The Washington times., 1920-09-11
SEES NO DROP IN
COST OF BUILDING
Chief of Engineering Firm At.
tributes High Figures to
Nations Shortage.

Prospects Of a lowering Of building
costs seem to be away in the DIM fu-
ture, so far. in fact. that those thor
oughly conversant with the situation
cannot even see possibility Of a reduc.
tion. Builders are urging those con-
tcmplating increasing their space re-
quirements to build now. as to delay
will in all prospects mean higher
costs.
In an effort to answer the question
as to when building costs will be
lower, the George A. Fuller Company,
through the Fuller Industrial Engt
neering Corporation. has prepared the
following reply:
There are three conditions neces-
sary to bring about a reduction in
building costs:
81. A reduction in demand.
go. A reduction in wages OF labor.
"3. A reduction in prices Of build
Ing materials.
"A reduction in the demand for ad-
ditional construction Is highly i'm
probable. in view OF the present short
age Of building space, which has re-
suited from a slowing down OF COM
mercial and industrial building dur
Ing tnt ptIiou VI thV
SHORTAGE OF $500, 100000.
"An inspection of the figures will
bring out clearly the fact that the
country at large is short about three
and a half billion dollars worth of
normal building construction. and
until this shortage is made up there
will surely be continued and increas-
ing demand for space.
"As to the hope for a reduction In
building costs due to a reduction in
wages paid to labor, II does not seem
probable that the laboring man will
be content to accept any reduction in
the size of his pay envelope. His at
titude is rather to force wages to
higher planes. and an inspection Of
the diagrams which follow will show
that the wages Of the building trades
throughout the United States as well
as in New York city, have risen stead
lily during the past seven years. Still
labor is dissatisfied and restless.
"The hope for a reduction in the
cost of building materials rests large
ly on the hope for reduction In
wages, because. for every dollar spent
for brick, cement or steel which goes
into a building from SIS to 90 per cent
Of such price ultimately goes back
to the laborer who dug the clay,
mined the coal, burned the brick,
ground the cement, rolled the steel
and transported all of them over rail-
road lines to the site of the work
and built them into the structure. I'm
til these related wages go down,
therefore. IL is not reasonable to
expect any substantial reduction in
the price of building materials.
ADVICE TO BUILD NOW.
"In view OF the building shortage
in tho United States there seems TO
be little hope for a reduction in build
ing costs due to reduced demand.
with the present attitude of labor
there seems to be less chance for a
reduction In building costs due to
lower wages, and with this same at
titude affecting 90 per cent OF the
cost OF building materials there seems
small chance for a reduction in the
price of building materials. The
country is so far underbuilt that prices
have become subsidiary to necessity.
I'VE know OF no other major in
fluence which can bring a marked
or immediate reduction in building
costs, .end our mature judgment is
that there will be no substantial re.
duction for several years to come
Our advice to our clients in view of
this whole situation is that II they
need additional building facilities and
the conditions OF their business jus
tify the expenditure, II is far wiser
TO build now and enjoy the benefit OF
the Improvements than to wait and
lose the use OF this money making
space for several years, and then
k,.I - G,A -
higher than those OF the present time.