| OCR Text |
Show Enterprise Review Page lib FNMA Yields Continue Decline declined for the seventh straight auction as the Federal National Mortgage Association issued $104.5 Yields h commitmillion in ments to purchase both goverfour-mont- and conventionally financed home mortgages. Oakley Hunter, Chairman of the Board and President of FNMA, said the corporation nment-backed issued million $81.2 in commitments on government-backe- d mortgages at an average yield of 9.044, which converts to an average price of 97.95 for 8 34 percent FHA VA mortgages. (The average in the previous auction was 9.067). The range of accepted bids yesterday was 9.010 (98.19) to 9.118 (97.45). FNMA received 216 FHAVA bids totaling $126.9 million and accepted 180 bids, including 131 noncompetitive. In the conventional auction last week, FNMA issued $23.3 million in four-mont- commit- h ments at an average yield of 9.141, down from 9.166 on February 9. The range of accepted bids was from 9.082 to 9.250. FNMA received 125 conventional bids totaling $44.0 million and accepted 90 bids, including 64 noncompetitive. The next auction will be March 8, 1976. In other news, Hunter announced that there were $55 million worth of FHA project mortgages sold with a yield to the investor of 8.875 percent. There were no sales under the poW ' oauess. A oms? ME sbembr; vmr of to iKncm seoxaivr TYg OK OK A common stock of 22 cents a share, an increase from the 20 cents a share paid quarterly since May of 1975. The University Village in Park City has come closer to a reality as a letter of commitment from the University administration was secured by Western Woodlands, marketing firm for the village. Although negotiations are still underway for obtaining have on campus, Keiser said. Whereas now our Park City seminars, held at condominiums there, cost what for many is a prohibitively high price, the proposed center would house students in at much lower prices, Keiser financing, University and continued. He said such proWestern Woodlands spokes-peopl- e grams as updating classes for say they expect signed lawyers, general interest proconfirmation of agreement by grams on subjects like Ghost investors this week. Towns of Utah, or art classes The proposed center would for the local community would provide dwelling units for be likely candidates for the students and faculty attending center. classes, workshops, seminars The proposed center would or conferences sponsored by have about ten small classthe University. rooms, as well as the 350-seThe Park City site would be auditorium. We dont have the money designed as a learning center, said George Keiser of the yet, Keiser cautioned, so Universitys Continuing Edu- things could very well cation Division of Conferences change. and Institutes. A proposed The Park City Planning theatre would seat up to 350 Council gave preliminary appeople, and would have ele- proval to the project, claiming vated seating. The audio- it would bring needed summer visual equipment .would be tourist revenue into the town. comparable to the best we at phat mmswo VO iffl (&Em pace with the national opportunities to invest in new apartment units. Office space rent will continue to climb. The State Building Board figured its rent, with parking and utilities h at the University Club ing was over $7 per square foot. The Bureau of Land Management moved in after the State School Board moved out and so it can be presumed that the Federal Government is paying the University Gub close to that figure. Yet for the Feds that isnt unreasonable when you realize that in many other cities they pay close to $8 per square foot. The first office project at the Salt Lake International Center will boast rents of more than $6.60 per square foot-a- nd thats for space outside the Build-althoug- increase in personal income (6.2 percent for Utah againsc 9.4 percent nationally accord- ing to the most recent issue of Business Week) the rent barrier is due to be broken. . Look for $200 per month apartments. And it wouldnt surprise me to see the office space rent ceiling pushed to over $7.00 per square foot annually. The vacancy rate for apartment houses is below 2 percent by all indications. The downtown area. prices for single family housOf course, escalating utility ing on the market in Salt Lake County has continued to rise rates are bound to push the dramatically. Forty thousand . rents upward everywhere. But dollars is not uncommon any- - the reason rents will go up this more for a couples first home, year is that money is becom-Thes- e two elements can only ing more available for apart-resuin higher apartment ment and office projects, rents. And higher rents mean When money becomes avail-mor- e units will come on the able, developers must make market. the cap rates work in their The lending institutions 1 favor to get their projects talk to look for a breakthrough financed with minimum upin apartment construction front investment. With conloans this spring and privately struction and interest costs predict financing to be high the only thing that can arranged at reasonable rates, give its rents. And this year rents will Developers are poised and investors should look for more give. single-bedroo- m lt CF THINK FAVORS He RUSSIAN TiVflJFlATIU ? Chuck Akerlow The dividend will be This will be a year in Utah of payable March 25, 1976, to burgeoning rents and lease stockholders of record on rates. Look for apartment March 8th. house rents to go up and office space rents to increase. There is substantial opti- mism in the economy here and wages havent kept Marketing Firm Secures Commitment for Project MOST AKUT AMERICA Investment Summary 0O51WSS WCHPLOWEUT? mou S0? which as OF WUR corporations sales program for packages of FHAVA home mortgages. The current maximum yield to investors under this program is 8.750. The Board of Directors of the Federal National Mortgage Association today voted a quarterly dividend on FNMA um co wo iwume GO T flavfcY & FREE" MORF BACK" IMFCRIAUT TeRmr'D MAk1k5 AC IT VP. Pragmatic Dogmatics II Buckley Versus Valeo, Part by Kent Shearer Last week I noted certain practical anomalies in the United States Supreme Courts landmark decision in Buckley v. Valeo. The Court expressly struck down all campaign limitations on candidate, individual and group expenditures, but upheld restrictions on contributions, and the conflict poses extreme pragmatic problems. This week I ask you to consider two matters which the Court ignored. One was raised in Buckley , but avoided by the justices. The other apparently was left unspoken by the Buckley plaintiffs. Both have constitutional consequences. I. Contribution of Work Federal election laws limit monetary or in kind contributions to aspirants for office. They do not restrict the amount of volunteer or underpaid time a worker may devote. The rationale for the former stricture is that, once elected, an officeholder might be improp- - erly indebted to a person who gave him in excess of $1,000. But, asked the Buckley plaintiffs, wouldnt he be even more subject to the influence of someone who - for free or for nominal pay - organized and affected literature distribution every weekend at each shopping center in his states capital city? Ones common sense compels that the question receive an affirmative answer. Constitutionally, the differentiation seems patently unreasonable. At least one intermediate federal court judge thought, and said so. The Supreme Court did not deign to deal with that particular issue, perhaps because it was unable to cope with it. The Courts silence, however implies a negative response: i.e., that an obviously irrational classification is legally rational. II. Federal Corporate Free Speech ike its counterpart in Uta- h- law-unl- traditionally has imposed severe restrictions on corporate free speech. Corporations cannot make any contribution to a federal candidate. Some Democratic congressmen presently push a proposal to cut off pplitical education by corporations directed to ranks beyond their n stockholders and employees. most in areas, corporations are entitled Yet, to the same constitutional protections as individuals, e.g. government may not take their property absent due compensation. The Court cannot be faulted technically for its failure to speak on this matter. The issue was not before it. Some hint of its inclinations on the topic, however, would have been helpful. The Supreme Court, as I observed last week, apparently lacks the ability to assess federal election statutes from the vantage point of the real world. The result is that Buckley imposes strained, artificial rules upon political endeanon-unio- vors. The bar is puzzled. The public is |
