The Brooklyn Daily Eagle from Brooklyn, New York • Page 36

10,. THE BROOKLYN DAILY EAGLE. NEW YORK. SUNDAY. MARCH 1.

190S. history of downtown Brooklyn is the beginning of work in constructing the four-track Fourth avenue subway. According to the statement of the chief engineer of the Public Service Commission the plans are all practically completed and bids will be advertised within a fow days for the construction of the sections between 15 minutes of lower Manhattan and witb-in 15 to 25 minutes of Forty-second street by a direct subway route, entailing a 'n- glo fare to any part of Manhattan and the Bronx, conditions are changed, and Brooklyn real estate will hereafter be valued at its intrinsic worth, that must continually go higher until fair equalization of values vith those of Manhattan, which is the logical destiny of Brooklyn realty, shall be accomplished. even for tho most costly order of dwelling and business property still discloses a discrepancy that cannot be accounted for by any logical argument, other than that the ignorance of conditions here, that for many years has been prevalent upon the other side of the East River, is responsible. With the whole area of Downtown Brooklyn, however, brought by the opening of the East River tunnel within 5 to Fulton street elevated line from the Brooklyn Bridge to Franklin avenue, and extended to the foifr-track system on the Brighton Beach lino; also a spur connecting with the Fitth avenue line at the junction of Fulton street and Flat-bush avenue.

The necessity for such an improvement is the result of new traffic conditions forced upon downtown Brooklyn by the Battery tunnel. Not only the elevated platforms about Borough Hall and the business section of Fulton street but the elevated tracks themselves are found to be inadequate for the handling of additional traffic discharged from tbo eubway together with the original loads from the bridge. Another thing which will help to make the present year a memorable one, in the 1 FINANCIAL INSTITUTIONS RECOVERING FROM CRISIS the Manhattan Bridge and Fortieth street. Following the letting of these contracts the other sections of the subway to Fort Hamilton and to Coney Island will be taken up at once. The lino between the Bridge and Fortieth street is estimated to cost about $11,000,000, one-half of this amount to be expended in the work between the bridge and the juncture of Fourth and 'Flatbush ave- REAL ESTATE SITUATION IS BEING REVOLUTIONIZED Some Great Improvements in Downtown'Brooklyn That Have Been Accomplished Within a Year.

i The Battery Tunnel has been completed and placed in successful operation between Manhattan and Borough Hall. The construction of the Brooklyn Subway has been so far advanced that it will be placed in full service on June 1. Through traffic has been established on the Brooklyn Bridge and the Kings County terminal transfer nuisance abolished. The Manhattan Bridge anchorages and cable towers have been so nearly completed as to permit the work of stringing the cables to begin within a few weeks. Flatbush.

Avenue Extension has been opened up with the exception of a few buildings which are to be removed at once. The Sands Street Improvement, by which trolley cars will be elevated from the bridge by a steel viaduct structure and carried over Sands street upon the Kings County terminal yard is now in process of construction. A bridge local trolley loop has been established and placed in successful operation. A great flushing tunnel from the East River, at Degraw. street, to.

the head of Gowanus Canal, for the purification of the latter waterway, has been far advanced in process of-construction. A street car service has been established on Livingston street, widened, and on Lafayette avenue for the traffic relief of Fulton street. The magnificent million-dollar Brooklyn Academy of Music on Lafayette avenue, Ashland place and St. Felix street has been built. The Eastern wing of the Brooklyn Institute of Arts and Science has been completed and dedicated.

The foundation for the imposing Masonic Temple Building, on the northeast corner of Clermont and Lafayette been laid, and the work of constructing this edifice has begun. AH preparations for beginning the work of constructing the Fourth Avenue Subway have been made; $23,000,000 has been appropriated and set aside for this improvement; engineering plans are finished and advertisements for bids are to be published within a few days. tion that present values in Brooklyn are-so conservative, not only as to preclude the possibility-of loss, but to offer every prospect of unusual profits. Speculation in Important Properties Resumed. At about this time last year there was) Tho concrete result at the many great public and private improvements affecting downtown Brooklyn within the past year, and more particularly those that hive been accomplished since the beginning of 1008, has been to bring revolution in the real situation here, the end of which a considerable speculation in the larger estate improved holdings in the business center of downtown Brooklyn, largely Induced by tho promise of many improvements, incluling especially the East, Illver tunnel.

