The New York herald. [volume] (New York, N.Y.) 1920-1924, 1920-11-07
HOW TENANTS TOOK
OVER BIGDRIVEF FLAT
Broker' Gives Details of Purchase OF
Peter Stuyvesant Apartment
at Ninety, eighth Street

of 25 per cent Of the purchase price OF
the apartment and when a sufficient
number OF apartments were sold the bal
ance OF the purchase price became due
upon call and the purchaser then re.
ce.ved an amount OF stock In the tenant
owner corporation equal to the purchase
price OF the apartment and In addition
thereto. proprietary lease Of the par
ticular apartment purchased for term
Of one hundred years. The proprietary
lease provides for a rental payment of
81 year.
On the basis OF eight apartments sold
TO tenant-owners and forty-two apart
ments leased to tenants the Income de-
rived from the leased apartments Is
more than sufficient to pay taxes. In
surance. mortgage interest payments,
payments on account of reduction of
mortgages and all other operating ex-
penses. Each tenant purchaser became
stakeholder and director of the corpo-
ration. although IL Is not essential that
stakeholder be director as In a cas-,
Of wife being a stakeholder she may
designate her husband or any other per-
son to represent her on the board of
directors. The board Of directors elected
president. president treasurer and
secretary and also appointed Harris.
Vought & Co. managing agents Of the
property for term Of five years.
Among the tenant purchasers are a
certified public accountant a purchasing
agent for one Of the largest Industrial
concerns in the United States an attor-
ley at law. a stock broker q former
United States Judge and a professional
teacher OF music 1t Is plainly evident
that cooperative plan approved by per-
sons who stand high In the professions
mentioned above must have advantages
that would interest great majority of
tenants. Arrangements have been made
50 that additional apartments in the
Peter Stuyvesant may be sold untl ap-
proXimately 20 per cent of the entire
number of apartments are occupied by
tenant-owners The proceeds Of the sale
Of additional apartments will be used
partly TO reduce the purchase money
mortgage and partly for working capital.
Another Purchasing Plan.
The Peter Stuyvesant was sold on 25
per cent. cooperative plan. thereby af-
fording the tenant purchasers the use
or their particular apartment free of
rent There Is another plan OF coon
erative ownership which !s meeting with
q great deal OF favor Il Is called the
100 per cent. plan." under which every
apartment is sold and the tenant pur-
chasers each contribute their proper
Tomato share OF the operating expenses
CooHo tive ownership of real prob
erty NJ cen most popular in European
countries or many years, and It will
soon take deep root In the United States
and many more business and dwelling
properties will be added to the large
number in New York city now operated
under the cooperative plan which can
be as readily applied to the inexpensive
buildings as the high class BUILDINGS
In the larger cities II is almost irnpos-
sihle for the family of moderate means
TO own Its own home In an individual
building because of the prob ibitive cost
OF the land and the high cost Of heating
and exterior and interior repairs. For
Instance. II is much cheaper to keep In
repair the roof covering fifty families
than II Is to keep In repair fifty in
divtdual roofs. and II is cheaper to heat
Il building containing fifty families thar
II Is to heat fifty Individual buildings
Every citizen should be encouraged
TO own his own home and thereby have
brought directly TO his door complete
realization of the responsibilities OF gov.
eminent. When all OF the people who
| make UP this great republic and who
| now pay moderate rent are transferred
TO the class who directly pay their share
OF taxes as real estate owners. they will
begin to take genuine interest In the
| Government and we will then have con-
| siderab'y less difficulties with the radical
element who as rent payers shift from
| place TO place and who take no real
constructive interest In the governmental
affairs OF our country.
own your own home" Is the slogan
that every right minded citizen should
4 Al u A.
operative plan win enable every citizen
10 own his own home and thereby great
ly aid In bringing about a state OF i0O
Der cent true Americanism.