USA > California > San Diego County > San Diego > History of San Diego, 1542-1908 : an account of the rise and progress of the pioneer settlement on the Pacific coast of the United States, Volume II > Part 15
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HISTORY OF SAN DIEGO
project, but at this writing nothing tangible has arisen from his persistent and praiseworthy efforts. These failures did not discourage other attempts, the most notable of which was the movement organized by J. J. Simons for the purpose of having the city vote bonds and construct the road as a municipal work.
It was evident enough to those who followed the course of these futile efforts that the powerful railroad interests of the United States were not ready to co-operate in giving San Diego more facilities of transportation, and that they were not dis-
CHARLES L. WARFIELD First President of the Realty Board
F. L. HIEATT First President of the Commercial Club
posed to encourage others to do so, nor even to permit them to do so, if they could prevent it. This sinister influence always lurked in the background, and on some occasions was exposed to the plain view of those engaged in promotion. The inference to be drawn from these facts is by no means discreditable to San Diego. On the contrary, the opposition of these powerful interests is the best evidence of the importance of the port. Nature fashioned it for a strategic point in Pacific Commerce. Its full development in advance of absolute necessity might seri-
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CAUSE OF OPPOSITION
ously affect other ports, revolutionize steamship routes, and disturb a condition of equilibrium which has been painfully worked out by the transcontinental systems. Under such cir- cumstances, it is by no means strange that the financial power which so largely rules the destinies of the United States has per- sistently opposed a direct railroad outlet for San Diego.
Though this opposition has proven effective so far as the actual construction of a railroad is concerned, there can be no
ARTHUR COSGROVE
Prominent for many years as a merchant and later as promoter of suburban devel- opment
M. HALL
Who stands in the front rank of large real estate operators
question that the San Diego-Yuma project has made decided progress in an educational way, both at home and abroad, and that the day of its realization has been brought nearer in con- sequence. Neither can there be any doubt that immediate. advantage has resulted in other ways. The railroad agitation furnished excellent excuse for a revival, not of the boom, but of an aggressive real estate movement and of organized efforts to obtain new and wide publicity for San Diego and to inaug- urate a new era of improvement, public and private. Without
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HISTORY OF SAN DIEGO
doubt, much of the present impetus which is carrying the city forward may be traced to the fact that the most enterprising elements were united in the summer of 1901 in what for some time appeared like a hopeful effort to obtain better transpor- tation facilities. In this connection, it seems worth while to mention another great undertaking which was widely exploited throughout the United States, though it has not materialized as yet. This is the Pacific Steel Company, which was incor-
CHARLES L. JOSSELYN
Who has borne an important part in civic, political and real estate movements
I. ISAAC IRWIN A leader in commercial and public affairs
porated for $100,000,000, and which proposed to build exten- sive works and employ thousands of men at National City. General H. G. Otis, of Los Angeles, became president of this company, and a great deal has been done looking to the acqui- sition of coal and iron properties. Whatever the final out- come, it is the testimony of those who have followed the sub- ject most closely that the discussion of the proposition to man- ufacture steel on the shores of San Diego Bay proved a most valuable advertisement for the city.
E. STRAHLMANN
AUGUST SENSENBRENNER
J. P. HADDOCK
MELVILLE KLAUBER
A GROUP OF MERCHANTS
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HISTORY OF SAN DIEGO
The work of Katherine Tingley and her followers at Point Loma must certainly be acknowledged as one of the contrib- uting factors to the new era of growth. It involved a direct outlay of hundreds of thousands for the purchase and improve- ment of property, and for the maintenance of a considerable community within the city limits, which increased the volume of local business. It added a unique and interesting feature to 'the list of attractions for tourists, and lent new color to the social
U. S. GRANT HOTEL IN COURSE OF CONSTRUCTION, JUNE, 1907
life of the place. Drawing its recruits from many different countries, and distributing its periodical literature throughout the world, its value as an instrument of publicity for the city and its surroundings must be regarded as very large indeed. Moreover, Mrs. Tingley extended her work and investment to the city proper, purchasing the principal theater and establish- ing branches of the Raja Yoga School there and elsewhere. The fame of the Point Loma institutions has strengthened with each passing year, as the beauty of the spot has increased with each new improvement and with the growth of its trees and flowers, and there can be no doubt that the organization over which
E. J. CARTER
GRANT CONARD
I. D. ROGERS
E. J. SWAYNE A GROUP OF REPRESENTATIVE REAL ESTATE MEN
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HISTORY OF SAN DIEGO
Mrs. Tingley presides is to be reckoned as a permanent factor in the prosperity of San Diego.
