The evening world., 1922-01-31
Health, Morals and Safety of
Community Menaced, Com
mittee Says-Only Solu-
ton Of Problem Is in Whole
sale Building of Moderate
Priced Tenements.
Presents Bill to Permit InSur-
ance Companies to Invest
Up to 10 Per Cent. of AS
sets in Such Construction
During the Emergency
Condition Is Statewide.
By Joseph S. Jordan.
(StsH Correspondent Of The Evening
Worldly


Worldly
ALBANY. Jan. 31.-The Lockwood
Housing Committee is busy day on
further reports. having given its pre-
liminary findings TO the Legislature
at last nights session. and introduced
In both Houses bills which would open
the way for IA flood of money into
building lines from the life insurance
companies, which Chairman Lock.
wood describes as "the only way"
The report calls attention to the
congestion in the housing situation
which menaces health. morals and
the safety Of the entire community OF
New York City, and adds that grave
danger exists from contagious diS
eases. The solution recommended Tor
the housing shortage problem is the
construction of model tenements, In
units Of city blocks. with capital al.
vanced by life insurance com2u aies,
and with substantial concessions on
the ruling price for labor anI ma
terials.
A shortage OF sc, 900 apartments OF
the cheaper class. is the committee :
estimate. affecting 100000 persons in
the City OF New York. The report
says:
THE only way we see in which the
necessary capital may be promptly
secured would be by enlarginy the
powers of investment of the life in
surance companies so as to permit
them (but only during the existence
of this emergency TO invest small
proportion Of their capital in the con-
struction Of this class (the cheapeD
of buildings and the purchase Of the
land necessary therefore, subject to
the limitations contained in the ac-
companying proposed amendment to
the insurance law.
"Your committee" continues the
report, regards this form of invest
ment as entirely safe for these COR
porations under existing conditions.
Our Investigations have satisfied us
that if the work of construction is
conducted on large scale by the
building of units of square blocks at
one time, substantial concessions from
the ruling price of labor and mater
ials can be had that will permit of the
construction of model. healthful tene-
ments In good neighborhoods, adapted
to the use of families of workmen,
mechanics, iaborers, clerks and 9TH
ers OF limited incomes at rental prices
not to exceed from IS to 50 per month
per room and still leave for the COM
panies safe returns of 6 per cent
upon their investment, after making
liberal allowances for depreciation.
vacancies, reserves and the like"
The proposed amendment to the law
was introduced in the Senate and sent
to the Insurance Committee. 1t al
lows insurance companies to invest In
the proposed building projects up to
10 per cent. of their assets. This
would enable the Metropolitan Com
pany alone to finance the 500, 900
project in which Mr.. Untermyer is
now interesting capital, labor, build
ers and material dealers.
The committee finds conditions are
even "more acute" to-day than they
were when the Emergency Rent Laws
were passed. Houses renting for from
: 81 TO $11 q room grow scarcer every
} day.
Saying that because of the high
prices Of labor and materials apart
ments are not being constructed, the
committee reports tenements are be-
coming Obsolete and uninhabitable"
, Many dwellings have been torn down
/ TO make room for business buildings.
The report continues:
1.-THE present costs have driven
building activities into the construc-
tion Of business and residential prop
critics and Of the more expensive
apartment houses, TO the exclusion of
, reasonably priced tenements.
Meantime the congestion among
4 the masses Of people in the great cit
, les, and particularly In the City OF
New York. is increasing to such an
extent that 1t has become a menace TO
the lives, health. morals and safety
\, OF the entire community. In many
= districts there are from three to four
: times as many human beings housed
In the same number OF cubic feet OF
living space as before the war Such
= Is the condition Of this class OF prop
> erty that In the Borough OF Manhat-
tan alone there are said to about 100,
= 900 violations against the sanitary and
building laws now on file In the public
departments. upon most OF which nc
a action has been taken.
The congestion in both these de-
partments and in the courts that have
10 to deal with these violations is SO
great that the public officials. not
q withstanding the commendable ef-
forts they are making. are sWaunped