These operations were Interrupted by the existence of the money strin-1 gency, until within the past week they have for the first time been resumed. This cannot be regarded except as proving thedisposition to resume realty operations of this character upon a wide scale at the first moment that the general finan-1 cial situation shall make It possible and shall be to cause a readjustment of values between the several boroughs of the greater citv and to ultimately place Brooklyn upon a footing different to that which it has ever known. Indeed not only Is it well nigh impossible to accurately forecast what the future of Downtown Brooklyn Is to be, but it is equally difficult to appreciate, even in part, tho changes which are sure to be wrought. Equally portentous, of course, in achieving the ultimate destiny of Brooklyn are the still further improvements which are cither progressing toward completion or are authorized, and there Financial Brooklyn has Its headquarters In the downtown section of the borough. It is in this dlstrct that transactions amounting to- millions are put through daily and where the principal financial Institutions of tho borough make their headquarters.

Corporations which have main offices In the Eastern District r.nd Williamsburg sections have found it necessary to establish a branch in the downtown district where the most business lies. Manhattan institutions have also found it profitable to expand to the local financial center and there are many corporations which originally intended to operate In Manhattan only with offices in the lower part of Brooklyn at the present time. Within the past few years there have been numerous Improvements and building extensions in the downtown section. The principal additions in the building line have been tho handsome new home of tho Peoples Trust Company on Montague street; the new edifice of the Dime Savings Bank; the erection of a new headquarters for the local branch of the Title Guarantee and Trust Company; the handsome new building of the Lawyers Title Insurance Trust Company; the addition to the Mechanics Bank Building; the erection of two rows of buildings on each side of Montague Btreet, between Court and Clinton streets, which are at the, present time the headquarters of financial institutions and bankers and brokers, and the addition which was added to the already large building of the Brooklyn Rapid Transit Within the last year there has not been so much activity in erecting new buildings for financial Institutions, but when the fact that so much was done In previous recent years is taken into consideration there can not be much surprise expressed over last year's showing. Practically every financial institution In the lower section of the borough has at the present time headquarters that are considered as comfortable as it is possible to have them.

Another reason why there was so little done last year in the way of improvements was that the general financial situation was not conducive to expansion. Statistics show that the expansion of the local banking community during the have the affairs of the other suspended banks ad trust companies in hand are very favorable and it Is claimed that the depositors will not suffer any loss. In the mea time the institutions which eon- nued to do business during the panicky i times have practically recovered and are S. Wfly t0 put their-' deposits at high re rd figures. Confi- tZZA 'f 1 of the Publi has been I restored and the rcnerous treatment c.

corded customers In October and No- vember last by the local institutions has-gone a long way toward placing the situation on a normal basis acain. Fourteen Banking Institutions Operating in Downtown Section. In the downtown section of the borough there are at the present time. Including the savings banks, fourteen banking Institutions operating. The business done by these institutions represents millions daily and interests several hundred thousand depositors.

The recent suspension of several banks which formerly helped handle the vast business of lower Brooklyn has, of course, caused a little decrease in the total banking capital that is represented, but as business has to go on Just the same tho other banks and trust companies have to handle an in-' creasing volume daily. The most prominent bank In the down- town Bectlon is tho Mechanics, which occupies the lower floor of the handsome many storied bunding on the corner of Court and Montague streets. The build- ing is owned by tho Institution and in reV-cent years the original edifice has had to-be enlarged not only for the needs of the bank but because there was a big" demand for room for office purposes The quarters of the Mechanics are among the best appointed in the city and the facll- itles for handling business are second to none. Farther down on Fulton street, just'" bepond the public buildings, stands the' home of the National City Bank. The building Is a modern one In every respect and Is an addition to Brooklyn's bank buildings in recent years.

On Court, street occupying offices in the Garfield Building, is the Nassau National Bank, the largest institution of its kind in the borough The Nassau has held this repu-. tation for years and there does not seem to be any prospect of any of the other banks in its class getting up to it. Some Fine Trust Company Establishments. There are many fine trust company buildings in tho lower part of the ough. The most prominent of these is' the new edifice of the Peoples Trust Com-, pany on Montague street.

