOne, as Shown
by Numerous Recent
Purchases.

DesDfte claims made that the wash
inCton apartment house market has
been OverdeveIOped. the market is es-
1ablishinE a higher record Of sales
than last year In fact so phenomenal
has been the demand for apartment
houses during the past three weeks
there are comparatively few persons
now who do not believe that this class
OF real estate affords as safe and re-
mUnerative an investment as any other
Whatever may be the final showing
OF the market. that the lifting Of this
ban Of claimed '-o-ard. veIopment-- viii
result in more speCUlE.-iOu in apartment
buildings IS generally admitted
one does not have to investigate ex-
tensiveIy 70 become convinced that the
apartment house market has not been
overdOne- Data on dle in all the real
estate Offices show that more inquiries
concerning the investment OppOTUuni-
ties Of the market are being made
daily than was ever known one firm
alone reports having sold six apart
nent houses IN three weeks
Six Apartment Houses Sold
This firm is stone & Fairfax It's lat
est sale was Of the Saratoga apartment
house, seventh and East Capitol, which
was purchased by William Miller, at
S50Ol1- The building was erected last
fail by harry Wardman, and, incident
ally, 1t may be remarked that ali Of its
apartments were leased before II was
completed
The other FIVE buildings disposed Of
ny stone * FaizIaX were sold at prices
ranging rom $4,000 10 Sl5Oept In two
OF the transactions the purchasers were
Cut-Of-tOv-u Investors.
Harry tEardman's office reports hav-
Virginia farm land during the past TWO
or three weeks, while Two trades Of a
similar nature are now pending
Several real estate firms, which, as a
rule, DO not give much Of their atteu-
ton 70 the apartment house market.
have contributed 20 the general activ-
iJy-
Nice Returns Yielded
one condition is responsible chiefly
for the unusual record being established
BY the market II is that the average
apartment house returns a IL pc. cent
net investment Some buildings OF this
class are returning a much higher per
Ceutage-
With the expansion of the market.
builders are lIy- but consistently
showing q preference for the apartment
house that IS put tnre or four stories
IiSil, and Is not equipped with elevators.
rms type sells on an average from $50
GO 20 SSis30o- Its advsntaE es. as an in
FeStment proposition are apparent
Ihe building Of an elevator in an
apartment house and the employment
or a man TO operate IL entail a COST
which IS not made up for BIZ the higher
rents (Which buildings equipped with
elevators command Thus, with this
cost eliminated, which makes cheaper
rents, an increased rental demand is
created
Outside Capital Coming In.
4
inEJOH al an unprecedented rate A
large amount OF it is Virginia capital
Some Of Il Is rer resented by Virginia
ployed IN trades
There are more than twenty-five aDart-
ment houses nov under construction in
- " ash1nEtOn- aIst. -he majority Of them
early summer
With the attention OF the entire coun-
ny attracted II the security offered hv
the Capitals real estate market in gen
eral and viii apartment houses show
IuE the returns which are being real
1Zed al present, there can be little doubt
that the structures OF this class now
being erected viii be anything but drugs
on the market by the time they are
completed.
Greater Activity Expected.
Indications are that the activity OF
the market viii stimulate the plans of
builders TO such an extent that more
apartment houses VIII be constructed
during the next twelve months than was
the case last year.
This activity. II is expected viii, IN
no way. tend 80 deUreciate the demand
Icing recorded IN other divisions Of the
market, OF make the building Of private
residences less exploited Industry
Il simply viii he the rounding out OF a
demand which Is TO characterize the en-
fzTe markell demand which sustained
- conditions. promises TO he normal.
although phenomenal and which. with
the backing IL Is to receive from outside
investors, viii witness more money be
INK placed in Washington real estate
this year than ever before in the same
length of time in the history Of the
Nations Capital