Evening star. [volume] (Washington, D.C.) 1854-1972, 1913-01-03

of the three men who had appraised the
Southern building.
II don't know a better man in his
line.
You would be likely to take his judg-
ment?''
Yes. quite likely"
Don't you know that Mr.. Lipscomb
valued the building a million dollars?
Mr.. Hoover said that might be true. but
that he understood certain defects had
developed in the building. set forth In
the cross bill which was filed to offset
claims by the builders. Mr.. Douglas said
they amounted only to $4,000 or 100000
which would not reduce the valuation to
ssOOoO. He also said the building had
been built of steel sufficient to carry two
extra stories.
Mr.. Hoover believed the Southern
building site good as the Shoreham site
and vice versa. He and the attorney had
mild skirmish as to what percentage
business property should yield. Mr..
Douglas asked him if such properties
yield more than 3 per cent as a rule.
Yes was the reply. Il believe prop
erty should bring In 5 per cent. We have
property under the control of the bank
which yields an average of Az per cent"
Mr.. Douglas kept up a line of questions
which indicated he believes Mr.. Hoover
has depressed idea of values of property
III iotdHtlcS
Comparison of Values.
During the conversation on real
estate Mr.. Hoover made the remark
that he believed the south side Of III
street at 18th is more valuable than
the 18th street side of the Southern
building
That is because it is nearer the
G ynpfrr Il
las. with soft smile. II don't mean
your own bank: / mean Mr.. Glovers."
Mr.. c. c. Glover and Charles j. Bell
had both testified they thought their
banks were situated in the exact center
of business here Mr. Douglas asked
Mr.. Hoover the question, heard often
in the present hearing. to what he
thought about the new Arlington Hotel
site.
THE best in the city for it's purpose
The old Arlington Hotel had a reputa
ton all over the United States. and its
location was known to thousands. 1t
is much better site for a hotel than
the 18th and Fl street corner is for the
Southern building.
Mr.. Hoover further surprised Mr..
Douglas by saying that the Colorado
building the Riggs and the National
Savings and Trust buildings all have
better sites than the Southern. Mr..
Douglas asked him:
has a much greater percentage of
tenants than the Colorado building"
II did not know it"
Rated at $50 Foot.
Mr. Hoover placed the Bond building
property at $50 a foot. Concerning
the Lehman building he explained his
bank had bought the property at $22
a foot seven years ago, and was trying
to sell it for s44 and could not.
Mr.. Douglas asked him about the real
estate assets of the National Savings
and Trust Company. and Mr.. Hoover said
they had been carrying the land and
building at a high figure since the earliest
days: that the valuation had been fixed
by e. c. Glover and James NJ. Johnson,
president of the Arlington fire Insurance
that the controller of the Treasury had
examined the statements and approved
them.
Following this. Mr.. Douglas said:
You nothing wrong in the Com
mercial Fire Insurance Company carrying
property at a value as appraised by COM
petent men,
No"
IF they found a diamond the directors
of the company would not be expected to
carry it as a pebble.
Mr.. Douglas then asked:
Mr.. Redfield made statements to YOU
about false pretenses and you apparently
gave assent. Your answers were to hy-
pothetical questions, were they not?'
The question was hypothetical one.
would not be understood as meaning
to charge any of the gentlemen in these
many of whom l know, with
anything fraudulent. The men 1 know
on the companies are incapable OF OBJ
tanning money under false pretenses.''
Graham Il. Sichol and John Martin. re-
porters of the G'imas and The Star at the
District building. were called to the
stand to testify as. 1.-the statement writ
ten by Commissioner *Judson December
u explanatory of the action Of the
ordering a decentralization
of the two insurance companies. III :.