The building1 has been opened not quite two years and is one of the finest bank buildings not only in Brooklyn but in the whole country. Diagonally across from the Peoples Trust and on the corner of Clinton and' Moutague streets is the building of the the several transactions which have recently been consummated form a good indication of those locations which investors are likely to regard as strategically important. 1 Diversified Characteristics of Down-, town Brooklyn. Downtown Brooklyn comprises a wide large importance as business and com-merefal thoroughfares. The past few months 'have seen the commencement of this general expansion diversity of real property, embracing nokof the business in the widening of Livingston street, and in the operation only the most important business build of surface cars upon it, thereby diverting a part of the traffic from Fulton street, I and at the same time creating a new I avenue, that it must be prophesied is to I become of large Importance as a com-l mercial mart.

Of still greater signifi- ranco has been the opening of the new dential neighborhoods to be found in the Hill section, the building of large apartment houses of the better type will unquestionably ensue upon a broad scale. In so far as the Heights and Park Elope are concerned there is every reason to believe that the present characteristics of these two fine residential sections will not undergo any appreciable change other than that there will continue to be erected a larger number of apartment houses which gradually must supplant some, of the less costly private dwellings. Tho opening of the East River tunnel has already had a marked effect upon the Park Slope, the Heights' and tho Hill section in stimulating the demand for living accommodations, and it 'is difficult even at this time to meet the demand for the more moderate priced dwellings and clearly established through the success of the Battery tube and the great demands whluh are already being made upon this artery betweeu Brooklyn and Manhattan. The Broadway-Lafayette subway, the extension of tho existing route to Flat-bush and the provision of another East River tunnel would have the effect of widely extending the rapid transit zone In this borough, and more particularly would give to nearly every part of Downtown Brooklyn a subway within walking distance. The assured pre-eminence of Brooklyn as a residential community is largely associated with the recent development of Its transit facilities, and with the growth that is now to become more rapid than ever before it will unquestionably bo essential to the best interests of the ings of the borough, but residential localities that are predestined to enjoy an ever increasing popularity because of their proximity to Manhattan and the fact that no transportation improvement intended for the whole borough shall fail to enhance their present attributes.

That part of Brooklyn In the vicinity of Borough Hall is unique in that It embraces within the very heart of the pulsating area of financial and commercial activity residence sections that are distinctive and representative of the best home life. In a consideration of the la scarcely any transit or ouier ment that is projected for this borough the effect -it which will not first be felt In the downtown business and adjacent residential sections. While even the soberest consideration It thi realty outlook for Brooklyn must fonvince an open mind of the tremendous possibilities which it affords, It is true that more has been accomplished toward this end within the past twelve than during any corresponding period in the history of the borough, unless it be that which immediately followed the opening of the Brooklyn Bridge. The primary benefit to be da-rived from the wider appreciation of facts that lone ago should have been generally realized is to place Brooklyn in a much necurer position from an Investment standpoint than ever before, and to hold out greater inducements to capital for the making of loans here than any amount of argument in the past could have accomplished. Difference Between Past and Future Realty Activity.

Such periods of real estate activity as the borough has seen since consolida MatDush avenue extension, Detween rui-lon street and De'Kalb avenue, with the placing upon this block and in tho immediate vicinity (of several important financial and business enterprises. Just how far this muin approach to the Manhattan Bridge shall advance as a business thoroughfare is a matter of specula- BATTERY TUNNEL, FIRST STEP IN INTER -URBAN RAPID TRANSIT; tion have been largely confined to the speculations and investments of local operators, reinforced by capitalists from other states who havo largely accepted the arguments placed before them at their face value and without ascertaining by personal observation ihe accuracy of the statements regarding Brooklyn that have been made. The mere fact, however, that; there have some millions of capital drawn from all parts of the country to Brooklyn within the past few years indicates that the perspective gained from a distaneo has formed an exceedingly truthful forecast. The great difficulty for years has been to convince capital close at hand of the and the unparalleled opportunity for. investment which it entails.

closer physical connection between Manhattan and 'Brooklyn accomplished by the East River tunnel and the extension of the ubway system here; the optical demon- Rtrat nn nf tho nrntrpusa that 1 he ntt made upon the Manhattan Bridge and the authorization the Fourth avenue subway, together with the extension of the business area In Manhattan, have all been instrumental factors in drawing the attention of Manhattan capital to this bor ough and in effecting a realization of tno 1 truth that before many years shall have nuKim i rust uompany, a handsome -structure in which tho company occupies, the second In the basement of are also located the offices of the Franklin Safe Deposit Company. On the corner of Clinton and Montague streets Is also the home of the Brooklyn' Trust Company, one of the oldest bank- Ing institutions In the borough, while in; the new buildings on the site of the old Academy" of Music is tho offices of the Home Trust one of Brooklyn's'; youngest financial institutions. Next door' to the Home is the big. building of the Lawyers Title Insurance and Trust Com-; pany of. only recently built.

