Evening star., 1941-09-18
Rent Ceiling

With several drastic rent control
bills already in the legislative mill,
a new proposal has come before the
House District Committee at the
instance of those who would be most
affected by rent legislation, the
owners and managers OF rental
property. The new bill would eStao-
lish a rent ceiling as of September,
1910, levels, with enforcement of the
ceiling vested in an administrator
named by the District Commission
ers. Sponsoring the measure is the
Joint Defense Housing Committee,
composed of representatives OF real
tors and builders organizations.
In coming forward with their own
bill to prevent rent initiation, the Or
ganized landlords of Washington are
not. of course, conceding the accu-
racy of the many fantastic charges
that have been made in irresponsible
quarters as to wholesale rent prof.
teering in the Nations Capital.
Hearings held on previous rent bills
have failed to substantiate loose allie
cations that inordinate rent in
creases are widespread and that
radical regulation of the rental in
dustry here is essential. A Spokes-
man for the owners said yesterday
that while there have been some
sharp rent raises, they have for the
most part been imposed by outside
owners or by individuals not asso-
ciated with organized ownership.
To strike at the evils committed
by a few landlords, the organized
owners and managers recommend
that rents be kept to the level that
existed a year ago, when there was
no defense housing shortage and
rental conditions were normal. The
incentive to raise rents has developed
during the past year, with the rapio
influx of new Federal employees ano
the steady decrease in unoccupieo
apartments and rooms. Today the
apartment shortage admittedly is
acute, the percentage of vacancies
having reached the low mark of .39
At the same time, defense priorltles
have operated to stif1e private build
ing enterprise. Materials and labor
for apartment construction are hare
to get. Banks and loan associations
have been reluctant to finance con-
struction involving so many uncer-
tainties. Prospective builders have
been further discouraged by fears OF
oppressive rent legislation. AS a
means of squirting the resumption o1
apartment construction, the pro-
posed bill would permit apartment
owners and managers to TX their
own rents on new apartments, the
first months rate becoming the
maximum allowable for the duration
of the emergency. 1t is the theory
of the proponents of this plan that
as new construction proceeds, more
and more apartments will become
available, and competitive condl-
tions under the law of supply ano
demand will force apartment owners
to lower rents that are out Of line
An advantage which the --latest
bill has over others which have beer
introduced is that it would eliminate
lengthy and complicated investi-
cations and rent-fXing proceedings
by commissions or administrators
Moreover, there would be no vlrtua
conf1scation of private property MOI
abrogation of private contracts, Sucf
as marked rent fixing in post-Worlo
War days. The operation of the Law
would be limited to the life of the
national emergency.
The measure can be regarded as
carefully drawn compromise between
the advocates of drastic and arbi'
trary amounting to confls'
cation-of all rental property ant
those who prefer no regulation a
all. AS such, it deserves carefu
consideration.