THE SUNDAY. OREGOXI A JT, PORTLAND, JAXTTART 26, 1903.
REM OF REAL
ESTATE MARKET
McGinn Lease Puts Back-
bone in Prices and Recent
Sales Show Strength.
HOUSES IN GREAT DEMAND
Dealers TScport Good Inquiry for
Business Sites, From Both Local
and Ont&lde Buyers, With
Several Deals in Sight.
-The most Important feature in the
real estate market last week was the
leaee of the McGinn quarter block, at
tiie southeast corner of Seventh and
Washington streets for 25 years at a
yearly rental of $40,000. As announced
in The Oregonlan Tuesday morning,
thjs lease was closed by Jennings &
Co., who are under agreement to erect
on the site a modern office building Qf
not less than six stories in height, but
which they say will more likely be of
eight stories.
The closing of this lease places a
new mark on lower Washington street
realty, as figured on the Income at 5
per cent, after the new building is com
pleted, the valuation on the site will be
1800.000.
The effect on the market when the
terms of this lease were announced was
Immediate. Owners of good sites and
realty dealers hailed the deal as evi
dence of restored confidence In Port
land property, and inquiries for sites
for Investment began to come in from
various sources. Dealers who have had
orders on their books for several
months almost all advised their clients
against further delay in securing in
vestment sites, as the trend of values
is unquestionably upward.
The report of a sale of Sixteenth
street property, referred to elsewhere,
is another evidence of the rapidly ad
vancing market. When a Jump of
$2000 is made in a single day, the proof
is, undeniable that prices on Portland
real estate have not been too high.
Building Permits Increase.
Another feature of the week was the
gradual increase in permits. Nearly a
quarter of a million Is represented in
the week's building permits and the
month's totals will come near doubling
those of December. By far the ma
jority have been for dwellings, the de
mand for residences showing no slgne
of being met, despite the efforts of
builders to catch up. Every firm In
the house-renting branch of the business-has
the same report to make that
everything on their books is snapped
up almost as soon as listed and most
of them have waiting orders, especially
for reasonably held houses.
The larger amount of building of res
idences Is going on the East Side, and
more particularly In the newly platted
tracts. There Is also quite a brisk build
ing movement In the streets skirting the
hills to the west of the old part of
town. In the vicinity of Thirteenth
and Columbia and for blocks contiguous
to that locality, an excellent class of
buildings are going, up, and in the
northwest district preparations are be
ing made for numbers of high-class
residence to be started within the next
few weeks.
There is no diminuation in the Inflow
of newcomers to Portland, and with
new houses being occupied as soon as
they are finished, and demand for stores
and offices keeping pace, the casual
observer even cannot help noticing a
.rapid gain In population.
. Agents for the big office buildings
neartng completion have closed leases
for space to be taken whenever the
buildings are ready for occupancy.
The renting by the Portland & Seattle
Railroad Company of offices In the
Commercial Club building Insures suc
cess of that building from the start,
and many signs appearing on the win
dows of the Corbett big building in
dicate Its early occupancy. The banking-room
to be the future home of
the Security Savings Bank in the Cor
bett block Is having the fixtures put
in. and the stores In the Masonic Tem
ple on Yamhill street are being made
ready for tenants.
New Hotel Nearly Ready.
The Cornelius Hotel, at Alder and
Park, Is nearly ready to turn over to
the lessee. Furnace, elevators and
electric lights are In commission and
decorators are busily engaged In put
ting on the finishing touches. The ho
tel office and first-floor hallways are
done in bright red. making a rich,
warm color scheme that is most at
tractive. The grt.. In - the basement
is ready for the Installation of the
ranges and servtng-room appliances,
and when ready for opening will be
one of the most attractive dining
places In the city. Some rumors were
current during the week that Mr. Har
rison, the lessee of the hotel, had
changed his mind regarding the lease,
but he said last night that no such
Idea had entered his head and he could
not understand how such a rumor
gained circulation. He Intimated that
he might buy the property at the ex
piration of the bonded term. It is
known that at least three oien are
ready to take up the matter of the
lease in ease the present lessee de
cides to give it up.
