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About The Sunday Oregonian. (Portland, Ore.) 1881-current | View Entire Issue (Oct. 31, 1915)
TTIE SUM)AT" OREGOXIAX FORTXAXD," OCTOTVEH " 31. 1915."
IN EAST SIDE DRAWS
Attitude on Front Street Is
That Small Firm Finally
Will Have to Follow.
REALTY DEALS ARE MADE
Option for Purchase of 3iorlbvest
Corner of Sixth and Stark Is
Believed to Be Step Toward
Banking Institution Krection.
Except for the options given for the
purchase of the northwest corner of
Sixth and stark streets at a total val
uation of 1275.000, there was no realty
event last week to detract attention
from the phenomenal activity in East
ide commission-house sites, originally
reported in The Oregonian last Sunday.
With the large commission concerns
buying up locations in the new East
Hide center bordering on either side of
East Alder street, between Union ave
nue and East First street, the general
feeling along Front street, the pioneer
market and commission-house center,
is that the smaller firms eventually
will be compelled to follow the lead
eet by- the big houses.
The Pearson-Ryan Company already
is located at the southeast corner of
East First and East Alder streets,
while the Pacific Fruit & Produce Com
pany is housed in the other half of the
T. I Thompson estate building, on
the southwest corner of East Second
and East Alder streets.
At present a new $30,000 commission
house structure is being erected for the
AW B. Qlafke Company on the north
west corner of East Third and East
Alder streets. IMrectly east from the
Glafke site, John A. Bell, of the . com
mission firm of Bell & Co., purchased
a quarter block less than 10 days ago,
while the other corner on the same
side of East Alder street has been pur
chased by It. Ii Phillippi, head of the
Vnitcd Brokers Company, who an
nounces that he will build a commission-house
on the property..
On the same day that Mr. Phillippi
bought this corner the quarter block
directly south, namely, the southwest
corner of Union avenue and East Alder
utreet, was sold hy Charles J. Schnabel
to a Seattle commission firm, whose
identity has not yet been made public.
Also, it is said, an offer of $73,000 was
made for the corner diagonally across
the, street, where the postoffice sta
tion Is now located in a two-story
In addition to the commission firms
that have located in the new East Side
zone recently Page &. Son, a large
commission firm, own land on the south
ide of East Washington street, be
tween East "Water and East First
streets, which is near the heart of the
Mxth and Stark Corner lnv He SoIl.
Harry Wolf, of Portland, and his
brother. Marcus Wolf, of San Francisco,
last week gave a Portland realty firm
an option to purchase the northwest
corner of Sixth and Stark streets for
$175,000 within the coming three
months, and Alexander Wagner, owner
of the remaining portion of the quarter
block, gave Tin option to purchase that
land for $100,000. It is said that If the
property Is bought within the time
specified !t will mean the construction
of a fireproof building.
Just how the proposed building will
be used irt not niado public, but the
general impression among brokers Is
to the effect that a banking institution
may locate on the corner. At present
the entire quarter block is covered with
two and three-story frame buildings.
Height I.ut Ik Sold.
For a stipulated consideration of
$4250, Toara G. Anderson last week
deeded Raymond B. Wilcox title to a lot
located on the west eide of Twenty
first street, between Clifton and Myrtle
Twelfth-Street I.nnd Sold.
By the terms of a dee1 filed at the
Courthouse last week C T. Tooze be
came owner of fractions of two lots
situated on the so.utheast corner of
Twelfth and Columbia streets. A nom
inal consideration was cited in the in
strument. Tlllnniook Report --.O0O Sale.
Fred Anderson has paid $22,000 for
310 acres of upland, located near
Oaribaldi, on the north side of the
jMlaml River, and for 239 acres of tide
land near by. The land formerly be
longed to the late Peter Byron. Options
have been taken on several other tracts
In the same locality, and it is reported
at Tillamook that the places are sought
as sites for the location of sawmills
Irvington Home Sell for "r,00.
Robert B. Beat has sold a house and
lot in Irvington to Charles H. Page for
$7D00. The property Is described
lot 9 in block 116. Irvington. and is
located on East Eighth and Knott
Bessie Wallace Buy Home.
