The Washington herald. [volume] (Washington, D.C.) 1906-1939, 1922-03-26
PRAISES EIGHT PER
CENT ON RENTALS
Confusion Caused by Rent
Laws Is Gradually Be-
: ing Adjusted.

The fact that the appellate divi-
sion of the Supreme Court Of the
firstdepa rtment has Just rem
dered a decision that the fair net
return on the valuation of unen-
numbered properties under existing
circumstances should be s per cent"
indicates that the confusion caused
by the emergency rent laws is
gradually being adjusted, according
to Charles F. Merritt, executive Sec
rotary Of the Building Managers
and Owners Association.
The average property owner
does not seek nor does he expect
an unreasonable return on his in
vestment. but he Is entitled to and
should be given fair consideration
when determining what his profit
should be-" Mr.. Merritt said.
1T Is strange how soon we for
get. Only a short time ago the
tenant when in control demanded
all kinds of unreasonable repairs.
not because he thought them neces-
sary, but often simply to put the
owner to an expense and to obtain
the satisfaction that his within had
been gratified.
Did IL ever occur to any one to
assist the man who had put his
capital in a venture that might
mean, indeed often did mean, ruin.
due to the keen competition and
the unreasonable demands OF the
tenant? .-
Much has been said derogatory
to the speculator. but in fact he is
the most important producer of all
the manufacturers and yet he takes
the greatest risk. The business man
expects to turn his capital over
several times in a year, while the
speculator may not turn his capital
over for several years.
When he decides to build he
must make three important de-
cisions. any one OF which II wrong
would mean disaster. He must first
decide onthe location, then whether
the building shall contain large
apartments or small ones, and A.
nally the arrangements of these
apartments. He often Is stalking
his entire capital on his judgment.
THE merchant that demands the
highest prices that the conditions
will warrant is good business
man. but the landlord who in past
years has received little or no
profit on his investment and now
seeks to make up for former losses
is called a profiteer.
Let us be reasonable when we
decide what is a fair rental Con-
slider the subject from all angles.
Do not make a decision with a
prejudiced mind determined by the
desire to live In an apartment per-
haps better than you can afford and
expect the landlord to support you.
Il have heard tenants say that
they intend to fight whatever rent
was asked. not ebcause they hon
estly considered 1t unfair. but so
that they could reduce their own
expenses. Is this fair?
THE Building Managers and
Owners Association has never
countenanced unreasonable rents
all during this period Of rent con-
troversy. II has constantly main
tanned that the owner was entitled
to Justice only and not to be up
held IL asking unreasonable rents.
and that alone has prompted all
its actions.
The landlord Is in an honorable
business endeavoring to obtain a
fair return and, like all other hon
orable enterprises, he should be
given a just hearing and this
this decision recently rendered Is a
step in the right direction because
II shows that In the minds of those
best able to decide there is a de-
sire to do Justice. And the sooner
the tenants realize that all land
lords are not robbers but tftI a
large proportion are business men
Of integrity the sooner will they
close their ears to the noise Of the
dema gogue.
"A profiteer, in my opinion. is one
who takes undue advantage Of ex.
isting circumstances and compels
his victims to pay exorbitant
prices"