The Washington times. [volume] (Washington [D.C.]) 1902-1939, 1913-01-10
REALTY EXPERT
TELLS system
OF VALUATION
Southern Building Appraiser
Explains Estimate of
Southern Building.
CONTINUED from First Page.)

said in making the appraisement OF
any building he preferred not to know
what Ii cost and that the relative
values of property in the neighbour
hood should be considered, rather than
cost price of the price at which a prop
erty was held.
Appraisement Method.
For this reason, he said, he used
neither the Assessors figures, the cost
figures, nor the st. Matthews Church
selling price in computing the worth of
the land upon which the Southern build
ing was erected.
TT would not be fair for me to ask a
man what he paid for property if 1
were going to appraise IL, said MI.
Hensey. II would be prejudiced then;
1t would be impossible not to be. So,
your house 1 would not want to know
that you paid $4,000 for 1t. 1 would
want to take in the relative values Of
the property around il.
Calls 1t Valuable Plot.
Mr.. Hensey said he regarded the
Southern building corner us one of the
he said, was worth from S45 and $50 per
square foot, at least s45.
In making the appraisement, testified
Mr.. Hensey, the appraisers considered
the earning capacity Of the building.
which was estimated at Sl1IVJ0 annu-
ally.
The real estate expert testified fur
ther that the Arlington Hotel property,
at the H street end, was worth $54,
while some of the ground on the I stree;
side was worth only IS foot.
Mr.. Hensey was quizzed at length re-
garding real estate values in the VI
cinity which Congressman Berger has
terms the wall Street of Washington"
How much more valuable Is the
Southern building corner than the land
at Vermont avenue and / street," asked
Attorney Douglas.
1T is worth at least $50 foot more"
said Mr.. Hensey.
IF the Chamberlin Hotel site cannot
be bought for $50 foot, what would
you say the Southern land was worth?'
AT least so a foot more for the
Southern plot"
The corner at Fifteenth and Fl, he
said, would compare favorably with the
corner at Fourteenth and II. Land at
Fourteenth and Fl, Mr.. Hensey testified
was worth s65 foot, and ne understood
s7S foot had ben refused for the son
called Small corner in that location.
Worth SIS a Foot.
Mr.. Hensey said he OBLIGATED as one
of the appraisers without knowledge
of what the insurance department de-
sired with the Information, and that he
acted for the insurance department
with no suggestion from any one con-
nected with the Commercial or First
National Fire Insurance Companies
Hope H. Darneille, chief appraiser,
Hensey testified, did not ask him to
make a light appraisal.
Mr.. Hensey said he consulted his as
sociates in the Swartzel, Rheem & Hen
sey company concerning their opinions
as TO the worth of the Southern build
ing property. Mr. Swartzel thought the
property was worth s45 foot. and Mr.
Rheem considered 1t worth $50
Il myself thought IL to be worth be-
tween si5 and $50
Mr. Redfield wanted to know II Mr.
Hensey had sought the opinions Of
other real estate men before making
the appraisal. Mr.. Hensey said Mr..
Darneiile had asked for opinions from
others, but that Mr. Darneille was best
qualified 10 testify regarding the views
OF those with whom he talked.
Did You know an appraisal of the
Southern building was made by the
New York insurance department early
in 1922 asked MIR. kedfield.
Il did not
Did you have any knowledge of the
value put on the property by the New
York insurance department, and did you
know who the appraisers were?''
Il did not have any such knowledge"
said Mr.. Hensey.