Bessie Wallace has purchased from
Emma P. Case a house and lot in Sew
Ickly Addition, including lot 14 in block
1, the consideration named in the deed
bein $3603. The property is located on
the corner of East Fiftieth and East
A. J. llundy Buy Lot.
A. J. Bundy has purchased lots 9 and
10. in block 9. Chicago Addition, in the
South East Side, the consideration be
ing $1000. The lots are located on Bal
timore avenue and Woodbridge, street.
Tabonlde Property 1 Sold.
M. A. Williams has taken title to lots
t, 19 and 20. in block 14, Taborside,
from Lewis C. White, the consideration
named being $2400. This property is
located on East Seventy-seventh and
East Madison Btreets.
Scldon Murray Property Sold.
A tract in the Seldon Murray dona
tion land claim, located near Haw
thorne avenue, has been transferred to
James t'5. Tontz by Ella E. Burrington.
Steward Park Home Bring fcjono.
A house and lot in Steward Park in
the South East Side were purchased re
cently by A. D. Chivill from Elizabeth
J. Howard for $2000. This property Is
located near the. Foster road.
Alameda Property la Sold.
Robert B. Beat took title last week
to four lots in Alameda Park from
Charles H. Page, the consideration
named being $5550. The property is lo
cated in blocks 3, 34, 34 and 13. all on
J. A. Bryce Buy Lot.
The Gregory Investment Companv
has transferred lots 41 and 42, in block
J. Uregory Heights, with a house, to A.
.1. Bryce for a consideration of $1500.
The property ia locates near the Sandy
Vnlversity Park Sale Made.
In University Park, lots 1, 2 and 3
In block 122. were purchased last week
by O. W. Gage from D. Boyer. for
$2000. The sale includes a dwelling.
located on Dwlght street and Willis
laurelhtirat Sale Reported.
The Laurelhurst Company has trans
ferred lot 8 in, block; 106, Laurelhurst.
to Evert Liisanantti. the consideration
W. F. 3. Thatcher has purchased lot
12. in block 114, Laurelhurst, from T. M
Hurlburt. for $1886.
The Laurelhurst Company has trans
ferred lot 12. in block 104. Laurelhurst.
to J. J. Kampt, the consideration being
Tabor Height Lot Bring 200O.
G. W. Wanacott has taken title to lot
3, in block J, Tabor Heights, corner of
Brooke and East Stark streets. The
consideration was $2000.
Railway Obtain Strip.
The Portland & Oregon Citiy Railway
Company has obtained a strip through
the tract owned by the Multnomah Mo
hair Mills Company, located in the east
ern, part or Sellwood. the consideration
named in the deed being $1760. This
strip is wanted by the railway company
for its track which runs through Mil
waukee to Baker's Bridge.
J. A. Byerly Bay fn Laarelhant
J. A. Byerly has purchased" lot 13,
in block 111, Laurelhurst. from W. C.
Powers. The consideration named was
Irvington Home Bring -"OO0.
William H. See last week sold lot 10
and the south half of lot 9 in block 24,
Irvington, for $5000. This property is
located on Ainsworth' avenue and East
Mabel P. AVarnke Buy Lot.
Mabel P. Warnke has purchased lot.
21 in block 10. Lenox Addition, from
William L. Robertson for $1000, with
improvements. This property is locat-
NUMEROUS LAND PURCHASES INDICATE THAT COMMISSION-HOUSE
1 1 o ' ' ' fi? I ' I
DIAGRAM SHOWING WHERE SEVERAL LARGE FIRMS ARE LOCATED OR EXPECT TO BE LOCATED !' PRO
ed on East Forty-first, near Holgate
Hawthorne Avenue Property Sold.
The Royal Building Company last
week transferred lot 4 and part of lot
3, in block 14, Hawthorne-Avenue Ad
dition, to Frank Thomlinson for $2750.
This property is near East Forty-first
Sale Made In St. John.
T. W. Lyster has taken title to part
of lot 11 and lot 12. block F, St. Johns,
from the 1905 Real Estate Company, for
Zantaphene Morelock has purchased
two lots in block 14, East St. Johns,
from Mary L. Penisten. the considera
tion being $1000.
