The Oregon daily journal. (Portland, Or.) 1902-1972, October 05, 1913, Page 18, Image 18

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THE OREGON SUNDAY JOURNAL, PORTLAND, CUI.'DAY I.IORNIWG, C ,toi2l 5, 1C13.
IE E PLAH
OFTmniPUTir
EFFECTIN CALIFORNIA
How Old System.Was Changed
for- New Told in San Fran-
' cisco Bulletin -r ,
Realising the flagrant Injustice Of ths
old system of taxation which permits
th teavy burdens of municipal govern
ment to nil en th. shoulders of the
homo .owners, , while- lend speculators,
whose' only Interest in the community is
to make money out of It, pay practically
no taxes, the people of the little eity of
Piedmont, CaL, rebelled something; like
4 year ago and threw out the old system
and put into practical effect the Henry
Georg systemof ; taxation. :, The result
of this , experiment sis shown by the
annual report of the trustees of Pled
rnont, printed in the San Francises Bui.
letjn of October. I, is that the residents
of that city ar no longer penalised for
building houses and otherwise improv
ins; their land, but that unimproved land
and land exclusive of the improvements
on it are paying nearly all of the operating-
expenses of the municipality. ,
iJ'VyrtwOae.faltlay., .
The chief difference between the Pied.
rnont system as it has been worked out
during the past year and Henry George's
system of taxation is that the Piedmont
trustees call their system "fair play and
common' sense." instead of singl. -tax.
The report of the trustees of tire little
city for the ; fiscal year Just , passed,
which was printed In full in the San
Francisco Bulletin," deals s briefly 'and
simply with the results of a fight which
at one time threatened to bring about
open: rebellion t among ' Piedmont's
wealthy land owners and land specu
lators. In an explanatory paragraph,
and tables showing the relative burdens
borne by, real aetata, personal property
and improvements, respectively, under
the county system of taxation, and
under the Piedmont municipal system,
the advantages of the plan adopted by
the municipality are' fully set forth.',
I'fi. Big Difference Shews. J
The municipal assessors of Piedmont
last year valued the property within the
city for tax purposes at I5.06S.8T1; the
county assessor's figures reached slight-
. ly lower, their values touting f 5.(08,100.
The vast difference between the two
methods is shown in the proportions fur
nished byj-eal estate and by improve
ments on real estate. .....
Under the county system,, which rep-
rtwenia we oia styie or taxation, real
esute furnished per cent of tha vmiu.
atlon and consequently si per cent of
me taxes; improvements furnished IM
per cent, personal property furnished 7.1
per cent and. money and credits .one
tenth of 1 per cent.
Under the Piedmont system adopted
by the trustees of that city, land was
assessed at IS per cent of the entire
assessment.' Improvements at 14 H per
cent and personal property at I per
cent; this means that almost the entire
burden of the Piedmont city xovernmont
was bornf j by unimproved real estate
A and ny tbhI estate exclusive of the 1m
provements upon it. In other words,
Instead Of penalising lmnrovementa on
land the trustees of the tittle California
city aim o encourage improvements,
''v Brief Comment Ksds. v;,"-'
The report foUows the figures with
this brief comment: The two methods
of assessment - are here submitted.
Which is, moat equitable and easiest
for those Who pay. taxes and moat ad
vantageous to- the - municipality, can
hardly be questioned." . ,
The present mayor of piedmont, which
Is purely an honorary office, is Hugh
Cralgs About "two . years ago Maypr
Craig, Who was at that time a real estate
operator, opened fire' on the old method
of taxation, which had been in vogue
there since the gold Hunters came, more
than 60 , years, ago. Ho realised and
preached front the house tops that it
- was an outrageous Injustice to lay the
heavy burdens of city expenses on the
shoulders of home owners, while land
speculators who were holding their prop,
erty until the growth of the community
made it valuable, paid almost nothing
toward malntenlng tha city government.