The Long Island Loan and Trust Company! occupies one-half of the ground floor of-' the Temple Bar Building on the CornerWfi Court and Joralemon streets, while the home'of the Kings County Trust Company. St Boerum place and Fulton street Is one. of the old landmarks of the borough. The Nassau Trust Company, one. of the' prominent Institutions of the Eastern District section, has a branch office one block away fromhe Kings County at the corner of Red Hook lane and Fulton street.

One of the more recent additions, to the banking buildings, of tbo borough is-the. branch of the burgh Trust Company, opposite the Bor-; ough This building Is one of the; finest bank structures in the city. Savings Banks With Deposits of $112,000,000. Tliere are in the downtown section six' savings banks operating. These institutions have at the present time, deposits aggregating held by approxi- mately depositors.

The largest one of these banks in the lower section, of the borough Is the-Brooklyn Savings i-Bankj, which -occupies a handsome building at the corner of Clinton and Pierrepont streets. The depositors exceed 70,000 and its deposits are in the neighborhood of $45,000,000. The Dime Savings Bank at the corner of Court and Remsen street Is; also a big Institution, it having deposits of about $35,000,000 and a total of about 71,000 depositors. It is quite probable that the Dime Savings Bank will move to it pew home on Fulton street and DeKalb avenue some time this year. The South, Brooklyn Savings Bank, which is located at the corner, of Atlantic and Clinton streets, is also one of the largest In tho downtown section, having close to 36,009 depositors and total deposits of about $21,000,000.

The other savings banks op- Subway Entrance at Borough Hall. Partial View pf Borough Hall Subway Station. elapsed Brooklyn will have a greater residential population than any other borough, Lending Institutions to Invest Heavily Here. The investments of many of the larger institutions that loan money upon bond and mortgage, as well as a considerable percentage of trust and other funds, Have in the past been restricted solely to Manhattan property for -the reason that it was believed that only in that borough had real estate attained to such a standard of values as to make its security unimpeachable. Tills view has, however, been greatly moderated, principally within the past year, and a flow of capital from all sources in an unprijr cedented quantity is to be one of the first of the indications that Brooklyn has finally come into Its own and that values here are In the future to be recognized as based upon as firm a foundation as in Manhattan itself.

The great life and fire insurance companies, the savings and other institutions controlling vast aggregations of wealth are now looking toward Brooklyn with a livelier interest than they have oyer before shown and the capital necessary to the proper financing of the borough's development will be forthcoming as the direct outcome of tho realiza- past few years has been remarkable. iSven the serious condition, which came up last fall when there were so many failures did not result in all of this- expansion being lost, but it did at the time affect business in no small Just at present the banks are recovering from this period of depression and It Is expected that the institutions by the beginning of the summer months will show-little contraction in deposits as compared with the same period last year. When the financial crisis was at its eight several months ago and banking failures throughout, the country were numerous, Brooklyn shared the burdeD with the other prominent financial centers, and some of the most Important banking Institutions In the borough found it necessary to dlose their doors. Sine that time only one has reopened, and that one was the smallest of the several that closed. Recent reports from trie receivers who improvements of the past year, the one which will naturally stand out as of first consequence is the completion of the East River tunnel and 'the extension of the Manhattan subway system and this has been equally as portentous in its effect upon the residential sections of downtown Brooklyn as upon the business urea.

Expansion of Business Area. It is generally admitted that within a very short period the business and financial institutions of Brooklyn will be largely augmented, and that the demands of a growing population will call for the conversion of the older type of office buildings into the modern skyscraper. It. is also true that the exigencies of business will result in a considerable expansion of the commercial and office building area, and that several streets which are at. present insignificant in this respect will, within a com-partivcly short tlmo, have become of PRINCIPAL FINANCIAL STREET QF BROOKLYN, MANHATTAN BRIDGE TOWER, BROOKLYN SIDE North Tube Battery Tunnel Under Middle of the River.

i eM bgj lW' tion, but it is not improbable that Its use for thiK and kindred purposes will be considerable. New Commercial Centers. Suffice it to say, however, that Flat-bush avenue, in the vicinity of Fulton street, both to the north and south, is already assured of prominence as a business avenue, and that at the junction of the two streets, there is no longer any question but that a new business center will be created. That this result is confidently anticipated is shown by the many heavy investments which bavo taken place upon the Fiatbush avenue cxten-t sli n. The Realty Associates havo probably been the heaviest investors in property there, and in addition to the outright transfer of many large parcels, sev- 1.