JACOBS COMPANY TO MOVE
Lease Taken on 10 1 Fifth Street for
The FTed A. Jacobs Company which,
with its- subsidiary realty companies,
has occupied the entire upper floor of
the Merchants National Bank building,
on the northeast corner of Fourth and
Washington streets, for four years, has
signed a two years lease on the build
ing at 104 Fourth street, owned by the
King estate. The new location is on
the east side of Fifth street, directly
north of the Perkins Hotel building.
The room includes floor space 32 by 50
feet in area, with a mezzanine floor.
H. G. Beckwitli. vice-president and
general manager of the Fred A. Jacobs
Company, said yesterday that the lease
had been signed, but that he could not
say how soon the company would move
to the Fifth street location.
The Jacobs Company has held its
lease from the Merchants' National
Bank, which transferred its leasehold
to the Trimble estate, owners of the
land, at the time of the bank's con
solidation with the Northwestern Na
SEVEltAIi LEASES REPORTED
Stanley S. Thompson Declares In
quiries Are Increasing.
The Stanley S. Thompson Company
reports closing the following leases
within the past week:
Ground floor of the Alma Hotel, at
Stark and Burneide streets, leased to
the McCracken Motor Car Company for
automobile salesrooms. H. J. Ottenhel
Store at 73 Sixth street, leased to
George Bomer 'for restaurant. Archer
& Wiggins Company, owner.
Store at 1S38 Sandy boulevard, rented
to the Fremont Cash Grocery Company.
Seton Land & Mortgage Company,
Store at 228 ',4 First street, rented to
I. Fish. Rosenfeld estate, owner.
"Business is brightening up consid
erably and we have had a great many
more inquiries during October than any
month previous in this year.' said Mr.
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OXE-STORY STRICTURE LOCATED T EAST THIRTY-THIRD AD JE8SIP STREETS.
At a total expenditure of $46,000. the first unit of the Kennedy School, has been completed on a strip of the school tract at East Thirty-third
and Jessup streets, in Irvington Park. The present structure contains eight classrooms, with a small assembly hall, offices, restrooms and pub
lic play courts. "
Ultimately, additional units will be erected to provide a total of 25 classrooms with quarters for manual training rooms, cooking and sewing
rooms and an assembly hall that will seat 600 people.
The Kennedy School is of the one-story type with hollow tile walls and wood framing on the interior. The roof Is of metaL The plans for
the building were drawn by F. A. Naramore, architect for the School Board.
. i . . .
ONLY BIG PERU
Part of Contracts Awarded
for Transforming Building
at Cost of $50,000.
SWALL HOMES NUMEROUS
M. Ludd Reported Putting Vi
Winter Residence at Nordhoff,
fCal. Garage Planned Road
Construction Is Ordered.
The outstanding feature of a dull
period in construction news last week
was the issuance of a permit to the
Alisky estate for the reconstruction
of the Alisky building, on the north
west corner of Third and Morrison
streets, recently damaged by lire. The
permit cites the probable cost of the
work as $50,000.
W. W. Lucius, who prepared the
plans for the building, is now receiv
ing bids for the heating, plumbing,
electric wiring and the sprinkler sys
tem. The Western Sheet Metal Works
has the contract for the iron and steel
and the Timms-Cress Company for the
joist caps and wall hangers. The gen
eral contract is in the hands of George
Eugene Firm Gets Contract.
. The contract for the construction of
the warehouse to be built for the
branch of the Allen & Lewis Whole
sale Grocery Company on property in
Eugene recently purchased by the firm
has been awarded to Applewhite &
Ford. Eugene contractors. The plans
were drawn by J. K. Ford, a Eugene
architect. The building is to be two
stories of reinforced concrete construc
tion, 80 by 122 feet in area, with a
basement about half that size. The
total cost will be about $25,000, accord
ing to present estimates.
Mr. l,add to Have California Home.
A banking journal reports that Will
iam M. Ladd. president of the Ladd &
Tilton Bank and the Columbia Life &
Trust Company, of Portland, is build
ing a handsome residence near Nord
hoff, Cal., where he expects to spend
Portland Architect Elect.
At the annual meeting of the Port
land chapter of the American Insti
tute of Architects last week the fol
lowing officers were elected: W. G.
