The New York herald., 1921-01-16
192O'S ACTIVITY AT
JACKSON HEIGHTS
Many Apartments Were Sold
OH the Tenant-0wner-
ship Basis.
BY Il. A. NIACDOUGAL,

President Of the Quccnsboro Corporation.
There is no other section OF New
York city having within a similar area
as many comparatively owned apart
ments as Jackson Heights. in the Bor-
ouGh of Queens. two miles from tho
Queensboro Bridge and twenty-five
minutes from the Grand Central Terrnl-
nal zone by rapid transit. Within this
district. covering 100 city blocks, 364
apartment houses have been sold up TO
date by the Greensboro Corporation on
the Jackson Heights plan OF tenant own
ershp. The first sale was completed in
October, 1919, and involved six build
ings. So far about thirty tenant own
or corporations have been formed un-
der the oueensboro company's selling
plan.
The method by which so large a num-
Der OF buildings have been sold In this
unique plan may be briefly stated: A.
corporation Is formed, which takes
title to multifamiIy house containing
from fifteen to twenty apartments and
all OF the stock in this corporation is
purchased by tho prospective tenants
The amount of stock subscribed for is
proportioned 10 the size of the apart
incnt occupied and the rental paid is in
the same proportion.
Returns O to Per Cent.
This rental Is fixed at a sum estI-
mated TO be sufficient 10 cover all fixed
charges and operating expenses and
TO return 6. Z or s per cent. as the case
may be upon the investment. This divi-
dend represents a saving to the tenant
owner which has heretofore gone 10 the
landlord. Some actual figures may be
Interesting:
The man who wishes to rent a four
room apartment purchases $4,000 worth
Of stock and pays from s72 to sS2 per
month rent for his apartment. depend
ing on location. An ingenious install
ment plan has been worked out which
will enable this man to secure the four
room apartment by paying down $4,000
and the balance at the rate OF s2s per
month plus all dividends earned on the
investment
If these dividends average per cent.
he will have paid sor the apartment in
five and a half years. his monthly out
lay of both rent and fnstalment running
from 500 to s110 per month. II win
thus be seen that after paying the initial
$4,000 he is practically paying for ths
balance OF his apartment. for the rent
that he would elsewhere have 10 pay for
an apartment OF similar attractiveness
and desrability as to location
The samc result can be obtained bv
the purchaser OF n five room apartment
who pays $500 down and from sf2s
to SlS9 per month in rent and install
ment, and the purchaser Of a six room
apartment who pays $4,000 down and
from S154 TO $3.50 gross per month In
rent and instalment.
How the Cash Buyer Benefits.
Turning now TO tho cash buyer OF an
apartment who has no instalment TO pay
and whose dividends come back to him In
cash. III these dividends arc earned at
the rate OF per cent and are consid-
cred az rebate on the rental they
bring tho net rental down for four
room apartment from S42 10 $50 per
month; for five room apartment SCI
TO S66 per month and for six room
apartment. SCI 20 s72 per month.
IL will be noted that this averages
roughly Si2 per room per month as rep
rcsenting tho bare cost OF operation and
meeting the fixed charges OF the build
ing.
III this Si2 per month be compared
with the prevailing rental OF S25 per
month for similar accommodations there
will be n saving OF 81 per month even
after the tenant owner has credited his
investment at the rate Of G per cent
This would amount. in the case OF the six
room apartment. TO S4e per month. or
$500 per year.
m operating expenses decIaso re divi-
dend or rebate viii exceed per cent
and there will be further reduction in
the net cost per month.