Farm lands are In good demand by
Eastern buyers as well as investors
nearer home. The early opening of the
North Bank road has attracted atten
tion from purchasers who keep an eye
open for good bargains. All along the
line there are "nibbles' reported and
values are taking quite a spurt, es
pecially for locations between Van
couver and, say, Collins Springs. There
are some spots where apple orchards
thrive, and these lands are being taken
up in small tracts at a great rate. Lots
in the new plats of the East Side are
moving at an unexpectedly rapid rate.
. considering the time of year. All the
agencies express surprise that such a
large sale should be recorded foi Win
ter, when real estate is generally dull.
Within the next few days there Is
every probability that two or three
deals will be consummated of business
, property In the heart of the city. Cor
ners are becoming scarce, there being
but few In desirable locations that can
be moved at any price whatever, as the
lota are tied up In estates or are held
by the present owners as a permanent
Investment. Two Important corners,
however, have been secured by one of
the leading firms In the real estate
business upon which the option will
terminate In a few days, and the deals
will be closed without much doubt be
fore that takes place, as -the price ts
below what - could be signed up for
now.
Brisk Movement at Albina.
Albina realty has taken on quite a
. brisk movement. In the district bound
ed by Knott, Commercial and the river
transfers were reported even oar of
ist li'ft?t'r'SS '?r: "th,. v!?? .11
irT iPi W fe- feij ,; lu4V f i ru-ir.i;:ll
I 'sa4Jg J 1k:?1.?h ;:x k l)-:41
I Lgy U:x ipA
the past week, at figures considerably
above, those quoted at this time last
year. These lots are "bought mostly
bv men whose work is in that nart of
the city and who will bufld their homes '
near where they are employed.
Taken as a whole, the real estate
market is In excellent shape and nearly
every man in the busineis expresses
the opinion that the outlook could
scarcely be Improved upon. Many of
the more optimistic are already pre
dicting that the present year will be
one of the best ever known in the hand
ling of Portland realty, and that out
side lands will be favorably affected
by the movement in the city.
OUT-OF-TOWN BUTTERS AKE OF
FEKEp $2000 FOR BARGAIN.
North End Lot, 80 by 100, Sells for
$16,000 and $18,000 Re-
fused Next Day.
"Portland realty was never in better
shape for Investment than right now,"
said D. Bi Mackie yesterday, "and to
prove that money la to be made by
buyers, a transaction I have Just closed
carries' conviction. .
"Two of my clients from Douglas Coun
ty. W. W. Kent and B. R. Applegate,
bought the property belonging to A.
Wurtenburger. 80x100, on Sixteenth street,
near Lovejoy- paying $16,000 for the
piece. The improvements consist of a
two-story business house, a two-story
dwelling and a barn. The feature of this
deal is that before these two men owned
the property a full day they were offered
$18,000 for it, which they declined to ac
cept." This sale, coming at a time when or
dinarily real estate is dull, emphasizes
the contention of most men In the busi
ness that property values are below
standards set in other lines ef business.
The sale referred to is one of several
that will probably be closed for out-of-town
buyers within the next few days,
several local firms reporting orders on
their books for Portland sites running up
into big figures. Most of these are for
income-producing property, though va
cant lots are also Included In Bome In
stances by buyers who Intend to Im
prove. -
CITY HALL TO BE COMPLETED
Mllwaukle Council Calls for Plans
for Interior Work.
The Milwaukie Council has called for
plans for the completion of the City Hall.
The interior of the building Is now to be
finished: only the council chamber was
completed when the contractor turned
over the building. Completed, there will
be a hall on the first floor, which will
be used by the Volunteer Fire Depart
ment, and on the second floor there will
be a large hall for public purposes, there
being a stage In this room. It will cost
about $1200 to finish the building. It is
expected that the contract will be let
some time next month. The Council has
selected a site for the proposed freight
and passenger depot of the electric rail
way, and the building will probably be
built this Spring. At Milwaukie the
people are waiting the decision of the
Railroad Commission as to whether they
are to have 6-cent fare to and from Port
land It is the sentiment in Milwaukie
that the future progress of the place
depends on the uniform 5-cent rate.
The Rock Island Club grounds, at Mil
waukie, recently passed into the hands
of a new company, which Is preparing to
make extensive improvements. Including
a pontoon bridge for automobiles to the
Island from the East side or the river.