Holford, president; Chester J. Hogue,
vice-president: J. Andre Fouilhoux.
treasurer, and F. ' A. Naramore and
A. E. Doyle, trustees. Ellis F. Law
rence, I. C. Lewis and Ion Lewis were
elected delegates to the National con
vention to be held in Washington, D. C,
early in December.
School Bid Being Invited.
Bids will be opened by Cato Sells,
Commissioner of Indian Affairs, Wash
ington. November 15 for the construc
tion of the proposed two-story addi
tion to be made to one of the Govern
ment Indian school buildings at Che
mawa, near Salem. When proposals
were opened previously L. C. Denison,
of Salem, was low bidder with a figure
of $10,719, but all bids were rejected
and the plans revised. The improve
ment is to be made in addition to the
$7000 heating plant now being in
stalled. Portland Man Get Contract.
At a figure of $48,000, J. M. Ambrose.
of Portland, has been awarded the con
tract by the Skamania County Commis
sioners for the construction of the
Stevenson-Cooks road in Washington.
The lowest bid, $39,169. entered by
rt. J. Hilaebrand, was reported as in
Bid on Auto nulldlngs Pending.
No awards have been made yet for
the construction of the two-story fire
proof automobile building that is to be
5 JV ' 5 3-y
FIRST UNIT OF PROPOSED KENNEDY SCHOOL GROUP IS COMPLETED AT COST
constructed on the northeast corner
of Davis street and Broadway, and for
the one or two-story concrete building
that is planned for erection on the
East Side opposite the branch of the
Ford company-. Sutton &. Whitney have
the plans for the former structure and
Whltebouse A Fouilhoux for the lat
ter. Announcement of the bids is ex
Opera-BoDM to Be Remodeled.
Under the supervision of .Fred A.
Legg, a Salem architect, extensive im
provements are being made to the
Grand Opera-House at Salem by Con
tractors Siewert ' at Engstrom. About
$2500 will be spent on a new tile floor,
stairways, mahogany woodwork and
a fireproof operator booth.
Sub-Co tract Let. .
The brick and masonry work to be
done on the Hotel Albert at The Dalles
has been sub-let by Anton Tellar, the
general contractor, to Carl Shuhoim.
One story of brick, planned by Emil
Schacht, a Portland architect, will be
added, and other improvements made
that will cost in all about $12,000.
Garage Building. I Planned.
J. G. Jameson plans the erection of a
one-story garage building at Vancou
ver avenue and Russell street. Port
land. The structure will be 90 by 100
feet in dimensions, with brick walls,
and heavy timber construction, at a
cost of $1000.
I te grade Estimate In Cut.
The City Council last week cut the
$130,000 appropriation asked by Com
missioner Dieck to pay the city's por-
CENTER WILL BE REMOVED TO
tion of the cost of the O.-W. R. & N.
regrade to $65,000. The entire project
is to cost about $600,000. of which 60
per cent is to be paid by the railroad
company, 20 per cent by the property
owners and 20 per cent by the city. A
cut is to extend from East Twenty
eighth street to East Eighty-second
street, and. seven viaducts are to be
tOOO Home I Started.
J. B. Robinson has commissioned J.
R. Cleland to build a two-story frame
residence at 157 East Sixty-eighth
Btreet. in Mount Tabor. According tc
the building permit, issued last week,
the structure will cost approximately
Highland Parle Get Bungalow.
E. C. Janln has commenced the erec
tion of a one-story frame residence at
1274 East Thirteenth street North, in
the district known as Highland Park.
Under Mr. Janin's own supervision the
dwelling will cost about $1000.
SPECUIiATOK BUYS LOTS IIKRE
Smith's Addition - and Montavilla
Realty Changes Hands.
The "Fred W. German Company re
ports the sale of lots 1 to 14, inclu
sive, in block "C," subdivision lots 2,
6, 7, 9. tract "13," Smith's Addition, to
I L. Pokorney for IT. V. llounsell, a
former resident of this city. butnow
living in Los Angeles. Cal. These lots
are in the undeveloped section of the
Heights, having frontage both on Fern
avenue and Upper drive. The former
owner held this property at $15,000.