Craig made a few quiet investigations
and found that bom owners were in
some cases paying ten times as much In
proportion to the value of their property
as were ths Teal estate men whose only
. Interest in the community ', wsa their
fiope to make money out of It. I
- Xeatty scan Sebels.
-j Mr. Craig himself was a real estate
man, but he rebelled at this kind, of
injustice. As a result he set to work
and had , skilled assessors draw up' a
few list of valuations, some Of which
Increased taxable values of the proper
ties concerned 20 times over. This was
followed by strenuous protest from the
land owners who were hit hardest by
' the change. .They all came In with vig
orous protest but In each ease Craig,
Who jvas now 'mayor, fell back upon the
Ute law of California which provides
that "alt taxable property must be as
' aessed at its, full cash , value!, . Some
- ' changes were made, but the proportions
.were not, c-iangea tne land speculators
ts-ere still obliged to pay the greater part
f thexlty's expenses.!.; vay.v-i'.-'
, Piedmont has a numerical majority of
home owners and Mayor Craig and his
poard of trustees had the support of this
ROSE FESTIVAL ASSOCIATION HEADQUARTERS IN NEV CUILDlf.'Q
I r- - ' . 1 1 , , , ; , 7 1
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A good idea of the modern type of of.
flee In the new Morgan building may be
gained by the accompanying picture ot
the of floes of the Rose Festival associ
ation on ths fourth floor.; With the
walls finished in stucco, the floor com
posed of a process cement and the min
imum of woodwork, the offices are of
the most approved and sanitary type.
Tbey are as nearly fireproof as pos-
sible. ;. The; floors are being painted in
either a durable gunmetal gray or a rich
brown, with an extra heavy border to
allow the laying of rugs. ,; Ths border is
washable like tile .and, win not collect
dust like, the usual wooden floor. The
walls are being tinted to match the of
floe furnishings of the occupants. '
. The windows are t the usual 1 heavy
glass . laid . over .wire found In i. of floe
structures wltn four panes to a win
dow. The lower left band pane has In
every case been composed of clear glass
with the others of the cloudy variety.
; The hardware la of the most approved
and latest : of flea pattern. The elec
trical fixtures are of heavy brass, sim
ple in design and yet rich in effect. Spe
cial sockets have been Inserted In the
walls for reading lamp plugs making
outside wiring unnecessary, : Hand lav-
the
stories, beautiful ' specimens' of
plumber's art, are In every room, ;
' The- tout ensemble of the rooms, Is
of course dependent on the furnishings
Installed by the Individual occupants.
In th above picture showing the in
terior of one of the rooms ot the Rose
Festival association's suits, are to be
seen George F. Baker, manager of ths
association, and Jesse A. Currey, sec
retary and manager of publicity,
HOTEL AT PENDLETON ;
IS TO BE ENLARGED
s ' ' i -
Two Stories Will Be Added and
Other Improvements Made;
Cost $40,000.:
"W. F. Mattock, owner of the Pendleton
hotel, is preparing te expend 140,000 in
enlarging: and improving that hostelry.
Two stories will be addsd and the build.
lng otherwise enlarged and modernised.
Am originally built the hotel cost $65,000.
Mr. Matlock pays that It has never paid
as an Investment,: but , that Pendleton
needs a larger and better hotel and that
ha Is willing to meet the hotel require
ments "of the city. '-.,r;-v : i
' - Mr. Matlock ' la also contemplating
turning tha entire upper story of the
LaDow block on. Courts street into - a
hotel or into apartments. T. F. Howard
baa drawn plans for this work. They
call for a 60-room hotel covering the
entire second floor, 10x100 feet.
.
TRAVELING MEN MAY
f -CONSTRUCT CLUB HOUSE
-- The Travelers Protective association
of Portland has under consideration ths
plan to baud a clubhouse and traveling'
men's home on the association property,
located on Third street, between Market
and Clay. ' For soms time this nrooertv
has been on tha market, but at a recent
meeting of the association it was de
cided to withdraw it from the market.