1 -'llK? If ii. Mr xH I 1 gd ill Greater City that adequate provisions be made for the future needs" of the borough In this respect. Indeed, the officials of the city at large are rapidly reaching the conclusion that In the migration from Manhattan that has come about it will be absolutely necessary, in order to retain the present population within the Greater City, to adequately meet the needs and requirements of this borough. Effect Upon Land Values. Thus in addition to the great increase in transit facilities for Downtown Brooklyn already provided for, it is entirely probable that the authorization of some, if not all of those subway routes that have been projected, will soon be obtained.

It can accordinr' be seen that the future of Downtown both in its residential and business progress, Is well nigh limitless. With the definite knowledge that population and accessibility to the business centers form the creation of land values, it is indeed difficult to hazard a prophecy as to the extent of the enhancement that must ensue In theso sections within a comparatively brief period. But Downtown Brooklyn, is not dependent upon one factor alone, for the promised revolution in land values. Nowhere in the greater city are there residence sections combining the many natural advantages of the Heights, the Hill and Park Slope are to be mentioned with them In point of accessibility to the business center of Manhattan. With these attributes Is the fact that in each of these sections living accommodations of every type are to be round in which a notable saving In rentals or in purchase cost as compared with similar dwellings and apartments, while the rental lists of brokers throughout the whole of the area affected by the Battery tunnel are at this early season of the year being rapidly diminished.

The full effect of this improvement will not, however, be felt upon the Hill and on the Park Slope until the service is extended to the Long Island Railroad depot, at Flatbush and Atlantic avenues, when the subway will then be within walking distance of a much greater area than at present. It is expected that by June this extension of the interborough subway system wili be in operation. Further Improvements Projected. Nor must the influence of other projected improvements upon the future of Downtown Brooklyn be overlooked, more specifically as they relate to the further growth and upbuilding of the present residential sections and the formation of new ones. Downtown Brooklyn ultimately is destined to be honeycombed with subways that shall give-even better facilities than' those now enjoyed.

With the enormous increase in the borough's population accompanying the completion of each new means of Interborough communication, the necessity of adopting the most comprehensive scheme for subway provisions is forcefully presented. In addition to the Fourth avenue subway, work upon which will soon be begun, there are a number of other suggested routes that will have, their Yirigin in Downtown Brooklyn, and which, if determined upon, must exert a most impressive bearing upon the development of this part of the borough and upon the real estate situation in general. The prospects are undoubtedly good for the early authorization of the Broadway-Lafayette avenue subway and the extension of the present subway from its terminus at the- Long Island Railroad station, through Flatbush avenue, to the Willink entrance of Prospect Park. In ,3 -i A Mr i eral long leases and leaseholds have also been recorded. Another avenue upon which investments i have quietly but consistently aken place recently, and which may logically be ex-j peeted to progress in importance for I business purposes is Myrtle avenue, while 1 to tho north of Fulton street, as far as i'the water front, the expansion of commercial enterprises has been general and is marked by the construction of new and important buildings for manufacturing and other industries.

Changes in Kesidence Sections to Pro-' vide for Increasing Population. That the opening of the new Manhattan Bridge will make such demamts upon the present residential sections of Downtown hiooklyn- as to necessitate the practical rebuilding of a large area to the north of Fulton street is another of the far reaching realty developments, tho beginning of iiieh has alrcidy taken place. A majority of the streets north of Fullon street at present contain many old private dwellings and small frame and brick flats that wili surely be superseded by modcrn apartments and tenements capable of housing many times the pres-nt population of this part of tho borough. I It is equally true that to the east of Flatbush avenue, in the more select rcsi- t'JL wA. a JU "4L 1 9 I ri, I'1 M.

I apartments in Manhattan and the Bronx i may be effected. The same principle applies to invest-' ments in income bringing biisineps an i apartment properties that offer induce- meats to capital both in small and large amounts as cannot bo longer disregarded. A comparison of values with Manhattan addition to- this the need for another i tunnel under the East River has been Montague Street, Fiom Csuit..