Several prominent Portland men are In
terested in this river resort.
Some Transactions at St. John.
The St. John Gas Light & Heat Com
pany has filed Its bonds with the St.
John Council for the performance of the
terms of Its franchise, and work will be
started on the plant at once. The com
pany purchased during the week a lot
60x100 from Ben Wise for turn.
M. L. Holbrook sold to N. F. Norens
a new house on a fractional lot for $2600.
At Point View, In St. John, Mrs. Matilda
Edwards purchased four unimproved lots
from Jacob Halvorson for $1150.
Another considerable sale was that of
Patrick Skelly to Rudolph Markwart of
lota 18, 18 and 20. and northwest half of
lot 21, block S, for $3700. .
Dally Abstract Adopts New Policy.
The Dally Abstract, devoted to the pub
lication of legal, financial and building
notices, and which is the official news
paper of Portland, has begun a new
method in the circulation of its paper,
whereby all persons interested in any
proposed street improvement or similar
action of the Council and city depart
ments will receive a copy of the paper.
The publishers announce that a copy
containing these notices is sent to every
one Interested without request, thus in
suring them due notification.
Snes for Machinery Bill.
The Fairbanks-Morse Company brought
a suit against the J. C. Lee Company in
the State Circuit Court yesterday to col
lect $1136.22. The amount is alleged to be
due on mining machinery Installed athe
company a, aroearu is Caiilunus,
QUICK ADVaHGE W BBLTI A. :-r B miM 1
EXPECTED SLUMP
FAILS -"TO : APPEAR
East Side Values Keep Up,
Despite Predictions of
Weak-Kneed Dealers.
TRANSFERS SHOW A GAIN
Permits for Residences Indicate
Growth of Big District Which
Clamors for Better Streets and
Many Other Improvements.
. i
W. H. Mall, in speaking of real estate
and financial conditions, said yesterday:
"We were told that immediately follow
ing Christmas the big stores would have
to close up. but such has not been the
case at all, but there has continued to
be brisk sales In all lines. In the matter
of money, we find It getting more abun
dant. We loaned during the week,
$13,000, $5000 and smaller sums at reason
able rates of interest, 6 and 7 per cent.
There will be plenty of money for In
vestment from now on and for general
Improvements. We have an almost con
stant call for small houses. A great
many people thought there would be a
slump after the first -of the "year and
that bargains could be picked up all
around, but there has been no decrease
In East Side values as far as I can dis
cover. We have had some rainy weather,
and little can be done then, but through
It all we have had constant inquiry. We
are looking for a good Spring demand
for East Side property. Our people need
to push things along. We want the East
Twenty-eighth street bridge contract let
at once and work started. I cannot see
anv necessity for delay In this needed
bridge. This is an Important improve
ment for the East Side. Then, we should
get the new bridge over Sullivan 8 Gulch,
on Union avenue, this year."
Otto Kleeman, a Portland architect and
secretary of the Architects' Association,
keeps in close touch with building op
erations all over the city, and especially
on the East Side of the river. He says
that for 3ome time since October there
was some abatement of new work, but
that old work kept them engaged.
"But now there has come a change,'
says Mr. Kleeman. "and new work Is
being projected In all directions." There
hu been a considerable reduction In the
cost of building material, so that the
builder who did not let his contract a
month or six weeks ago Is a gainer by
at least 15 per cent, and in some In
stances much more. From the present
Indications, and I keep In pretty close
touch with building operations, I am con
fident Portland will have a good year,
especially in the Homebuilding line.
Architects are beginning to get busy on
much new work,"
The building permit records for the
past week indicate that Mr. Kleeman is
right so far as new residences are con
cerned, but the number, take It from day
to day, was at least 10 per cent over the
former week. On Wednesday the build
ing permits ran up to $126,730. but $100,000
was for a Weet Side building and the
others were for East Side homes, costing
from $1609 to $3000.
