A week or two ago we quoted the statement of an old resident of Shanghai to the effect that property conditions in Shanghai to-day bear a striking resemblance to one period in the eighties when land was greatly favoured as an investment. One phase common to both cases seems to be the number +f offices to be let on the Bund, and arguing by analogy our informant believes that before very long, as in the eighties, there will be more offices than tenants for them. This has led to an inquiry as to rents of Bund premises, about which some interesting rumours have been current in these past few days. One was that already difficulty was being experienced in finding tenants. This proves not to be altogether correct, but the case is something like this, that at rents current a year ago tenants are now few and far between. except for the ground floors of these buildings, which are in a class by themselves, it seems that the average rent for a Bund office is now about two taels per square foot per annum. At one time, apparently, it was thought that as much as four taels would be paid, but recent events in the business world have operated against such a figure except for the ground floor, which seems to be worth that. One opinion expressed is that the figure of two taels will ultimately come down still further when more of the new structures have been completed, and that ultimately proprietors of Bund buildings, who have selected these sites for the benefit of their own particular business, may not get more than a two per cent. retwn on their capital so far as rents are concerned. Many months, however, will elapse before the full effect of all the new construction will be felt, and much may happen in the meantime.
Text read from the printed page and cleaned; old type leaves the occasional error.