Evening star. [volume] (Washington, D.C.) 1854-1972, 1941-10-26
Continued From First Page.)

builders are endeavoring to have
this ceiling lifted slightly. They say
raising the maximum to $1,000 would
enable many of them to continue
operating and complete needed prof.
ects.
Many builders have capital tied
up in expensive land which they
bought In anticipation of erecting
higher priced houses than defense
officials will allow. Sorle few have
resources to carry this land until
the emergency is over, but large
percentage OF them fear losing all
they have.
There are number of possible
solutions to the Capitals muddled
building picture suggested by the
builders themselves. The Home
Builders Committee of the Wash
ington Real Estate Board, of which
Edward R. Carr is chairman, has
been working on the problem for
weeks. The committee admits the
need here of housing for defense
workers of low incomes, but believes
it should be supplied by private
builders with Government help.
Mr.. Carr suggests that loans be
made by the Government to pri-
vate builders for erection of projects
in outlying areas of the Capital for
temporary workers. He says it would
be impossible for private funds to
be invested in this type of project
as the investment would not be
sound due to the temporary nature
of defense work. The committee is
exploring the possibility OF obtain
ing loans from the R. F. c. or other
agencies to build the projects
erection of which would be appor-
toned to private builders.
Demand for Homes.
Mr.. Carr, like other builders, says
there is a big demand for houses
costing only slightly in excess OF
the $4,000 limit, erection Of which
would go far toward keeping many
builders in business. Priority Off
Gals, however, have held them
strictly to houses within the $4,000
cost. In one case a builder SUBJ
mitted two houses for priority rat.
ings; one costing $4,000 was giver
a rating, while the other at S6,250
though its plans called for use Of
no more so-called critical materials
was rejected. The builders call this
hair-splitting.
There is another possible solution
to the Washington builders prob
lens which many are hopeful viii
be used. The S. P. A. B., in stating
that priority assistance will be giver
only to building in defense area:
to sell for $4,000 or less and to rent
for $50 a month or less, inserted 6
clause which states that exception:
may be made where held necessary
Builders hope they can convince
officials that Washington is a nee.
eSsary exception.
Of all the obstacles facing build.
ers who plan to enter the low-cos
or defense housing field the ques.
ton of land costs is causing mos
worry. They feel the S. P. A. B
will clarity some of their ruling!
which have confused them. Grount
costs are higher in Washington thar
in any other city, far too high il
well-located areas to make low-cos
projects economically sound.
1t is not considered sound to spene
more than 10 per cent of the tota
price of a house for the lot with
utilities, so this eliminates most O.
the undeveloped part of the Distric
and convenient adjacent sections a!
far as defense housing is concerned
There is limited cheap ground II
the Northeast and Southeast sec.
tons, but not enough for erection
of housing needed.
Utilities Are Problem,
So, to build on any stable scale
builders say it will be necessary tt
go to the outer reaches of the Metro.
polltan Area. But those sections
have no utilities and to bring then
In would require more materials
which defense officials call critical
than it would to permit erection Of
more costly houses on higher-priceo
ground nearer the heart of the city
Utility companies already are re.