W Ik Dial baa started three bouses on
Conoord street, near Willamette Boule
vard, at a cost of $4500. W. B. Wiggins
has let the contract for a $4750 dwelling
on Clackamas street, between Twenty
second and Twenty-fourth street. Ar
chitect Hefty has awarded the contract
for this building, which will be a Swiss
chalet, to George West St Son. It Is one
of the best buildings projected for some
time. C. T. Bates will put a two-story
frame store bulldlng'and dwelling costing
$23,000, in Albina avenue, between Blan
dena and Prescott streets. J. J. Rich
ardson will put up a two-story dwelling,
costing $4500, on East Flanders, between
East Twenty-ninth and Thirtieth streets.
James A. Gray has taken out permits
for five' dwellings, each costing $2000, all
to be built at Sunnyslde. James E. Tate
will build on East Main, between Six
teenth and Seventeenth, at a cost of
$3000.
Architect E. Kroner is preparing plans
for a new apartment-house for Mrs.
Drews, to be erected on the corner of
Borthwick and Stanton streets. It will
be of frame construction. 42x63, and will
contain four apartments of from four to
five rooms each. The cost will be about
$7000.
On Friday last 29 building permits were
Issued, 18 of which were for the East
Side, and the average cost of the resi
dences is $2000 In the residence line the
day was a record breaker of several
weeks.
Want Better Sewer System.
The people of the suburb of Sell wood,
with their usual enterprise, are now push
ing the matter of sewerage for that dis
trict. The local Board of Trade has em
ployed Engineer Gilbert to prepare plans
for a sanitary system embracing the ter
ritory between East Ninteentb street
and the Willamette River, and be will
have his report ready by Monday night.
The engineer also was asked to estimate
the cost of Increasing the size ' of the
pipes so they would carry off the storm
water as well as the house sewerage.
The engineer estimated that the sanitary
system would cost each lot $60, which
would make the entire cost about
$50,000. The combined system for
storm water and sanitation would run
up the cost to about $60 or $70 a lot.
which Includes the laterals. Some time
ago the City Engineer prepared plans
for a sewer system for Sellwood which
would cost above $100 per lot, or a
total of about $125,000, but the Board
of 'rade was apprehensive that If that
system were adopted . It might retard
the growth of that suburb, and the
Board employed a private engineer to
prepare plans on a more economical
scale. If the plans when completed are
acceptable- to the people and the city
authorities, petitions will follow and
the sewer system be built. Sellwood is
considered one of the most attractive
suburbs of the city, but lacks sewerage
faculties.
Property-owners on the East Side
are Interested In the proposition that
the city own and operate rockcrushers
and furnish material for Davlntt streets.
Miles of streets are held up for want
of paving material, m Multnomah Ad
dition, Ken 11 worth and In Sellwood
property -owners want to Improve all
the streets with crushed rock, but fear
they cannot get paving material. There
Is also a growing sentiment favorable
to hard pavement instead of any sort
or macadam. The North East Side Im
provement Association has declared in
favor of hard-surface pavement, and
figures are given to show that the cost
of such improvement Is little mora
than crushed rock, but for back streets
crushed rock and gravel will be used
tor some time to come.
Would Improve Streets.
Councilman R, E. Menefee, supported
by the North East Side Improvement As
sociation, is looking into the matter of
opening all the streets' through the
Montgomery tract between Larrabee
street and Vancouver avenue. Most
of this territory is cut up by gulches.
but pas become very valuable throua-a
the improvements that liave been made
on all sides of the tract. It is really
In a wild state, being covered with
brush, and it is felt that the time has
come when the tract should not be al
lowed to remain in Its present condi
tion. C A. Blgelow. president of the East
Side Business Men's Club, announces that
at the next meeting the club will take
up the matter of preparing East Port
land tor the Rose Festival. A commit
tee will be appointed at that time to con
fer with the managers of the festival as
to what should be done. It will be in
sisted that Grand avenue be improved to
Sullivan's gulch before the festival Is
held. If It is. not paved the procession
cannot come to the East Side. The Busi
ness Men's Club also has the matter of
electric illuminations at the east end of
the bridges In hand.
Work on the building which will be oc
cupied by the East Portland Branch Li
brary, on East Eleventh and Alder
streets, is progressing rapidly, and it will
be ready to be occup. within a month.
