Pueblo chieftain., 1922-03-12

expansion in the past two years has
been the experience of the Leonard X
Steel corpora ton. which has 5000 stock
holders In Pueblo. The Steel enterprises
stores, shops and cafeterias In the
United States and Canada. They en-
ploy approximately $500 men and wom-
en- and represent about 10000 stock
holders with investments ranging from
5000 to 5000 900.
chain of stores will be represented in
Pueblo within few months. There Is
a great possibility that large pullo-
ing will be erected here to house the
enterprises. 1t will be at least -FOUR
stories high, and possibly higher. The
building will eventually be erected. but
in case it is not in the immediate III.
ture, some building now standing Will
be remodcled and will serve until the
building is erected.
Cleve Piper is manager OF the locai
L. r. Steel enterprises, with offices az
zoe Central Block. Securities for the L..
r Steel Service corporation are nan
died thru the Pueblo office.
The fundamental of the l.. r. Steel
enterprises is in the chain store mer-
chandising idea represented by the L.
r. Steel company, incorporated. Ihe
chain store idea is fundamentally sound
and represents the twentieth century
system of merchandising. In the past.
chain store orga nizations have been
built to gigantic number of stores, yet
no attention has been paid to the enor-
nous sums of money paid TO property
owners in rents and no attention paid
to the rapid increase in property values
caused by chain store occupancy. 1t is
the intention of the L. r. Steel com
pany Incorporated, and the l.. II. Steel
company, limited. to own all of the
buildings occupied by them, thru the
Steel Realty Development corporation.
The year 1920 was really the organ
ization period for the chain store COM
pany just as the year 1921 was the or
ganization period for the Realty De-
velopment company and the Mary Lin
coin Candy company. Last year was
practically the first year OF operating
for the merchandising companies. Even
so, the gross sales of the l.. X. Steel
company. Inc. and its subsidiary or
affiliated companies for 1921 are report
ed to be S,,5i9 .93S IS. The total sales for
December. 1921 amounted to S1,l1i,-
S53.34. Work is now under way for the
opening of number OF new stores in
cities in the United States and Canada
and it is understood that the Steel
companies expect to open this year
stores on all properties which they
now have under lease or purchase.
When all of the stores are opened and
operating the officers estimate that
the anual sales will reach S25,ooo,0o0.
Leonard X. steel, the organizing
genius of the enterprises which bear
his name, started in the chain store
business when he was 10 years OF age,
At wage of one dollar day. AT the
time he launched his own company. he
had had over q years experience and
hard work with practically every large
chain store mercha ndi.ing company in
the country. Altho only 43 years old,
he is today from the point Of service.
one OF the oldest chain store mon In
the nation.
There are three recognized funda-
mental aspects to the chain stores: d)
collective purchasing power: (2) distri-
button outlets multiplied: 80 reduced
overhead expenses by Capitalization OF
executive organization. This means the
sale of goods to the consumer at "A
lower price than ordinarily paid.
The Steel Realty Development cor
poration has for its primary purpose
the acquisition. development and i'm
provement of retail business property
in the cities and towns in the United
States and Canada where tho chain
stores are operating or are TO be op-
Grated. The ownership and develop
ment OF such property necessarily re-
Quires large capital and the Realty De-
vclopment Corporation has an author
lied capital OF So. 900. 600. seven per cent
cumulative preferred stock with 500 00I
shares OF common stock. no par value
r. Steel company, Inc, thru the owner
ship OF 81 per cent OF the common
stock.
The Steel Realty Development Cor.
poration already owns IS cxccllen,
business properties in some OF the
principal cities OF the United States
and Canada. six % year lenses and
one q year lease including property in
Denver. Buffalo. Chicago. Milwaukee
PittsburE. St. Paul. Quebec. Montreal
Toronto. Vancouver and otheI cities
The property is in all cases located In
the best portion OF the business dis
trlcts. and arc noted for being In. OF
creating the traffic ccnters. As soon aS
the Realty company has one OF its
properties ready for occupancy 1t has
an assured tenant in the chain store
company. 1t is understood that as ths
number OF chain stores increases. this
Realty company proposes to acquire
mills and factories TO supply the need,
of the stores. furnishing such lines as
pottery, hardware. soaps, perfumes anc