Evening star., 1941-07-12
Really Prices
Rise in 58 Pct.
OF U. 5. Cities
Report Is Issued
On Semi-AnnuuI
Survey Of Market
Continued From Page BID

Continued From Page BID
Ing space, particularly in those areas
designated as defense areas.
2. Practically universal rise in
residential construction costs.
3. Rise in residential rents. but
one which in 81 per cent of all
cities reporting and in SO per cent
of defense area cities is still insuffi-
cient to justify residential building
for investment at today's construc-
tion costs.
Significant Shift.
T. A tremendously significant shift
of the great volume of present-day
home building to the $3000-4 500
price range, with the under-$3 900
house already the most common
type of construction in 7 per cent
of the cities, a development of great
Importance both to defense housing
and to the future of American cities.
5. New industrial construction go
ing on within the past year in SO
and in Is per cent OF those that are
in defense areas. But usable indus
trial space still available in 81 per
cent of the cities in defense areas
and In "a per cent of all cities
reporting
Office space comparatively unaffect-
ed. But business rentals in central
districts up as compared to a year
ago in we'll over one-fourth of the
cities of the country. Office space
up in IS per cent of reporting cities.
7. Thoughtful programs under
way in the individual cities to make
full use of existing residential and
industrial space, keep healthy bal
ance between housing demand and
supply.
Drain Of workers and their fam
lilies to defense areas is having def
nitely adverse effect on some non-
defense areas.
Construction Costs Rise.
Survey findings as detailed in the
July issue of Freehold, magazine of
real estate:
Residential construction costs
have increased within the last six
months in 90 per cent of the cities
of the country and in 100 per cent
of cities in defense areas. The
median increase has been 10 per
cent. Rents for single-family dwell
ings are higher than they were a
year ago in 81 per cent of the cities
of the country. and in 81 per cent
of cities in defense areas. Increases
reported have been ordinarily not
more than 10 per cent. The general
level has, of course. not increased
to this extent. (The index of rents
compiled by the United States Bu-
reau of Labor Statistics covering 33
cities shows rise of fraction over
| per cent in the year just passed.
This index indicates the total level
of residential rents has made gain
from the depression low of about
IL per cent?
An undersupply of single-family
houses is reported by 81 per cent OF
the cities of the country and by TO
per cent of cities in defense areas,
particularly for new modern low
cost houses. A like survey a year
ago, at the time the Defense Com
mission was set up, showed under
supply already existing in Al per
cent of the cities of the country.
Despite some population loss by
non-defense to defense areas, only
2 per cent of all the cities now have
an oversupply of houses.
For apartments, 48 per cent OF
cities over the country report
balance between supply and de-
mand, although 81 per cent already
have undersupply. "a year ago "a
per cent so reported) Apartment
surplus exists in Is per cent Of all
cities. In defense areas 46 per cent
of the reporting cities state they
have too few apartments, but 13 per
cent have oversupply.
Big Years Exceeded.
New residential construction, 60
ing on at rate which in the last
II months for the first time ex-
eeeded the big years of 1926-1929, has