Evening star. [volume] (Washington, D.C.) 1854-1972, 1926-03-14
BURSTING OF FLORIDA BUBBLE
NOW ADMITTED BY REALTORS
Promoters of Better Glass of Development Hope
Change Will Lead to More Stabilized Values.
Future of State Held Assured.
BY i. A. FLEMING

BY l. A. FLEMING.
MELBOURNE, Fla, March 10 49,
They are separating the sheep from
the goats" is the way one big devel-
Opment head refers to the smashing
Of the real estate boom, the end Of
the great buying fever, the relapse
that is leaving thousands of real
tors" and their expert statesmen won
dering what's going to happen next.
And while the goats" or unworthy
develOpments-and there are thou
sands Of them up and down and
across the State are on the run the
sheep are standing steadfast, all
things considered. and hope things
will be all right before very long"
while they are a bit a-quiver lest
there may be panic in their ranks
as well.
This is one way of saying that the
boom is over, that the wild. hectic
buying-buying on small cash pay
ments and on large paymentS-haS
passed; that from now on there will
be more sterilization, and that the
ra Of sight unseen" buying has been
brought up with short turn.
Bankers Report Payments Slow.
Bank officials admit that payments
that on questionable developments,
where the buyer has been made the
goat, all balances will go by the board
and that collections generally will be
poor for some time to come.
Bank deposits are decreasing natu-
rally at this time of the year, when
so many people are returning home.
for the highways are damned with
Northerners going home and reserya-
lions in Pullmans are hard to obtain.
This Is always the case at this sea
son of the year, and probably will con-
iinue. as there is small chance of the
Debated balloon in any way injuring
Florida as Winter resort.
All Attractions Here.
Friends of Florida, and they are
legion, hold that Florida is too real,
too fine as to climate. the Atlantic
Ocean, the Gulf Stream hard by, the
hundred-andone golf courses, on
which games may be played nearly
very day the year round; bathing In
the ocean even in Winter, the tennis
courts available always and the hun
ired and-one other attractions, lnclud-
ing the wonderful hotels on the
coast and in the interior, to permit OF
real harm coming to the state.
Winters on record in this section of
Florida, and yet there has not been q
day when golf addicts were not busy
on the links; not n day when youth
declined the attraction OF salt water
bathing. And the cold was but a
gentle reflex of what the North was
receiving in large doses.
The interior towns with all thelr
natural attractions are suffering win
he rest of the realty markets OF the
state. and on the West Coast realtors
now have hard picking.
Some Hold for Blue Funk.
Some realtors admit that cit is
case of blue funk" now. that there
ISN'T anything doing and that the ap'
parent activity in various real estate
Offices IS nothing more or less than
efforts at working out their income
tax schedules"
The same authority adds. 'but what
could YOU expect. They simply ran
Wild bought property sight unseen.
not even knowing whether 1t was
under or over the water, paradise or
4 desert. 80,
Near this city one development
consisted Of 100-foot frontage on the
Dixie highway. had acres or country
hacking 1t up. out of which they
selected business lots" that are so
located that business will never even
pass them by. -,
Lots here were sold bV man
through advertisements IN the da1iy
,ress. There are other developments
that have nothing to commend them
70 investors except the name and
here and there business lots were
sold at very high prices when the
fever was at it's height. What are
thew worth today?
Men who are back Of the really
great developments are making the
hest of the situation and claim to
see in the utter collapse of the boom.
he beginning of the movement boom
The sterilization Of values In Florida.
They only fear that holders or good
properties may become panicky and
in that humor dispose OF valuable
equities at a loss.
They sum UP their views and state
ments after this fashion: What Is
the use of worrying about it?' We
have enjoyed a great harvest and
the schemers and alleged swindlers
have &railed us until we are now
through doing business-probably for
some time. Let's rest on our oars
and on the next start the trallers
will not be able to follow and we
will not have their disastrous COM
petition, but rather a certainty OF
more stable conditions prevalent.
What They Might Have Expected.
After all, it is what Florida might
have expected. Nine out of ten
pieces of property bought and sold
in Florida, whether resales or orig
inal sales by developers. were for the
account of spectators. That is. not
one buyer in ten intended to erect
a home and live in Florida. despite
attractive laws as to taxation.
Around this city, the largest in Bre-
ward County and midway between
jacksonville and Miami. with the Kts-
simmee highway to Tampa and st.
Petersburg from the west coast ter.
minal here, and with Tampa but 13o