New-York tribune., 1922-01-22

Are COodfOr
Real Estate
Lift Them, Says Lawyer,
and Speculative Mania
Is Sure to Follow, Which
Will Kill Realty


1sadore Montehore Livy. speaking for
himself and for number of landlords,
is in favor Of the extension of the rent
laws for another year as a protection
his opinion that the laws have pre-
vented the spread Of animosity against
property owners generally. He says
that avaricious landlords had to be kept
in check.
In letter sent to Samuel Inter
myer, counsel Of the Lockwood COM
mittee, he said:
Tho tenants are recomm ending the
extension Of the rent laws for another
year. The landlords are quoted as op-
posed to this. To keep the record
straight, may I, representing a large
number of landlords, state that we
favor the extension Of the rent laws
for another year? The emergency is not
as acute as it was but it still seriously
exists. The rent proftcers at the pres
new buildings unrestricted by any rent
laws. There are small number Of
vacancies in the very high class apart
ments but the asking rents are sub
stantially as high as ever There is
tremendous amount Of building going
on. and, with the extension of the rent
laws for another year, before the end
of that time we should have a compara-
lively normal condition.
Would Produce Wild Speculation
"Many landlords favor the extension
Of the rent laws to prevent the minor
ity of the landlords with the present
termination Of those laws resorting to
oppressive demands upon their tenants,
with again the stirring of deep animos
ity between the two classes. While it
is true the rent laws now give the ten
ant substantial advantage, they Gre
ate fairer relationship between land
lard and tenant. The decent landlords
would rather let that condition exist
and receive a smaller earning capacity
if he so preserved the respect of the
community, which is threatened when
the avarcious landlord is able to have
his full sway unres stricted by law.
"There is also this to be said The
ending of the housing laws will cause a
wild era Of real estate speculation.
Shoestring operators will buy houses
not for the purpose of investment but
to raise rents so that the property can
be sold at higher price to the unin-
itiated. Their outlook would be alto
gcther based upon an immediate pres
cnt, without regard to the future of
either real estate. the community or
the tenants. EXorbitant paper profits
would be made While this would en-
courage construction, ultimately bene-
fitting the tenant, he would severely
81, ;t~r s<l
most cases would not be able to eco
nomically survive the readjustment
The decent landlord. in sacrificing "a
present income, possible if the pres
ent rent laws did not prohibit, will by
their extension escape a speculative
mania which in the long run will de-
molish all and create a condition such
as existed in 1907, when it was a curse
to be the owner Of real estate.
Laws Are Sound
"The great majority of the hardships
under the rent laws have been caused
by the poor judgment exercised in ind
vidual cases. The laws themselves are
essentially sound and should be pre-
served with some few amendments for
another year.
at should be noted that the real es-
tate brokers are in the main particu
larly opposed to the extension of thest
rent laws. These brokers comprise
some of the largest real estate firms
in this city. AS has been pointed out,
a cessation of the rent laws would ere
ate wild period of speculation, bring
ing q large number of sales and pur-
chases from which the brokers would
profit handsomely.
"a continuance Of the rent laws Gre
ates a dormant market with but a nor
NAL business for the brokers. The bro
kers have little to lose from prejudice
or antaeonsm between the classes and
therefore can we'll urge the termination
of the rent laws"