At the same meeting a committee was
named to prepare articles of incorpora
tion and to devlss ways and mesne to
build a clubhouse . while the commit
tee has tsken no definite action as yet,
the individual members have discussed
among tnemseives plans to rslsa c a
building fund, r A looal architect has
been Invited to submit tentative sketches
Of the projected club building. - f
The traveling men own a 60x100 foot
lot on south Third street, . whioh Is be
lieved to be an ideal location for a club
house.: ;i:',iiV? ',-T -in 'f .ti
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I M PROVED, ASSESSM ENT METHODS NEEDED
4 1
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REAirrv. AuiT
$soclATC Bee&
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v7S.OOO. -115,000 -
; Ue,ooo ioaooo e ,
K o qooo ist5 E;ooo
means f which values f are . adjusted.
Just at this tlma a deal Is under way
involving an , exchange .' of r properties
worth in the aggregate near $500,000,
but only about $18,000 la eash will be
required to consummate the transac
tion, ' y..,.: --''n-rXvff'i
Vrospeots. ravorabls. ; '
;r Considered in the light of current de
velopments, . prospects for the winter
season are regarded as favorable. No
large movement of downtown real ee
tate is looked for, but; that there Will
be a steady volume of sales of consid
erable magnitude Is the belief of brok
ers Who ar recognised as men of wide
experience end who know Portland
realty. . ':-:.tf-';
One condition that is , net generally
recognised is that the money market is
not conducive to making investments in
real estate. The ' unusual conservatism
of , bankers for the last' few months
has. put sv premium on the ready cash
held by lny viduals. J Industrial ; and
commerolal enterprises unable to got
the required accommodation from bank
ers are turning to individual lenders and
are offering such rates of interest as
will seoure the loans. Much of this
kind of money ' has heretofore been
available- for realty- speculation and in
vestment but not so how. i i
It is quite different, . however, with
small - properties. : ; The savings bank
depositors, ' the . laborer, the clerk, and
other .small ?. Investors V with ; s little
money on band, doesn't hesitate to back
hts judgment in' buying s a lot or an
acre.- H pays only, a - small portion
down and has a long time to complete
tne deal.; vtf'-.i",;:
BmburBas.Bnslness Oood.
- The records of the Multnomah county
clerk's office prove, that there is" a
steady and strong business done in the
outlying subdivisions, where new homes
are sold by ths aoore every day and va
vant lots are changing hands In consid
erable numbers. -Tere is no denying
that vast sums of money are being' In
vested In ready built homes and vacant
residence lots. A.--':-: V r;;;i,r.'-
Reports from all available souroee In
dicate ( that but little new money t la
coming into Portland In such volume as
would find its way into large Invest
ment holdings. Not since the sale of
the old city library property to John
W. Blodgett, of Michigan, has there
been a considerable deal in local sealty
In- whioh an outside man was on the
buying end of the transaction, v.",'
: There is novdoubt that a considerable
sum of money. In the aggregate, will
find - its way to Portland for invest
ment this fall after the marketing of
the big wheat and hop crops of the in
terior. But this money will be in sums
from say $200S to $10,000, sad Will
be available, for Investment in small
and medium value holdings. Operators
and broke s look for the advent of this
money to quicken activity in the local
realty et:'?v?j.;;,4:,!;;i.-;i;'i.
n i i-"y
; Plot to Assassinate Kitchener.1
- Venice,- Oct 4-Elghteen , Egyptians
were arrested here today charged with
plotting to asssssinste England's Egyp
tian 'agent general, liord .. Kitchener.
Kitchener was here s, week ago. yr u
saledff ;mi 11
JO LARGEST OF YEAR
Ci - 'a' . - . - ' .ir
4 i'.j.,' ' sww--bsMrisms 1 vS : ,
.J r T- ,ft. . 1 ...,' .. -. . in ' ' .
Hushes Estate Buys Blake.-
,M'Fall Building, for $350,-
000; Other Transactions.
