Evening star., 1937-08-21
NEED IS STRESSED
ORMODERN|z|NC
Increase in Work Is Vital to
Real Estate and Build
ina Industries.

With the increased interest in new
construction this year, efforts to con-
tinue a stimulation Of modernization
work are becoming of vital importance
TO both the real estate and building
Industries, Arthur r. Herske. vice
president and general manager of
sales OF the American Radiator Co,
declared last week in announcing the
opening of a Fall modernization CAM
palgn for heating and air conditioning
equipment.
He pointed out that modernlzation
In building was largely development
OF the depression years and declared
that, with the first signs of an in
crease in new construction, interest
IN 1t naturally tended to decrease.
The need for modernization, how
ever, is as great as it ever was he
sald, estimating that more than
100000 homes required modernl1a-
tion in heating alone. New construc-
ton, he added, has increased "A per
cent this year after slight increases
In 1885 and 1886, but it is still only
IS per cent of the 1923 level and
modernization efforts are important
as a stop for the gap that exists
between these levels.
Modernization Necessary.
From the realtors point of view, he
explained, any return in new con-
struction work makes it vitally I'M
portant that modernizatlon be carried
out to prevent depreciation in pres
ent property through a comparison of
1t with new buildings that may be
built.
We, in the building industry" he
said, learned our first real lessons
In the technique Of modernlzatlon
selling under the force of necessity
when the depression resulted in a viz
fual cessation of new construction,
At the same time, realtors discovered
in modernization very definite
method of rehabilitating deprecated
Investments
With the first evidences of a return
In new construction there is naturally
tendency to turn toward that field
which has long been the traditional
scene of operations for the building
industry.
Building construction is still, how
ever, far from the levels maintained
before the depression, and not only
does the existing new construction
work have to be divided between the
companies that existed at that time,
but recent years have seen many new
companies enter the field.
The entry of these, companies has
undoubtedly had a wholesome in
f1uence on the production branch of
the industry, not only from the view
point of the contributions that they
may or may not have made directly
but from the point of view of revitalizi-
ing the established elements in the
field through the stimulation of in
creaslng competition.
Would Be Suicide.
To conflne that competition to the
new home field, however, and attempt
to cut the still somewhat meager pie
of new construction thin enough to
satisfy all, would be sheer suicide.
Even when new construction con-
tlnues beyond its present state of de-
Velopment, it is important that efforts
continue to stimulate modernization
The need for the work is Just as great
as it ever was. A combined moderni-
zatlon and new construction market
can well be encompassed by the build
ing industry, and the result will un-
doubtedly be much needed contri-
button to home standards in this
country
From the realtors point of view, a
continued increase in new construc-
tion Is going to make modernization
efforts increasingly important to avoid
any danger Of depreciation in existing
property when compared with the
new"
In the modernization campaign to
be conducted this Fall, Herske said, his
company is using for the first time a
premium policy, offering a vacuum
cleaner with each purchase of heat
Ing or conditioning system declared
during the campaign and completed
before January l.
Used in the refrigerator. kitchen
stove and other branches of the house
hold appliance field, this policy has
never been applied extensively in the
building equipment field, he explained.