The new owner is said to have bought
from a purely speculative standpoint,
and may improve the property witii
Mr. German also reports the sale of
lot 6. block "A." Ryder's Addition to
Montavilla. to W. II. Wilson for Albert
Johnson. This property is unimproved.
A sale was also made for G. B. and
Mable Bluteaux to Anna Gabriel, a re
cent arrival from Wasco County. The
property is described as lot 10, block
19, Creston Addition, and is located
on the northwest corner of Thirty
second avenue and Forty-ninth streets
Southeast, and is improved with a five
room cottage. The purchase price was
$1500. For J. Jensen a sale was made
of lot 3, block "B," Ryder's Addition
to Montavilla. to T. H. Thorson. Th'a
is a half-acre tract, highly improved,
and was purchased by Mr. Thorson for
For Florence Hanlon a sale was
made to W. W. Anderson of lot 22.
block 2, Roosevelt Addition, located
in Montavilla, on East Taylor between
Eightieth and Eighty-second streets.
It is improved with a small two-room.
Mr. German personally purchased
lots 22 and 23. block 15, Westmoreland,
from Barge E. Leonard, trustee, and
also took title from Bessie Christen
son to lots 13 and 14, block 32. Berke
Mr. German also reports the sale of
his lot 6, block 2. Villa Hill Addition,
purchase price $1150, the vendee being
C. A. and Blanche Wentworth.
TRACED TO SOURCE
Causes of Loss in Life and
.-Value of Property Are
Given in Detail.
TWO FORMS ARE LISTED
Capital Properly Invested In Im
proved Realty Is Considered
Fixture That Sliould Last
, as long as Time.
BY E B. MAC NAVGHTON.
The depreciation ot buildings Is a
problem that should receive the atten
tion of all owners of Improved real
estate. It is a question of particular
interest at this time when realty -values
are passing through a period of re
adjustment and the fixing of the worth
of an improvement is perplexing own
ers and prospective traders.
While the subject is one upon which
widely divergent opinions may be ob
tained, there are, however, certain fun
amental principles which are control
ling factors and which should be clear
to all. , ,
Capital invested In improved real
property Is paatly in the land, which is
a fixture that will last as long as time
and, if wisely selected, should en
hance in value. The balance is taken
by the improvements or buildings
which are perishable, must eventually
disappear and the capital represented
be lost, unless sufficient rents are ob
tained to nav fixed charges and Inter
est and also create a fund which in due
time will accumulate sufficient reserve
to offset the cost of the buildings.
Depreciation Take on Two Korma.
The forces tending to destroy and
render unfit the building for profitable
usage are those of depreciation.
Uepreciation takes two forms. "There
is a physical deterioration which is the
natural wearing out of the structural
elements composing the building, and,
in addition, a second and greater factor
conspiring to bring the improvements
to the scrap heap, namely, economic de
preciation, or obsolescence. It is evi
dent that a building has a physical life
determined by the composite endurance
of the brick, timber, steel and other
materials of its make-up, and where
g,ood construction is used, this period
should be of great length.
The building also has an economic or
effective life, which has - been well
defined as "the term of years during
which it is commercially useful and
will yield' an adequate return in rent on
its cost as a structure and the value
of the land occupied."
Many attempts have been made to
derive a scale of percentage which
could be used as an approximate guide
in determining the physical and eco
nomic life of different classes of build
ings, and after analysis of many of the
tables, the one given below has been
devised as best suited to the conditions
governing in our Paciic Coast cities
whre the formation of the city is still
in the flux and changes are rapid and
far reaching in their effects.
Chanse In Portlaad Cited.
As evidence of this fact witness In
Portland what changes in the utility of
streets and a shifting of values has re
sulted from the development of Broad
way as a trunk street: also how the de
volpment of high-grade restricted sub
divisions has reacted against the value
of the improvements on closer-in res
In this case the closer-in property is
no longer considered first-class for pri
vate residence and is beginning to de
velop for apartment purposes, but as
the city is not yet large enough at once
to absorb it all for apartment sites, the
result is that much physically sound
construction is being rapidly scraped
by the change in utility.
Economic 1,1 fe of Building.
