New-York tribune., 1921-09-30
Few Landlords
Can Raise Rent.
Judge Asserts
Increases Will Be Granted
Only on Long-Tern Lease
Renewals; Don't Worry
Over Eviction, Says Prince
Test of 1Oao Rule Sought
Realty Men Eager to Have
Highest Court Possible
Review Question at Once

need feel no apprehension because Of
demands for increased rents by their
landlords was given yesterday By jus
.ice Leopold Prince, sitting in the
sth District Municipal Court. There
were very few cases, Justice Prince
said, in which any increases would be
given, and these few were where ten
ants sought to renew Tong term leases,
drawn before the general advance.
Their rents would be raised to the pre-
vailing Level, ne said
Certain articles in newspapers re-
gsrding moving conditions and tho Oc-
tober I rent situation" Justice Prince
said. "are uncalled for. Tenants need
not be alarmed regarding eviction.
The only tenants that may be at
fected by the court orders are those
who have held leases for several years
and which expire October L. Land
lords in such cases have a right to in
crease their rents proportionately to
the increase in maintenance costs and
assessed valuation of the property"
Realty Men Welcome Test
Yesterday John S. Stoddard. secre
Estate Board. in commenting upon the
opinion written by Samuel Untermyer
for the Lockwood legislative housing
committee, said that the sooner Mr..
Untermyer's proposed test case, based
upon an agreed statement of facts,
was prepared, the better for both land
lord and tenant.
"Mr. Untermyer agrees that the pres
snt market value of the equity should
be taken for consideration. He also
suggests that there should be decision
by an important court at once.
"The landlords agree with him on this
proposition. The matter should be
settled as soon as possible, and by the
highest court possible. The Real Es-
tate Board will put no obstacles in the
way Of bringing this about, and it is
very important that it be done quickly
IF the higher courts will decide
this question, it will not be necessary
for landlord and tenant to go to court
so often. They can sit down and figure
the thing out for themselves. At pres
rule should be, and this situation will
not be changed until there is ruling
by an authoritative court"
Mr.. Stoddard said he had not re-
ceived any communication from the
Lockwood committee. nor had he com
municated with it, but would receive
sdvices with keen interest.
Criticizcs Equity Basis
Regarding the plan for arriving at
fair income proposed by Mr.. Inter
meyer, Mr.. Stoddard expressed the
opinion that to deal with equities
would be to encounter numberlcss diff
fleulties, among which would be dif
ferences in rentals for properties of
tho same value.
"There is nothing uniform about
mortgage loan expenses" Mr. Stoddard
said. "The cost of second and third mort
cages is very high. The tenants must
not be expected to pay those expenses.
If they do, then they are required to
pay higher rent than their next door
neighbor for the same apartment"
A statement came yesterday from
the Rent Profiteering Committee in the
Municipal Building, summarizing its
work.
"Since it's appointment, the commit
tee has received hundreds Of thousands
OF complaints from both landlords and
tenants the statement says. at has
heard and arbtrated over 10000
cases, involving nearly 100000 ten
ants; it has assisted tens of thousands
of tenants by preparing for them an
swers. motion papers and demands for
billS OF particulars IN court proceed
ings, instituted against them by land
lords and has appeared in court by its
counsel for thousands of tenants
Appealed for Review
The committees statement says it
also petitioned the Governor to con-
vene the Appellate Division in Brook
lyn to hear an appeal from the opinion
of the Appellate Term in the case OF
Hirsch vs.. Weiner, which is the 10
per cent on market valuation opinion
that was the subject of Mr.. Inter
myers letter to the Lockwood commit
tee. The petition, however, was not
granted. y
This committee, it was explained,
fixed 10 per cent Of the purchase price,
If recent, as the reasonable net return
a landlord might expect, less mort
cages, with an allowance for deprecia-
tion and expense. This rule has been
accepted in Manhattan and Bronx
lower courts as fair, appeals courts
simply affirming or disapproving in in
dividual cases without commenting
upon the propriety of the percentage
Of profit allowed.
There was a great increase yesterday
in the 7th District Court in 125th
Street of the number of cases Of sum-
mary disposses proceedings for non
payment of rent. In many Of these
cases the tenant simply told the court
he had no money. It was evident that
these tenants had STAYED off the land