The Washington herald., 1920-05-30
WORKERSFIND
WAYTOBREAK
RENT BARONS
Us Heads of Families VIII
Own Cottages Worth
$750,0O0.
NEW HOUSING SCHEME
Chicago Millionaires Spon-
sor Plan to Shatter Land
lords Grip.
CBy a star Corre.pondent1

enforced allegiance to the profiteer
and the landlord and you men are
the ones who can break the
shackles. Are you with us%
The question was answered by
spontaneous applause from several
hundred men, black and white, in
overalls, all grimy, plastered with
clay and mortar. They were
standing in a huge semicircle
around the upturned box in the
middle of the roadway. The speak
er on top was no ordinary. sand-lot
orator. The auditors were not
common workers, although every
mothers son carried a union card.
Among these men were those who
laid 1900 bricks in eight hours
when 500 is considered the aver
age. Before the speech some had
toted two boards on their back
when one had been considered a
load. After 1t one more was added
for good measure. Also an extra
shovel or two went into the wheel
barrow; the ladder creaked under
a heavier load of mortar; the paint
brush swished at a faster rate; the
trowel made a bigger circle on the
wall and the lather's hammer beat
q quicker tattoo in front of him.
Has Plenty of Money.
But the orator. He had finished
his speech and was disappearing
between mounds of clay, brick and
lumber toward a coughing and
wheeling steam shovel which was
making more mountains on both
sides of a forty-foot ditch.
What's his graft?" queried the
idle bystander who had drifted in
from the street.
Making two bricks grow where
only one grew before" explained
James F. Basiger. general manager
for the Chicago Housing Associa-
tion. That maxwell, never mind
his name-doesn't have to do that
for living. If 1 had 10 per cent
Of his money ] would get a valet
and present him with a new
limousine every week just to show
people I had it
had come out to Garden
Homes" with Mr.. Basiger and the
orator to watch the dirt fly. 1t did
and has been since last October. 1t
has been flying in such an efficient
manner that cards have been sent
out for the grand opening July 4.
On that day a new declaration of
independence will be sounded for
those who. with Increasing broods,
have gravitated to the edge of the
slums. At high noon IFS keys will
be turned over to the heads of IT'S
families. the ceremony marking the
odors and incipient poverty to brand
now five room cottages, gardens,
fresh air and a future.
Solution For Housing.
With the keys will he handed over
a present of $4,000. not in cash but
in an equity equally as good. as
each of these new househOlders will
have had turned over to him a
house for about $4,000, but actu-
ally appraised at $1,000. \ million
dollars worth of sunshine and fresh
air will go with the deed. In ad-
ditiOn the success or failure of Chi
eagO's latest housing project will
hinge on the experiment.
Housing schemes have been many. !
Successful ventures have been few. |
Hardly any have stood the test of
time. Chicago thinks IL has found |
a solution and hopes to have the !
UtOpian signboards point toward the
new community at Eighty-sevenrn I
and State streets. If it should, Chi |
Cago's milIionaires will get the !
credit. and rightly so. for these
to buy forty acres of land ana To
build the 175 houses to be sold to !
small wage earners with large fam |
ilies-the larger the more eligible |
arc they as purchasers. Back or the ,
plan are such men as ]. Ogden Ar
mour. Albert d. Lasker. Benjamin !
J. ROsenthal. Frederic W. Upham, !
Thomas f. Wilson, William Wrig- |
ley, jr., Julius ROsenwald, Edward /
Morris and Louis Swift, all cap
tains of industry in control of capt.
tai well above $1.OOO,OOO.OOO.
Took s75O.OOO To Start.
1t took about $75O.OOO to get the
scheme started. In a few months
II passed from the Utopian to the /
practical. BY the time the first pay
ment of the ne wowners is made /
the corporation will have spent I
about $1.O00.00O. when the second |
Is due IL is expected that the mill
ion will be ready for new ventures. |
This IS how it works out:
The houses will be sold-in fact, /
applications for all have been in for |
a long time-on terms which require
10 per cent cash down on the pur-
chase price. As the houses will be |
improved of for about $4,000 this
will mean $500. Quantity produc-
ton has made It possible to build
them $4,000 under private contract
price. Also in this case even Iegiti-
mate profits have been knocked Off
as for instance the association has
been paying s11 and S12 per 1000 |
for bricks delivered when the price |
at the yards has been SIG. Other
material has also been obtained at |
substantial discounts.
Purchaser Gets Lot.
The purchaser of the house gets |
the so by 162 to 200 feet lot thrown |
In. 1t won't cost him a cent and !
pecially the corners, were sold at |
price that covered the entire cost of |
the forty-acre tract-SS0.0 900. Mort |
gage bonds have been issued cover |
ing the land and buildings. As the |
ectual assets are far in excess of the |
liabilities even should certain 1
payments lag. II is expected that /
the banks will consider IL good in
Vestments to loan at the least so !
per cent on the total.
Rating 1t at its actual value, and |
not what 1t cost. the returns from
the 80 per cent loan will more than |
cover the original investment. II |
the money is not returned TO the |
hackers they will get per cent II /
they care for ii. At any rate there !
viii be plenty of capital on hand for |
further and more ambitious housing
schemes and this can be kept up in |
dehnitely or as long as there are |
purchasers for houses at cost.