Apartments, email 3upites, furnished. ..18-20
more DUimincrfl. room imiitalni r.rt:i
Office bulldinc fireproof .'35-40
jotis. warehouses . . . 35-40
Kesiflencus. well built 40-45
oiiniii. institutions 50
A building's physical deterioration is
slow and. if the owner will promptly
mane needed repairs, the process can
be long delayed. Even carefully built
frame structures, if well maintained,
have a surprisingly long life and many
New England families still are living
in the houses built by the Colonial
Sections Oft Reconstructed.
Economic depreciation (an examlna
tion of the table will show) as com'
pared with physical deterioration.
comes on apace and is the result of
many causes beyond the control of the
owner. Among the factors contributing
in various degrees to this obsolescence
are alterations of lines of transit (re
routing of carlines; shifting of centers
of population, competition, fashion and
change of habit, changes in building
coo.es, aeveiopment of new districts
with better accommodations for the
utility for which the structures may
nave Deen especially designed.
The recent activity of Pronf-street
commission-houses in East Side reality
is an illustration of this last factor. In
American cities there will be an almost
complete reconstruction of most sec
tlons every SO years and districts In
New lork have been rebuilt after
commercial life of only 25 years.
One of the most frequent handicaps
under which a building starts on its
career is unwise planning and poor
AS ASSET BY EMPLOYER
Man Who Can't Provide for Emergency Out of Salary Is Not Considered
Capable of Guiding Business Involving Heavy Financing.
BY LIFE INSURANCE EDITOR.
( ft" "TNJTIl. 40, pride was always my
I J greatest failing," declared R.
'" H. Gore in an article in the
"I married at 30 and had a wife and
four children. My salary was $50 a
week. We spent all of it. One day
my department head called me into
"'We are going to make a change."
he said. I am to be promoted -and So-and-so
is to succeed me as manager of
this department. You were consid
ered, but the old man investigated you
and finding that you were not putting
aside any of your income, concluded
that one who could not make a suc
cess of his family finances could not
be trusted to handle an important part
of a big business where production is
maintained at the minimum.'
"I did not feel ofTended. I realized
that the fault was my own. I went
home and told my wife that 1 had lost
this $6000 a year place. I think I
must have Jolted her pride. She sug
gested that we move out of a district
where house rent was $50 a month and
confine our living . expenses to $25 a
week, half of my income.
"To make this obligatory I In
structed the office bookkeeper to hold
back $:.ri of my salary each week until
the end ot the year. I was determined
to show the old man' that I could save
"At the end of the remaining 30
weeks I had $750 to my office account.
I might have received S per cent In
terest, but I was fishing for bigger
game. I told the bookkeeper to hold
back $30 a .week.
"The end of the 18th month found me
in charge of the purchasing depart
ment for the company and drawing the
$5000 a year. When I am 50 years old
I shall have no less than $30,000 at the
present schedule. And this is a better
asset in old age than pride."
This is Mr. Gore's contribution ver
batim. The writer has overlooked one
important possibility. What if he
When the opportunity for promotion
adaptation to the utility of its lot.
combined with excess expenditure in
unproductive ornamentation and lux
uries which are saddled on the building
in a vain attempt for architectural ef
fect. Too often the basic fact is over
looked that buildings are first of all
utilities, and they commercially succeed
only as they measure up to sound eco
nomic principles. It has been well said
that in building "the ruling considera
tion should not be the maximum cx
pendture which can be placed on a site
and earn interest on its cost of con
struction, but rather, with how small
an investment in cost of construction
the capitalized value of the land can
Obsolescence I Pronounced.
In buildings of one utility obsoles
cence is particularly pronounced and
this class can be named factories.
hotels, stables, garages, banks, clubs.
schools, churches and others of a kin
dred nature. The highly develooed.
small unit, apartment-house with all
manner of specialized built-in furniture
and devices particularly designed to
please the passing whim of transient
tenants is a one-utility building in the
full sense of the term, and must, by its
limitations, be a structure in which ob
solescence will be heavy.
In many cases, owners are deceiving
themselves as to the results. ot depreci
ation by finding solace in the delusion
that the Increment to the land will
eventually offset their depreciation. In
some cases, in buildings of general
utility, this result may partially work
out. and alterations perhaps can be
made that later will, in a measure, al
low the building to develop some re
turn on the increment of the ground.