With one exception the largest trans
action of the year in local real estate
was , the saie last weanesday of the
Blake-McFall building at Fourth and
Ankeny streets for $360,000. The prop,
erty was purchased by the Hughes In
vestment company, which consists of
the Incorporated estate of the late Kills
O. Hughes. , ,
' ' 8. F. : Wilson, a Portland lawyer and
E. A. Dudley, of Umatilla county, were
the owners of the building, they having
acquired it about two years sgo, from
the Blake-McFall company. The build
ing la a six-story business structure and
occupies a 100x138 foot sits.
. The Paclflo Coast Trust company has
sold to Charlotte Bherlock a residence
site containing three lots on 8t Francis
HinTThe propertynraescribed as lots
3, 4 and 6, in block 4, consideration
$9500. " , . ; ,
. The 60 foot Jot at the northwest cor
ner of Thirteenth and Montgomery
streets was sold last week by ths Blaoon
Investment company to Claude D. Starr
for $at.000: r ;- ' - -
- . r j . . a
Clinton Kelly, donation land clslra, was
purohased last : week by - Arthur . West
from A C Curnow for $$000. ,
The Provident Investment 4 Trust
Co. has sold to George D. Hleb the res
idence property described as lot 6. block
J, Holleday Park, for $4800. - --
Charles Schubel ; has purchased from
George C. Halt , a house and lot de
scribed as a part of lot 4, blook 10,
Parkvlsw extension, for $4000.' i
. A new six-room house described as
let in block 47, Vernon, was sold Jaat
week by Anthon Eckern to J. Z. S tans
berry , for $4500. r '
: Elisabeth Grimm has sold to A, T.
Bug a house and lot described as lot
4. block $3, Central Alblna, consideration
$6B00.'"5;1'"W.:'-r-f e v,fv
Daniel Donahue has purchased a new
residence located in Hawthorne First
Addition. The property was sold by O.
C White for $4380. ! .
A, 'W. Ooobook has sold te Franklin
W. Phillips an improved cuarter block
In Piedmont, for $3650. . '
Bx. ear a w
majority from the start. - -To this he
aUrlbutes the success of his plan,'. ,
Ths Bulletin's account of the tax re
forms adopted In Piedmont says that ths
people there have ; generally accepted
them as a good financial investment.'
4 Company Store la , Dynarnlted, '
' Trinidad, Colo., Oct 4.The Primrose
Coal company's powder house and store
at Primrose, near Trinidad, also were
blown' up last night .'.'.. vix
United Mine Workers', officials said
they knew nothing of either affair. -
t. a' Due-
VltCOX HEIMEB
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'' Plat showing assessments for the cur
rent year of subdivisions of -blocks i,
K M jm 21t.':ity y ''J: ' i j
In this week's assessment story, four
blocks In the center of the city en which
extensive lmprovsepents are Just being
completed, are used, i- These Improve
ments include the Morgan building on
ths Fechhelmer half block facing Wash
ington street, between Park and Broad
way, and the Stephens, at the southeast
corner of West Park and. Washington.
Considered as a whole. ' the assess
ment of these blocks would seem-to be
fairly equitable and Just , It will be Ob
served that the asssssor considers front
age on the south ads of Washington
street slightly more valuable than that
on the north side: of the street ' The
Fechhelmer half block is Assessed for
$5(4,000, while the half block belonging
NEW DEVICE GIVES SCHOOL' ROOM ABUNDANCE OF AIR AT: ANY TIME
r";rrir"TrviiiiTiirTT'Tiir-iiiinitr"TT'iri'Trf"y m ryjiitTtrj'iirr'viiiifiTT't'n'r'iiiTiriiini nrnw irit-itTiTTrnirT'fr'in v 1.1 ij- ij'in n utiik " i ; i nr-rinii)"nj min i.ii.iii m1 wtwww
"Twenty Century School," invented by a Portland architect,' in lino with fresh air movement
M . . . 1 M-l. l 1 .1M M -I. . r . . . .J. M. ul . . . .
