The Washington times. [volume] (Washington [D.C.]) 1902-1939, 1926-01-02

Above il the answer ! have
given, to the questions asked Of
me scores Of times: Now that the
biggest building year in history Is
passing, what is 70 come? Is the
shortage made up Is there broad
enough and strong enough support
for another peak year? Or will we
witness a. decline of major import
ance?'' To answer these questions
requires consideration OF many fac
tors. In the end, the answer is
just an opinion based upon condi-
tions as they now exist or are
forecast.
Building costs seem well sta.
bilized, and there is little indication
that they will show any diver.
gencies either way from their pres.
ent levels as long as q high degree
of building activity is assured.
Neither do I look for any material
reduction Of rentals, especially IN
the case OF well situated buildings,
properly constructed according 70
modern standards. Rents may be
affected locally but not generally.
Building Shows 20 Per Cent Gain
Over 1924.
During the year Of 1926. building
operations were unprecedented In
volume. According to our estimate,
total building operations for the
year will approximate Sc, SOC, OOO. 900.
This represents an increase Of 20
per cent over 1924, and It must, be
remembered that the enormous ex.
penditure of this sum has had q
most beneficiat erect in maintain
Ing the business and industrial pros
berity Of the country.
Building In truly q very pow
erful generator Of general business
prosperity. When construction
gains, prosperity il with US. It y
the outstanding influence for good
or bad in our financial progress
and its helpful erect on general
business at this xIune cannot DC
over -estlmated.
Building activities not only mean
eYnnloyment OF millions OF men
and profitable activities In scores OF
trades and Industries, but It means
also the creation sT new wealth IN
the country and widespread Sen-
hanceInent or all property values
through Improvement. In brief, II
ia putting new blood into the veins
az commerce and giving impetus TO
the general prosperity OF the couh-
try.
Building Shortage Overcome
what remained OF the wartime
building shortage has probably been
wiped out by the TREMENDOUS CON
sfrrction volume of the last Few
years. The boom is over and we
have for some little time faced sta
bilized conditions and the problem
Of supplying our increasing Norman
building requirements. Speculation
win find little to thrive on. GOOD
ii Rnnent. caution and careIul NOV.
ing must now be the watchword OF
the building industry.
The time has passed, when We can
think Of building demand in. terms
of shortage. We must consider II
strictly in terms Of growth. REQUIRE
mants, population trend and indus
try. OF course. 1t is true that in
some localities there Is an unsatis-
fled demand for housing and other
types OF buildings; but, taking the
country as q whole, the building
problem il one Of meeting the local
requirements. taking cage OF annual
growth in population. which alone
requires, it is estimated. approx
nately 100000 new buildings OF
various kinds; replacing and remod-
eding structures affected by decay,
fire, obsoleacence and other causes.
Estimates from private sources have
placed the value Of construction to
meet normal needs at approximately
"a. 200, 900, 900. This would mean
that the average annual building
requirements of the Nation, together
with other contemplative building,
would be sufficient to keep the cor
structioD industry going full speed
ahead during 1926.
There will undoubtedly be changes
in the relative activity in connection
with different classes Of projects
during the next year. Building OF
medium and high class residential
and commercial buildings will likely
decrease: but industrial buildings
public works and utilities should In.
crease, as 1t will take a long time
to catch up with the plans that
have been. made for this type.
Much building of all types can also
be expected to proceed in the
smaller cities, especially those Of