The Washington times. [volume] (Washington [D.C.]) 1902-1939, 1923-05-23
BUILDING CRISIS
AHEAD, SAYS
COUSINS
Boom to Flatten Like Fritter
If Imitation Continues,
Writer Predicts.
BY w. s. COUSINS,

Copyright 1879 py Sosmo'Oli'~n views
NEW YORK, May 23.-The Unit
ed States today faces q building
crisis. If initiation costs, both as to
materials and as to labor, continue
unfettered then the building nush-
room is due to be flattened out
like q fritter.
There has. been prompt preventive
action in some large cities, but
other sections the matter has not
been taken seriously. Where condi-
tons have been remedied Is in
those sections where there has
been reasonable postponement Of
new building projects which are not
urgent-thus relieving the competi-
ton for labor and building materials
"a curtailment Of speculative build
ing and a refusal by large build.
ers to be stampeded into paying
higher prices for construction ma
terials and building supplies.
Leading the way in the campaign
for sensible building at reasonable
costs is the American Construction
Council, directed by Franklin D.
Roosevelt. This council has sought
to coordinate the various branches
and affiliations OF the building in
dustry, particularly the labor lead
ers and the dealers in building ma
terials, and for the first time since
the close Of the war there Is q good
measure. Of harmony and unanimity
between them and employing con-
tractors.
Housing Need Great.
The universal need Of housing In
every section Of the country has
been one Of the outstanding factors
usual prosperity OF the last few
years, the enormous increase In
available mortgage funds, the in.
centive to home building exagger.
ated by tax exemptions and ''own
your own home" campaigns, hous-
ing projects have increased enor-
mously. Vast areas OF heretofore
outlying sections'' have been in
corpOrated into adjoining towns and
cities through the necessity OF pro-
vtdtng space for new dwellings,
while residential sections have been
crowded with modern fireproof
apartments and family hotels. Z"
The result has been q boom in real
estate, as well as in building, and
inflated land values add to the cost
of building construction.
The nationwide conference on
building held here last week, par
ticipated In by contractors, manu-
facturers, labor leaders and produc.
ers, published as it's conclusion that
IF the demand for new structures
continues at the present rate, pro.
duction facilities will be inadequate,
and. the cost Of construction will
mount to prohibitive level" The
factors upon which their conclusions
are based are, briefly. as follows:
F1rst--The volume Of construction
projected so far this year exceeded
the volume Of the same period last
year by more than 40 per cent.
while production Of building noafe.
rails is limited both by labor. sun
plies and inadequate Transportation.
Stocks on Hand Lower.
Second-Stocks OF building mate
rails on hand are lower than last
year; face brick, 16 per cent lower;
bathroom fixtures, 40 per cent
lower; lumber, 20 per cent lower.
Third-Material prices are rapidly
rising and contractors in different
parts or the country report that
tobbers and manufacturers are I'm.
able to maintain their quotations
for any length of time.
Fourth-Labor rates are RAPIDLY
increasing and the building EN-.
ployers are placed in the position
OF bidding for services and paving
bonuses as in 1920.
Louis J. Horcwitz, president of
the Thompson, Starrett Company,
said today that in his opinion
prudence demands that all build.
ing operations which can con-
veniently be delayed, should be
postponed, and the only 1ustifica.
ton for starting a building project
today Is that the consequences of
not building are more desperate
than proceeding under present in
flated market conditions for both
labor nnI