The sun. [volume] (New York [N.Y.]) 1833-1916, 1915-02-24
OVERTURNED REAL ESTATE.
For It's Burdens nm E~xtravaeant City
Government Is Responsible.

ing largely Interested In real estate |
have followed closely the discussions OF
the city's financial position and OF the
burden which II Is imposing on real es-
tate. THE SUNS editorials on the sub
ject have been. as they always are. able
and forceful. I have not yet seen, how
ever, in the exposition of the situation
hat which, to my mind, goes straight 70
the root OF the matter. In al editorial
article In THE Sun of February Q APP
pears this statement:
New York has a large tenant popula-
ton sheltered in rented homes, apart
ments. hotels and other lodging houses:
and among these there exists a notion
that they are immune from the payment
~ taxes.
The inference Ia that these people do
pay the taxes. The truth Is that they
do not pay the taxes In full tallowing.
for the sake of argument. that capital IS
stu entitled to a fair returnD, espe-
cially when the City's taxes reach the
height that they now have reached. be-
cause Of the necessity of paying for a
great many civic activities which are
almost II not altogether paternalistic.
The fact Is that the accumulated excess
OF taxation, II II may be so described,
Is taken out OF the equities OF the
realty owners. To give a specific in
stance | know of an apartment house,
regulation walk up. which five or six
years ago was appraised by the experts
of one OF the big title companies OF this
city at $4,000. \ year or so ago u
was again appraised by one OF the city's
most responsible appraisers for $50, 600.
There is a mortgage on The property Toy
sos, 900, and the owner OF IL recently
offered n free deed OF the roperty to
get Il of MS hands. The rentals have
not fallen during this period, neither
have they increased. The reason for
he lessened value Of the property ~
due entirely to the added cost OF opera-
tion, greater taxes and the harass!ng
overinspection which Is now in vogue.
depicting It's earnings. This is By ~
means an Isolated instance Il is dupl,-
Gated many times In the experience OF
property owners n real estate men.
In other words, those Who pas the rents
10 not in fact pay the bills for mum
cipal e-Ntravagance economically it IL
impossible to add these charges to the
vents: about the only nance the rent
payers take is that real estate equities
VIII he 50 reduced throughout the city
that II will be forced 10 the point wher"
IL cannot raise the money TO spend as
10 is spending to-day. Then the rem;
payers will have to do with fewer NUM-
cipal Injuries than at present. The old
landlords and their equities Will be wiped
out and a new set will come in and a
fresh start will be made In the en-
deavor of the city TO lift itself by its
financial boot straps.
80 emphasis has been given. 50 far
as | have been abe to see. to the fact
that there are in the city to-day almost
as man city employees as there are
taxpayers. In round figures. 10000 II
the former. and ! bel eve abou. 10000
Of the latter. Il does not seem 20 be
-et.uus.y suggested that n possibility
COR Consil rahie economy can be found
by reducing both In numbers and In
compensation the c!ty's list Of employ
ees. In the matter Of departmental
Inspection alone the duplication % work
- notorious. and is one " the greatest
evils that real estate has 70 contend
with to-day Apartments, factories, ho-
te.s and like buildings are subjected
20 INSPECTION ~ five or SIX different
city departments that are frequently
found ~ i rect opposition 70 one another
Proper Inspection IS wise, and should
by no urtis be given up but all !nSpec-
tons Of buildings should bee put under
nre department. preferably the Build
ing department This would make not
only FOR economy but for greater ELL
cheney.
The TACT is tina, the city's taxpayers
ara being exploited to-day by the ci'y's
employees and rent PAYERS working to-
g"th.r. o1r.rg got ore WI. Cor the loss
~ equities which the taxpayer is hound
20 sIftog as % result, Il Us hut a mani
f~cstat'on OF the tendency that has been
So strongly marked in the whole coun-
try during tho last few years to crowd
ON 20 every industry taxes and regu.a-
lions up To the limit of the proverhia'
last straw. ON the theory that all tho
Profits belong :, 'he community AMI
not to the individual who produces