South Bend news-times. (South Bend, Ind.) 1913-1938, 1919-02-11


and how the need for more homes is
being met in that city are described
in the report of Herman A. Tohulka,
who was delegated by the Chamber
Of Commerce to make an investiga-
ton for the local chamber. The re-
port follows:
Feb. :. 1919.
AS a member of your committee.
was instructed to visit Akron, o.,
for the purpose of investigating the
conditions of housing in that city.
First gathered that plans for
building houses were turned over to
the real estate board Of that city.
who in turn got in touch with in
dividuals and investors and induced
them to build houses. About 5000
houses We're built by their efforts.
These were all sold.
"Second-The needs Of the COM
mittee have not been met, as only
80 percent of the laboring men in
this city live in their own homes or
rented houses; 25 percent live on the
outside OF the city of Akron, in
suburban towns. in lake resort
houses; % percent live in rooms. at
tics and cellars. a very bad housing
condition.
Third-Their building movements
started in the year 1915. There were
1.09S houses built in that year. In
1916 there were 2,637 houses built
In 1917 3,011 houses were tuilt; in
1918 700 houses were built. The
population of census of 1910 in
Akron were $4,000. In 1918, eight
years, the population has increased
TO 10000. an increase Of 123 per-
cent
''Fourth-The laboring people
built a few houses for their own use.
| Individual spectators built a large
number of houses for sale, which
were all sold and none rented. Sub
divisions were laid out and all met
with good financial success. Banks
loaned so percent of the valuation Of
these properties and a second mort
gage loan company. organized by in
dividuals and incorporated. loaned
20 percent on the valuation Of prop
erty and charged Z percent interest.
They also charged a 20 percent dis
count on all money loaned on sec
ond mortgages.
No Builders Company.
II also met Mr.. Workman. the
president OF the Akron chamber of
commerce. who INFORMED me that
there was no home builders COM
pany in the city of Akron that was
backed by public subscriptions. They
were organizing a company OF this
kind and had about S25OO 900 sub
scribed when the war broke out and
this was given up.
"I also met Mr. Bob Lee. an Of
fetal of the Firestone Tire Co, who
is now drafting a plan for a new
$4,000 home builders company.
to be subscribed by public subscrip-
ton. When his plan is completed
he has kindly consented TO mail me
copy Of his outline in typewrit-
ten form.
His idea is to build houses TO rent
only, on an percent basis and 20
net 8 percent 70 the investor. The
Firestone Tire corporation have pur-
chased a tract OF 200 acres within
one mile Of the factory. They have
subdivided this tract by an outlay Of
100000 This included the laying
OF mile OF street car track. which
connected with the city lines. This
was done az their own expense.
I Built an up-to date school. a church;
| laid out parks and water mains. The
houses built are i've. six. seven and
eight rooms; all modern and sell
I at cost, plus 8 percent. The prices
OF these properties range from IS, 500
20 $4,000. with $3.50 70 $500 down,
I or rs much more as the purchaser
may have 10 pay. and at least I per-
+ cent Of the balance due per month.
which includes interest AT 8 percent.
7 taxes and insurance. This firm has
built about 1850 houses. which are
I all sold, and will build 1890 more
! houses this year. They buy lumber
\ and material in carload lots and do
/ their own building Mr.. Kruger.
/ their real estate manager. would not
I commit himself as 10 this venture
being a paying proposition as far
as his real estate department was
concerned. but that the Firestone