Evening star., 1939-01-11
Building Owners
Advised 10 Oppose
Unneeded Projects
F. n. A. Operations in
Baltimore AssoiIed
At Conference

Cooperation between building
owners and managers and the Fed
eral Housing Authority was urged
yesterday at the 11th Middle Allan
tic Conference Of Building Owners
and Managers, which met in the
hnal public session of a two-day
meeting at the Wardman Park Hotel.
Col. Olin O. Ellis Of Baltimore ad-
Hsed building owners and operators
not to oppose meritorious projects
but to oppose any project that is
not needed" and to consult with r.
II. A. oflcials on any proposal which
might ruin modern apartment
houses" which are privately owned.
The conference adopted resolu-
ton stating F. H. A. apartment
building has in many instances
caused an oversupply" of apart
ments with consequent injury to an
established industry" and therefore
should be discontinued except where
necessary.
Col. Ellis attacked large scale
building operations by the F. H. A.
in Baltimore, in the face Of economic
"storm signals" and in areas where
he said there was no shortage of
adequate housing facilities.
Charges Rents Jeopardized.
Two such completed projects, he
said, had disastrous effects" on the
apartment houses In Baltimore, null
ufying gains Of the last flve years,
and causing a decline in rents "un-
til in many instances modern apart
ment houses cannot meet fixed
charges"
Referring to the broadening OF the
original F. H. A. Act, to permit the
Government to guarantee first mort
gage loans up to $4,000, 900 he said,
"the Government started out to
guarantee needed low-cost housing
operations on modest scale, and 1t
winds up by guaranteeing large spec
ulative building operations, some
built in restricted, expensive sur
burban Developments"
A subsequent meeting of a Balti-
more committee with F. H. A. on
cials, following the filing of applica-
tions for additional projects, he
pointed out, resulted in the making
OF surveys which showed the city was
overbuilt in apartment houses, and
consequently, he said, I'VE got the
decided impression that no new
projects would be started in Balti-
more until the present projects are
absorbed and their effect fully
analyized."
Group to Meet With F. H. A.
The conference adopted q proposal
by RufuS S. Lusk, secretary Of the
Building Owners and Managers As
sociation Of the District of Colum-
bia, that a committee, composed Of
members from Washington. Balti-
more. Philadelphia, New York and
Pittsburgh, be appointed to meet
with F. H. A. officials to explain the
unfortunate effects of F. H. A.
financing on privately owned apart
ment buildings"
The IF. H. A. Viewpoint" was
expressed by DR.. Ernest M. Fisher,
economic adviser to the Federal
Housing Administration. He ex-
planned the program Of his Or
ganization and emphasized that
the F. H. A. desired facts. He
heartily welcomed suggestions and
conferences with building owners
and managers, and said the r.
H. A. deplored unfortunate condi-
tions which prevailed in a number
Of cases.
Harry J. Gerrity Of Washington,
general counsel Of the National
Association Of Building Owners and
Managers, spoke on Recent Gov
ernment Activities Affecting Real
Estate Management"
James w. Bramford Of Pittsburgh,
past president Of the conference,
attacked the placing Of advertise
ments Offering extremely low pay
ments for the ownership of private
homes.