Saturday news. (Watertown, S.D.) 19??-19??, 1914-07-09
Land Worth Only What II Will Produce Interest Above the uo
Of Observation-Disclosures Rich IN Cattle and
Also Great Sheep South Dakota
ing secton-Farmng Farming South Dakota

10, Wllle the IrulI area lb ImlI6Q C0f
q few thousand acres in comparison
Some High Priced Lands
While the greater portion Of the4
mountainous regions is given over tol
the production of cattle or minerals
there are here and there valleys and
plateaus which produce crops and|
fruits in abundance Throughout
Colorado the production of sugar.
beets has been conducted upon al
large scale. Potatoes are likewise a
leading crop, while alfalfa and small
grains are by no means neglected
General farming lands in these III
rigated sections range in price FROM
fifty dollars up to three hundred In
those sections which are considered
adapted to fruit raising / have known
land to sell for almost fabulous sums.
/ have In mind one six acre tract that
commanded four thousand dollars anil
acre, including buildings costing per
haps four or FIVE hundred an acre. II
have seen other lands sell for three
thousand an acre, ranging from that
down to three hundred. Many tracts
within my personal observation have
commanded thousand dollars an
acre and UP. NJ Il q,
i. Value Based on Prediction.
But is it worth the figures mem
toned? That may be an open ques-
tion. bnt, so Tar as my observations
have extended, ] should lnhesitating-
" answer in the negative. Z. Ss@.S
Land anywhere IN the vide world,
.as view It. Is worth only such sum
as II viii pay reasonable rate Of In
ferest upon after allowing for the
cost OF production. ,sI
is upon sussss basis th ss sssve buy
bonds and mortgages and corporate
stocks. 1t is upon such basis that we
lend our money those few of us who
are fortunate enough to have amy to
lend upon private notes. The pri,
;vate note that is not considered as
"good" is "a drug on the market The
bond that does not carry with it the
reasonable assurance that it will meet
it's annual or semi-annual interest
|swhen due is tossed about on the
stormy sea OF CONNIE Realism, and the
share OF corporate stock that fails to
command diviiend, either in hand
or in reasonable prospect, goes a1beg.
ging.
So land, too, to be valuable, z must
pay its allotted rate OF interest on
the investment, Any other kind Of
value is speculative, is the result OF
a boom, Z or has been brought about
through manipulation, either up or
down.
Must be Time- Tested.
The test must not be limited to
one year. or to any brief period. I
have known stocks ostensibIy to pay
regular dividends for a breif period,
Involving a few years, only TO flash
in the pan when the manipulators
had raked in their pockets full of
'scads, Or when some prospective in
yestigation or some counter scheme
had begun to have its effect,
The value Of land. like. the value Of
personal effects, must be time tested
II is worth only what It will continue
to produce above the cost Of produc-
tion no more. no less.
And while admit that i may be
/ mistaken, do not think any fruit
land, anywhere in America, under our
present system Of production and
marketing, is worth a thousand dol
lars an acre. am speaking Of the
average fruit land under the average
method OF production and marketing.
The past few years have been par
ticularly unfortunate for the average
fruit grower. The acreage has vast
~ Increased, thus Increasing the pro.
duction, while the methods Of mar
sketing have not materially Improved.
Another thing the cost 81 living
has been increasing and the people
have turned from luxnries tonecess
stiles, and fruit ordinarily speaking.
is not necessity
=. .ss ~ "a - i a. = =. IL .