The Dawson news. (Dawson, Ga.) 1889-current, 1911-04-26
LEASE IS ON A ROUGH ROAD
THE MANSION is WORTH MORE
THAN WAS BID FOR 1T.
Fight in Legislature Will Be Made
On Committees Recommendation.
History of Historic Structure.

on Committees Recommendation.
History of Historic Structure.
ATLANTA.-There is a positive
belief that the legislature will turn
down the proposal looking to the dis
position of the executive mansion
property on Peachtree street, Wnlcn
was approved by the legislative COM
mittee and will be reported fayorabIy
70 the general assembly at its COM
ing session.
A 99-year lease with a steady in
come is a mighty good thing, pro-
yided the income is big enough, COM
mensurate with the prOperty's val
ne. But it is recalled in this case
the lessee proposes TO take the prop
erty free of all taxes, through when
the state loses approximately $Z,OOV
a year for the period through when
the lease is to run.
To recap itulate the proposal =. NJ.
Grant & Co, real estate agents mere,
representing some unknown person,
agree to pay the state an annual
rental of $4,000 the first five years,
$4,000 for the ten years following,
$4,000 for the next ten years, and
$4,000 for the remaining portion
Of the 99-year term.
Worth More Than That.
Putting the present value of the
property at $351,000, the highest
cash price offered the committee
proposes that the state shall accept
for the property 4 per cent rental
the first five years, 425 per cent the
n
ten years. and CO per cent there
after, without taxes. These percent
ages are all based on the present
value of the property and not upon
such increases as it may take on
from time to time.
Considering that the tract, 140 by
400 on a central corner, is the most
valuable available property in the
city today and considering, too, that
several 99-year leases have been
made at better prices, location and
size of property being kept in view,
this looks like a very small rental
for the state to get out of the prop
erty
That there is big money in it for
the man who gets the lease at this
price there is no question.
1t was natural for the committee
70 prefer a lease proposition to one
for sale outright, because if the prop
erty is sold the money received from
il would have to go into the states |
public property fund, which can be
used only for paying off the public !
debt. But if it is leased the rental
can be used for general purposes. |
However, the legislature has found
no trouble in the past in spending
the public property fund for general
purposes, and there is no reason why
it should do so in this case Ten
years ago the question first came up.
The state had 100000 in the pub
lie property fund and wanted to use
1t for general purposes. The prob
lem was finally solved by using this
money to pay off interest on the
bonded Indebtedness, and using the
interest money for general expenses,
which is one way of beating the dev-
il around the stump. The DISPOSE
ton of the money was upheld by the
state supreme court.
VIII BE Much More Valuable.
This depression is simply to show
that the state might have used the
proceeds from the mansion in any
manner it might see fit. However,
the committee thought it would avoid
trouble to accept a lease proposal,
and has so recommended.
The committee declined to give out
the other bids or the names of the
bidders, except to say that the high
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