The New York herald., 1921-05-23
BUILDING ACTIVITY
DUE IN SEPTEMBER
Last Tremors in Price Read
justments to BE Felt by Fall;
Late Realty News.

Signs and symbols point to probable
turn in building construction affairs
ihat should make the entire Industry
fairly active during the last half OF
the year and particularly in the last
four months according to the current
Dow Service Daily Building Reports.
Between now and the middle of Sep
tember the last fluctuations of indus
trial readjustment will take place. These
readjustments include freight rate COR
rections, toward which the sand and
gravel tariff on the New York New
Haven and Hartford Railroad. amount
ing TO approximately 25 cents ton on
a mileage basis. becoming effective May
II. Is very definite start
During the summer months ADJUST
ments In building material selling con-
dtions will take place and prices VIII
turn from downward to an upward
course, as in the case of linseed OIL.
which, by the way. was the first basic
building commodity to mark the turn
downward last year from the peak In
the next two months there will develop
closer relationship between the vol
ume and value OF building permits
granted and actual building construc-
tion activity.
The main basis of a growing convic-
tion that the long deferred general
building construction movement In TINS
market will be felt more generally IN
the autumn of this year is the present
increasing activity of architects and
engineers in preparing plans and even
in awarding contracts upon them for
action when the building material dls-
tribution situation becomes more car
flied.
1t is a literal fact that no matter If
contracts are awarded at this time
actual building construction cannot
progress much further than excavation
and placement OF foundation footinss
because of the tieup in brick supply,
due to the combined strike of the brick
handlers and the strike of the brick
barge captains. On Friday there was
not single barge load of common
brick for sale in the wholesale brick
market, and the thirty barge loads
scattered around the city in various
stages OF unloading were being ridden
to brick hungry jobs so fast that the
situation to-day is that unless more
brick comes in soon building material
dealer yards must close. thus stopping
all construction work.
The points al issue in these two strikes
were nearing settlement, however, at the
week end. Some of the brick handlers
were back at work on the basis OF nan
ding brick at so cents thousand IN
stead of the former rate of 81 Inc
brick barge captains. who had peen re-
ceiving s165 month, refused to take
N25. but offered to go back for Sl45.
There is some possibility of a compro-
mise being effected at $135. whereupon
brick may be expected TO flow into the
market again.
II is not likely that there Will be any
change at this time in the present
wholesale price of brick at sl4 10 slo, 10
which must be added the usual charges
for handling, haulage and 10 per cent;
for delivery. The market demand VIII
ba sufficient to support this price, espe-
cially since the production schedules up
the river have been set awrY by the
brick tie-up here. The brick still aVail'
able for immediate consumption Is ina
manufactured at this time last year
when fuel and other raw materials were
much higher than they now are
The last few days have brought an
ure.nected shift in market sentiment to-
ward the justification of building mate
rial prices 1t came In the form OF oo-
servation by Supreme Court Justice YER
non M. Davis that the reports OF ceFt-
fled public accountants established the
fact that despite the sharp rise IN
building material prices building mate
rial dealers OF New York had not re-
ceived more than 10 per cent. profit. AS
n matter of fact. many OF the building
material dealers had not taken mor'
than per cent. profit during or oeior'
tire time covered by the investigation.
Eject. of Courts Conclusion.
--ht. decisfon Il the only explanation
49, vorlr IQroplxfyu The