Evening star., 1915-11-10

No. 1909 F street northwest was as
| sessed at $4,000 and sold for $4,000.
Mr.. Bradleys comment on this was:
"A true sale. 1t is Ballantyne's Book
Store
Mr.. Bradley quoted from Mr.. Brownies
! statement, as follows:
Il would like to add one striking
| case, the purchase by Woodward q
Lothrop of the Equitable building site
on the north side of F street between
10th and 11th streets. They paid for
| the site and building $225,000. Since
| they imm ediately destroyed the build
| ing, it is obvious that they regarded
| the site alone as having value. This
| figures out s91 per foot. and as bearing
| ON this valuation 1t may be stated that
Woodward and Lothrop lease the cor
| ner of 18th. and F streets from the Car
| lisle- estate at rental of S22.500 a year
on fifteen-year lease. which expires In
| 1917.
IF this property was s22,5o0 year
| in 1902. then the renewal of the lease
can be predicted upon an approximate
annual basis of $4,000. This would
| indicate that the capitalization of the
present lease value is s562.500 on a
per cent basis, and that the true value
| of that corner. containing 7,942 feet,
is fully 100000, or $50 foot for the
whole F street front So it can hardly
be held that the Equitable site was
purchased at an excessive valuation"
| Mr.. Bradley's comment on this state
| ment of Mr.. Brownies was as follows:
! Calls Statement Incorrect.
| THE above statement Is wholly in
| correct as it relates to the site Of the
Equitable building. According to Mr..
Brownies statement ss1 per foot was
paid by Woodward & Lothrop. but Mr..
Browne leaves out large portion of
the ground which fronts on 10th street.
I - -I vnl,, lrA he odf
about $50 per foot. including improve
ments-a building well adapted to the
business of its owner
1.-THE purchase by Woodward &
sidered absolutely necessary by that
Ehrm for the conduct of its business.
and the figure they paid for 1t could
not, by any fair-minded person be
of the property. Moreover. the build
| ing association refused absolutely to
sell, and the only basis ON which it
| would consider Woodward Il Lothrop' g
proposition was that the latter firm
/ should purchase an acceptable site and
on it build an acceptable building.
Woodward & Lothrop accepted the sit
| uation and built the beautiful struc-
home Of the Equitable. Could anything
be more Of aZforced purchase?
"On pages 42o and the following OF
| the hearings before the George com
mittee." continued Mr.: Bradley, Mr.
| Browne gives his conclusions as to
the value of various business proper
ties. based on the leases of the several
pieces, which leases are a matter OF
public record.
| The list includes properties in one of
the best renting sections. and one in which
sales are infrequent. AS the testimony
of the witness giving his valuations OF the
several parcels is purely matter Of his
personal opinion. and as he does not
! cal Iasat tn a in
| have not thought it necessary to go fully
| into this portion of his testimony.
We will, though, call very brief atten-
ton to few of his cases. On page 424
value of the northwest corner Of 18th
and F streets northwest, based on the
lease. is s350.775. This property sold in
March. 1910. subsequent to the date of
in piece of property in square 432 sub
ject to a mortgage of s50.00O. 1t is said
that the later property subsequently sold
for $4,000. $4,000 more than the mort
gage, thus making the price Of the 18th
and F streets corner s235,o00. or $115.000
less than Mr.. Brownies valuation.
Another Case Cited.
THE sale was neither forced pur-
| chase nor a forced sale. On page 4o5
| the witness cites a lease of 1901 F
| street northwest. at $4,000 a year, to
| which he adds an imaginary increment
| of per cent a year, making. according
to his figures. total annual rental Of
s9s3o.
That property is now leased at $4,000
a year for five years. with the privilege
| Of a renewal for another FIVE years at
$4,000 year. This same property,
valued by Mr.. Browne at s21s.575, was
| offered for sale within the last few
months at $4,000. 1t is now assessed
on basis of S126292
| "On page 426 of the hearing we have
51s 9Th street northwest, valued nv
Mr.. Browne at s1l3.S25. No. 514 9Th
street, adjoining on the south, was
offered for sale at just about the time
Mr.. Browne made that statement for
ss5. 900. and has not been sold.
| No. 518 9th street. adjoining on the
north. was sold in 1910 for $5s,500, sub
iect to ground rent of $3.50. valued at
$4,000. which made the purchase price
about $4,000.
On page 434 of the hearing Mr.
| Browne SAYS that a tract living on 4th
| avenue tnot on Michigan avenue, as
he testified). is worth $500 an acre
and is assessed at $1,000 Note the
| following The land Immediately south
| valuable piece of property because II
is nearer to the city, also assessed al
$1,000 an acre. was sold In 1913 fol-
| $3.50 per acre at d private sale. After
being for several years from the mar
ket this was the best price obtainable
and the best offer received.
We want to repeat here that ouI
tabulated sales in the suburban area
show a total of $2.s9S.4 400. and accord.
ing to the witness the total should not
be more than five times that amount
or S905e640 On page 433 Of the hear.
ling Mr.. Browne quotes from the testi.
mony of Mr.. Doyle. Mr.. Doyle will
testify as to the Chevy Chase. Massa,
chusetts Avenue Heights and other
properties in reference to which he i.
quoted.
Another Statement Disputed.
"In Mr. Brownies brief before thii
, committee" continued Mr.. Bradley, "h,
makes the following statement in re-
gard to piece OF property at 9Th stree
and Louisiana avenue northwest, par
of lot 3. square 382:
: Il. That this is leased for $4,000 ,
year to Chaconas and others.
"2. That the improvements add moth
: ing to the value of the property.
"3. That the assessment book give
total assessment of the ground al
$30.s5s.
q. !. That the rent indicates gros
I return Of s5 per cent and the net Te