Too often, however, particularly where
tne investment Is topheavy on the
building side as compared with the
land, an owner who studies his prob
lem will find himself facing the law of
Illustratlan of Operation filvea.
As an Illustration of the operation of
this law assume the case of a $40,000
apartment built on a $10,000 lot. a com
bination not unheard of in any city.
For argument's sake it is further as
sumed that the lot Is well located and
that at the end of a ten-year period
the market value of similar vacant lots
In Its district has advanced to $20,000.
Some owners consider their gain to be
$10,000. although, if the building can
not be adapted, because of building law
changes or other equally effective rea
sons, to the conditions producing the
increase, it is apparent the increment
will be of little avail as long as the
structure encumbers the lot and shuts
it out of its highest development.
On the other hand, while apartment
lots have increased $10,000 in value, the
$40,000 building at a rate of 3.5 per
cent annual economic depreciation (see
table) has depreciated for the ten-year j
period a total of $15,000 and the owner,
even if he can realize on his land in
crement, finds his total investment, be
cause of building depreciation, has had
a diminishing value. This predicament
is the direct result of overbuilding and
should indicate that a real estate in
vestment that is top-heavy on the
building side is ore to be avoided.
Ownership of real estate should be
considered as a long-pull investment,
and it is only at exceptional times
when a boom is on that quick profits
can be made. Ral estate investments
are not "liquid" in the banking sense
of the word, but because of this fixity,
land ownership always will appeal to
cautious investors for whom the al
lurements of a rapidly fluctuating stock
market has no charms, and the problem
of building will have to be faced if the
earning power of the land is to be de
veloped. If a careful study of the utility of the
lot and its district is made, over
building avoided, a structure designed
that will be adaptable to several util
ities and adequate allowance made for
depreciation, improved real property,
year in and year out. taking the fat
with the lean, should be and is, an at
tractive and profitable investment.
Quarter Block Sells for S10OO.
A quarter block, including lots 19 and
20. in block 10, Terminus Addition to
Albina, was purchased recently by John
M. Shanks from Ena Lomerine for
$1000. The property is located on Car
penter street, near Delaware avenue.
T. M. Hurlburt has transferred a lot
in Irvington on East Twenty-fifth and
Jarrett streets, to Anna L. Young, the
price named in the deed being $2557.
Residence to Cot S.'OOO.
L. Ingersoll is having a story-and-a-half
residence put up at 1748 East
Yamhill street, near East Sixty-sixth
street. It will cost about $5000. J. W.
Burgher is the contractor.
O. O. Coalett Order House.
A $2000 dwelling Is being erected for
O. O. Coslett at 569 East Sixtieth street
North, near Sandy boulevard. Mr. Cos
lett Is superintending the construction.
Richard Hederaon Dulld.
Richard Pederson is having a home
built at 1078 East Twenty-third street
North, near Alberta street, to cost $2000.
O. NHson Is the contractor.
Rrldraee to tost S2000.
A residence costing $2000 is being
erected for Eggiman Bros, at East
Ninety-second street. Southeast Side,
between Sixty-eighth and Sixty-ninth
presents itself to several young men In
any line of business. It is natural that
the employer should investigate the
habits and character of all candidates
considered for the promotion. Present
day employers are ever ready to reward
the thrifty young man. In fact, the
thriftiest man generally wins.
The employer looks with even greater
favor upon the man who plans for the
future welfare of his family and him
self. Mr. Gore's method is indeed com
mendable, as far as it goes. His plans
will doubtless bo realized if no unfore
seen misfortune overtakes him. But
there is always that uncertainty, and
this thrifty person should pursue thrift
to the limit. This can only be accom
plished through insuring his life. By
taking out a policy for the $30,000, Mr.
Gore will have reached his goal the
minute he has passed the required phy
sical examination and the first premium
is paid. Otherwise, his ambition will
not be realized until he reaches the
half-century mark a road which has
many barriers, to surmount.
- Not only does life insurance render
safe the insured's effort to accumulate
a fund through saving by hedging htm
against an early death, or itself furnish
a profitable and safe investment, but
for the great majority of people it con
stitutes an excellent means of encour
aging and even forcing-thrift.