The faith of John D. Spreckels in the future of the city, as evidenced by the widening scope of his enterprises and by the constant extension of his own power in their control, had much influence in strengthening the faith of others. The establish- ment of Tent City in the summer of 1901, and its continuance in each succeeding summer attracted thousands of people and put large sums of money in circulation. The improvements in the Southern California Mountain Water System were far more important. They solved the problem of water supply for a city of at least 100,000, thereby giving security to every other inter- est, and largely increasing the possible sphere of real estate operations. The street railway system was also extended wher- ever conditions justified it. The retirement of E. S. Babcock from various Spreckels companies was a fact of some historical significance. So far as those enterprises were concerned, it marked the passing of one influence which had been powerful in matters of vital public concern for many years, and signal- ized the growth of another influence and the consequent cen- tralization of control in the hands of a single individual or fam- ily. Such is the inevitable tendency of great wealth under intelligent, control. If there are those who deplore the tendency on broad economic grounds, there are few who will deny that in John D. Spreckels San Diego has a private monopolist who is kindly, liberal, and reasonably responsive to popular demands. He has done much for the city- much which would not have been done without the aid of private capital, much which pri- vate capital in other hands might have done less promptly and wisely.
Two other powerful builders of the city in recent years are Ralph Granger and U. S. Grant, Jr. Both of these men invested large sums in the improvement of the business section at a time when something of the kind was vitally necessary to sustain the forward movement. The erection of the Granger block at the southwest corner of Fifth and D Streets was undertaken at a somewhat critical time, when it was not quite certain that prosperity had come to stay. This large invest- ment in a modern store and office building gave strength to the real estate market and encouraged much other building. Mr. Grant's determination to construct a great hotel on the site of the old Horton House produced a similar effect, but upon a much larger scale. The city had long stood in need of a hotel which should rank with other splendid hostelries in Southern California. The location opposite the Plaza was generally rec- ognized as ideal, and for many years the hope had been enter-
MARCO BRUSCHI Located, 1869, and one of the city's oldest merchants
A. KLAUBER
Located 1869, and became identified with great mercantile enterprises. Steiner & Klauber, Steiner, Klauber & Company, Klauber & Levi, Klauber Wagenheim & Company- these names have been foremost in the business life of the city for nearly forty years. Chairman Board of Supervisors, 1878-80
MERCHANTS FOR NEARLY TWO SCORE YEARS
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HISTORY OF SAN DIEGO
tained that someone would utilize it for this purpose. The undertaking required not only a very large investment, but a generous confidence in the future of the city. Mr. Grant hit upon the happy thought of making the building a monument to his father and thus decided to call it the U. S. Grant Hotel. The destruction of the Horton House began in July, 1905. The first bricks were removed on the evening of July 12th, by Messrs. A. E. Horton, E. W. Morse, and W. W. Bowers, who had participated in laying the corner stone more than thirty years before. These pioneers were cheered by thousands, assem- bled in the Plaza for the purpose of celebrating "The Freedom of the Isthmus" from the monopoly of the Pacific Mail Steam- ship Company-a celebration that was somewhat premature so far as practical benefits to San Diego were concerned.
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LEVIS BRINTON'S HOUSE Corner Second and Walnut Streets
The growth of public utilities, the extension of school facil- ities, and the really remarkable movement in the building of new churches have all been sketched in other pages. These things, of course, were fruits of the new prosperity and of the increased population which came with it. The number of inhab- itants was estimated at 35,000 in 1906, and various items of statistics which are available indicate a growth of nearly 100 per cent since the national census of 1900. Thus the postoffice receipts rose in five years from $39,151.85 to $64,190.33; the bank deposits from $1,830,923.60 to $5,388,518.66, and the build- ing permits from $123,285 to about $3,000,000.
