The New York herald., 1921-04-12
DWARF LOT REAPS
ANOTHER FORTUNE
Herald Squares Tiny Corner Is
Leased for AZ Years at Total
of S3. 500, 900.

Herald Squares "Lotlet. at the
northwest corner Of Broadway and
Thirty-fourth street, figured in another
record transaction yesterday when the
seven story building on the tiny patch
OF ground, which measures less than
half city lot, was leased by Robert
S. Smith. the owner 70 George Loft, the
candy maker, for a total period OF
forty-two years at an aggregate rental
OF S3.500,000. This rental price repre-
sents an increase of easily 100 per cent.
over that brought by the building in
1903. Even In those days II was con-
sidered a good income producing prop
erty for that neighborhood.
The history of the little parcel proves
IT to be one of the most valuable bits
OF land in Manhattan if not in the en-
tire world. The outdoor advertising
privileges which go with the building
are in themselves n small gold mine.
The building is completely fianked by
the entrance facade of r. II. Macy & Co.
For many years the department store
cast covetous glances in the direction of
the property, which IL desired to square
out its present site Unable to acquire
the property however. the Macy Com
pany purchased additional land to the
west of its present store and only re-
Gently filed plans for new eighteen
story building, showing that all hope OF
taking over the "lotlet" had been aban-
doned.
Mr.. Loft, after he gets possession of
the property from the present tenants
the United Cigar Stores Company, in
1924, will probably tear down the old
fashioned building and will replace it
IL l. Zs..l.t sE~
to match the height Of Macy's store, or
he may decide to put up twelve or
fifteen story building. 1t depends on
business conditions. he says. At any
rate, his company will occupy the first
floor and basement as a retail store and
extra space in the building as it be-
comes necessary.
For the first twenty-one years Mr.
Loft will pay to Mr. Smith a net annual
rental of $4,000 plus taxes and other
charges. II he carries out his building
plans .he may eventually pay as high as
$4,000 year. The United Cigar
Stores when it acquired its twenty-one
year lease in 1903 paid net rental of
$4,000 year. At present the building
is subleased to about four tenants, who
in turn rent out the offices given over
mostly to small retailers. 1t Is said
that the Cigar Stores Company, IL it
were the single lessor would be taking
an annual profit of about $4,000 year
from the building.
Mr.. Smith acquired the building from
S. Osgood Pell for s375.O0O cash. with
no mortgage. 1t was subject to a lease
for $4,000 a year for three years, and
Mr.. Smith practically carried the build
Ing at loss for that period He subse-
quently sold il to Henry Siegel the for
it,. n.
Street Store. and in 1907 he repurchased
II from Mr. Siegels holding company
for $4,000. About six years ago a
certain broker evinced a great anxiety
to acquire the building, and it was re-
ported that the Macy store was once
more in the market to take over the
coveted corner. The price was again
put UP TO such dizzy heights that nc
sale eventuated.
The lease 10 Mr.. Loft was negotiated
by r. J. T. DAILY, a broker of so Church
street
Another realty deal in the Herald
square zone was the sale last week OF
the lot at I5S West Thirty-fifth street
by Charles Gachot TO /. Blynn & Sons
the shoe dealers. The property abuts
the lot previously acquired by them a,
161 West Thirty-fourth street and gives
the buyers a plot extending from Thirty.
fourth TO Thirty fifth streets. Work has
been started on building for the firm
that will adjoin the proposed addition tc
hA rfrr