Employers Jiave come to look upon
a good-sized life insurance policy as
the best evidence of thrift. One of the
leading banks .in London makes the
carrying of life insurance obligatory.
Why? According to the president of
that institution, it makes steadier and
more reliable employes.
To all England life insurance is the
apogee of thrift. The officers in thla
institution freely admit that next to
personal fitness comes the amount of
a man's personal finances. These two
considerations are thoroughly Investi
gated when there is an appointment or
promotion to be made. And it is the
amount of the candidate's life insur
ance and his bank account which gen-
erally determine the winner.
TWO SALES REPORTED
HXLELLAX HOTEL. AT ROSEBl'RG
TRADED FOR H45.O0O FARM.
rroperty la Mount Tabor District Ex
changed for Peach Orchard on .
Announcement that the firm of Rice
& Rice, of Roseburg, had traded the
McClellan Hotel of Roseburg to George
W.- Llll, of Eugene, for a 500-acre farm
located about eight miles southeast of
Eugene and two miles from Goshen was
made yesterday through the Eugene
realty firm of Walker & Docksteader.
The consideration was $45,000. Both
parties to the trade will take charge
of their new properties immediately.
Through the office of C. t). Strow aa
important realty deal was made last
week in the exchange of 25,000 square
feet of valuable Mount Tabor property
for part of the beautiful E. M. Howell
& Son peach orchard, on the Clacka
mas River. 15 miles from Portland.
Bertha M. Hosford transfers to the
lioweils a large tract of land lying
along the right of way of the Port
land Railway, Light & Power Company
at East Sixty-ninth and East Morrison
streets, a portion of which is covered
with a four-flat building.
The lioweils believe this to be one
of the finest locations in Portland for
a two and three-room furnished apart
ment building and it is understood that
it is their intention to improve part
of the property with a building of that
Captain Hoeford has plans for exten
sive improvements on the Clackamas
River property, which will make It one
of the show places near Portland. The
plans include a trout lake, a natural
park along tiie river shore, bathing
floats and .several new buildings.
Colville Farm of 1000 Acres Sold.
COLVILLE, Wash.. Oct. .".0. (Spe
cial.) State Senator Harvey It. Phipps.
of Spokane, yesterday closed a deal
with S. H. Tweedell. also of Spokane,
for 1000 acres of timber and agricul
tural lands situated in the Onion Creek
basin, about seven miles south of
Northport. The lands will be converted
into a dairy farm and will be highly
Improved for diversified farming.
Directory of Prominent
Life Insurance Agencie
Members of Lac Underwriter
Aaocialion uf Oregon
Wm. Goldman, Manager.
H. O. Col ton, Manager,
MASSACHUSETTS MUTUAL LIFE.
Chamber of Commerce Uldi;.
ki. L Uarmon. Manager,
PENN MUTUAL LIFE.
Northwestern Bank Bids'.
Uorace Mecklem. Manager.
NEW E.SGLANU MUTUAL, LIFE.
Northwestern Hank Bldg.
Alma Li. Kalz, Manager,
MUTUAL LIFE INSURANCE CO. OF N. Y.
O. M. Slocum. Mgr.
RELIANCE LIKE INS. CO., Pittsburg.
20S Morgan Bldg., Portland, Or.
8. P. Lockwood. Vlce-Pres. and Gen. Mgr.
COLUMBIA LIFE & TRUST CO
20 2 Stevens Bldg.
Pettlfi-Groesmayer Co.. General Agent.
THE TRAVELERS' INS. CO-803-310
E. W. Amesbury, Manager.
NORTHWESTERN MUTUAL LIFE INS. CO.
Northwestern Bank Bldg.
Western Oregon Agency.
COLUMBIA LIKE as TRUST CO..
& Biles. Gen. Agts.. 204 Stevens Bldg.
BUILDERS' SUPPLIES and
J.G. ENGLISH CO.
C Irving mad I' n Ids Inau,
Phsaw E c Via.
Pkene Mala IOOS.
Morgan Wallpaper Co.
23A Second Street, Near Sa
Therels a Good Paint House
TIMMS, CRESS & CO
184 Second Street