The structure will not be expensive, but
will be neat and artistic It will be pro
vided with plenty of light and ventila
tion. This branch library will be one of
the most Important Institutions of the
East Side.
East Side transfers during the week
show a slight increase over the former
week, and wpre widely scattered. A
DISTANCE
(I Tetily dwdknv it a laid,
- ninuttt count tot more than
nilea. Admitnat tktt tha it
true, ' ko imct dial the
leu milet a man sMUt trod to
to reach hit banc, the Icsibbb.
otet it features to tntvel tbote
oik, A careful euannabon
of the accompanywig map ahowa
ROSE OTY PARK audita
favorable ccmpahaos is distance
with the ether leading reaidence
portions si the city. There are
very few destable residence
section to any city that lie at
dote to the activities ef down
tews - ROSE CITY
PARK. At the same time
there are Terr few such locations
that are so absolutely free from
the annoyances and Bcoovea.
saicea of city He. ROSE
CITY PARK begins just two
and s quarter mica from the
Bmside Bridge, k extends
two miles eastward. From the
center of ROSE OTY PARK
to down town is a ride of 25
minuses. Upon the cample
boa i the street railway down
Sandy Road from East
Twenty-eighth street, the ride
to down tows w31 bo
tJsaeusea,
ROSE
HARTMAN 8 THOMPSON
house and lot on Broadway and East
Water street was sold to William Webber
by Edward J. Grahs'for $4300. A two
story frame residence on Rodney avenue,
near Cook avenue, was sold by M. Rltter
to Samuel Mclllrane for $3500. A house
and lot In Vernon was sold by Olaf Kiola
to Ole J. Hatfield for $3000. H. W. Hogue
sold a residence site. 75x100, on Cook ave
nue, near Williams avenue, for $1450.
In John Irvine's first addition, Mary F.
Failing sold to O. O. Hall lots 15 and 16,
block 16, for $3500. In Hawthorne's first
addition, Mary J. Graham sold to Charles
W. Stubbs lot 9. block 8, for $2500.
The most Important sale of city prop
erty was that of 12 acres at Midway, near
Sellwood, which was purchased by Frank
A. Sweeney from the Moore brothers.
The tract will be sub-divided. W. H.
Ross' and W. B. Roberts sold 14V4 acres
on Milwaukie Heights Tor $7250.
A considerable acreage transaction was
the purchase of 12 acres by the Dammeier
Investment Company near Gresham from
Mrs. EL A. Wldener for $3000. It is pro
posed to Improve the land secured and
cultivate walnuts on a large scale.- Mr.
Dammeier Is having plans drawn for a
10-room residence. The distance to the
land Is 12 miles.
Five acres east of Mount Tabor were
sold the past week to Theodore Praunn
by Loyal P. Elliott for t4500. George W.
CITY
arsiiNCn.
CREST I
WOODtAWN
Nllf PMMONT
' 1 VtBWN.
' ALBMA
d. V ' IROSE CITYJ,
- I PARK 1 . , '
r 1ra
l l' f'lj 'I r ' .f&VgJaseatVM.
1 VVOOOSTOC . tENTS
SOUTH . li'f. '" ' '
PORTLAND J(fl
-m seuwooo " "
if
Henkle sold five acres to Andrew Murphy
In the donation land claim of Robert Gray
for $6000.
Works for a Free Ferry.
The St. John Commercial Club has a
committee out circulating a petition
to the Council asking that the ques
tion of Issuing bonds for the pur-,
chase of the St. John ferry be sub
mitted to the voters April 7. This peti
tion will be. presented to the Council
for action next Tuesday night, Janu
ary 28. The petition is being gen
erally signed. The club desires the
city to purchase the boat and have the
county operate, it free, as it does the
Albina ferries.
Takes Option on Warehouse Site. -
The St. John Council has secured an
option on four lots at the foot of
Philadelphia street, held at $23,500.
Holbrook & Bingham are the owners.
The property is wanted for a city
wharf. It Is proposed to vote on issu
ing $75,000 bonds for building this
wharf and for buying ground for a
park at the April election. The dock
will cost $50,000. A suitable park
would probably cost $10,000.
Tourist, the Winner, section 4, page 7.
PA
CHAMBER
OF COMMERCE
Eli
v.