As an aid to the "fresh air school'
i ovenient which has spread across the
V uited States and Is being tried in Port
's d In the Irvlngton district Newton
. Cauhtt. a Portland architect, has la
nted whet he calls ths "Twenty Can
y School." I,t appears to be all win
dows, which may be turned or tipped
by a device permitting the teacher to
have a fresh Air school room at . any
time desired.- Windows may; be dosed
to guard against storm or' excessive
cold-, Ventilating devices provide con
stant change of air when the windows
are closed. ' The light Is almost exactly
um aaiue mm out ot aoors, - '
1 call it the Twenty Century
sohool," said . Mr. ' Gauatt ' because
school construction began 30 centuries
sgo snd I believe this to be the most ad
vanced plan produced during the pres
ent century,"
'i ' ! f J r .", ' i
to the Brooke estate, and directly across
Washington,' la valued for: assessment
purpose at $490,000. The same relative
difference is seen In the assessment of
the Washington street half of blocks
I and - fiM' v..i'-ii-'That
the high priced land In the cen
ter of Portland's business district Is as
sessed for about $0 to St per cent of Its
earning value la shown la the 11$ as
sessment of the-Fechhelmer half block
This paroel Is now under a B0 year lease
to w. Morgan ana associates zor aa
annual rental, for the next five, years.
equal to per cent oh a valuation jt
$1,000,000, .while, for, the purposes of
maintaining government this property
is valued at $644,000. .-; . . v
ACHY IN SUBURBS ;
IN GfTY
rs ir v- M tt-w-
ANUUUItl
Expectation1 of' Revival of In
side Realty Is Yet4o Ma-
- tenalize; rSome Leases, -
CondlUons in the looal realty market
have net changed to any appreciable
extent, in the last $o days. The pres
ent .situation seems to be more! of ; a
hangover from tha dullness of ths sum.
mer vacation season. - Throe months
ago ths best Informed brokers were Of
ths opinion that with fall would come a
more active market : So far, however,
this predicted Improvement has not ma
terialised to any noticeable extent This
applies only $9 inslds Investment prop
erties In the doss In east , slds and
west aids districts. By no means should
It be confounded with the movement in
subdivision properties, for in that line
ths Portland market has been uni
formly active. : , -. . . ; r-. ...
There Is a fair volume of business In
negotiating long time leases on oentral
properties and In exchanging these prop
erties. In this business mortgages and
equities are mainly considered,- but
usually there Is an element of cash by
. ildDI?
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The most uhuaual offer ever put before Portland In
vestors, now being made by THE FRED Ae JACOBS
COMPANY, the largest realty operators on, the Pacific
oast. .
1
t - ' s ' m - ' ' 1 v see X .j " "
' onouia you puy one or our aweumgs now under conv
struction along the Enrol Heights carline or buy a lot
and build at once in that district, you will . receive' the'
benefits of this offer,-: ',i-u.---u"--,7--'--1 , - 'i;: -
it
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We will give you a new, modern five-room bungalow
on a 50x100 foot lot located in the most beautiful resi
dence section in the REED ' COLLEGE DISTRICT for
the astonishingly low price of $1 170, and we furnish you
rKtsC. car rare tor two years. , - . i - - t
5 "
THINK OF IT! A new modern 5-room bungalow for
$1170, and on terms like paying rent. . :j
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The house alone would cost you that much, or more.
to build;
' The style, construction' and location of these houses
1 ni l -
HOW CAN WE DO THIS? f WHY DO WE DO THIS?
f Meet us there Sunday and we will tell you;
1 i " '
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" HOW TO GET THERE Talce Sellwood car at First
- and Alder, transfer to Eastmoreland car and: go to the --
' end of the Errol Heights line where our representative ,
will meet you and conduct you over the property.
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There are only six houses atthis price first come first
served. .
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Largest realty operators on the Pacific Coast;
.239' WacMiniota- SU,:-C(D?EC2i? FcsnuaEn