The real estate market, which had been dull for years, has shown constantly increasing activity from 1901 to 1906, the
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WORK OF THE BUILDERS
annual transfers increasing from 2,716 in the former year to 9,223 in the latter. Much of this activity was due to specula- tion-precisely how much it would be interesting to know- and in this speculation local citizens took a considerable share. But very much of the buying represented a genuine demand for homes, and much of the investment was that of capital drawn from outside. Never was more persistent, aggressive, and brilliant work done in the interest of an aspiring city than that performed by some of the larger real estate interests dur- ing this new era in San Diego. The Ralston Realty Company,
MRS. MITCHELL'S HOUSE, FOURTH AND NUTMEG STREETS
of which D. C. Collier is president, and the Folsom Brothers Company, under the management of O. W. Cotton, furnished notable instances of enterprise in this respect. They opened new tracts to development, inaugurated daring plans of im- provement, and advertised conspicuously in publications of the widest circulation. The degree of attention thus attracted to San Diego brought benefits in which everybody shared. The operations of the Bartlett Estate Company were also very intel- ligent and successful. These, as well as other interests of less magnitude, did a kind of work for the city which ranks them among its builders.
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HISTORY OF SAN DIEGO
The work accomplished by Ed Fletcher and Frank Salmons in the San Luis Rey region in connection with great invest- ments of Los Angeles capital, while not related directly to the growth of the city, is to be regarded as one of the strong influ- ences in strengthening confidence in its future, both at home and abroad. Furthermore, the development of power on the San Luis Rey will have a very direct relation to the future of manufacture and transportation in the city and its surround- ing country, while the elaborate improvements made at Del Mar must increase the vogue of the whole San Diego coast as a sum- mer and winter resort.
Real estate activity and general prosperity engendered a new public spirit, and this furnished the inspiration for many new organizations aiming to improve the conditions of civic life. Of these organizations, none were more useful than a series of neighborhood improvement clubs which began with the homely task of cleaning streets and yards and then went forward to more ambitious undertakings. One section of the city after another took up the work and the results were truly wonderful. Compared with conditions which had formerly prevailed in some localities, San Diego began to appear like a veritable Spot- less Town. Many of the clubs have kept alive over a long period, while others wearied after the first enthusiasm passed. Organizations of a different character are the Realty Board, the Commercial Club and the Fifty Thousand Club. They do a useful work of promotion.
Another and different evidence of growth is seen in the lib- eral character of recent amendments of the city charter. The most important of these provide for the initiative, referendum, and recall. The adoption of these provisions placed San Diego among the two or three most advanced municipalities in the United States in the matter of government. The first use of the initiative was for the purpose of closing the saloons on Sunday, a reform which had been defeated for years by the city council.
San Diego was in the full swing of its new prosperity when the news of the destruction of San Francisco by earthquake and fire was received on the morning of April 18, 1906. In many minds the first thought was not that San Francisco alone, but that all California, had been struck down, and that the end of San Diego's progress had, perhaps, been reached for a time. California had formerly had an "earthquake reputation," which had been patiently lived down after many years. Had it now been re-established in a few short hours of shock and flame, and, if so, would San Diego suffer in consequence ? Many feared that such would be the case, and the prices of
Showing Steele Block and Johnson Building, the latter containing the Sixth Street Bank CORNER OF SIXTH AND H STREETS
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HISTORY OF SAN DIEGO
realty actually went down something like 15 per cent for two or three weeks. The market remained very dull and so con- tinued for two or three months. When the trade returned to its normal condition prices quickly recovered and resumed the upward tendency which they had shown before the disaster.
No community of the United States was more prompt than San Diego in organizing relief activities and sending relief to the stricken people of San Francisco. Under the superb man- agement of Mayor Sehon, committees were set at work, and funds and provisions collected. The sum of $25,000 was imme- diately contributed in cash, besides large quantities of supplies.
The real prosperity of San Diego during the early years of the new century finds its best illustration not in new hotels and business blocks, not in street railway extensions nor in rising prices of real estate, but in the number and beauty of comfortable little homes which have been built throughout the length and breadth of the city. These have multiplied with sur- prising rapidity, covering the sunny slopes, extending out upon the mesas, and creeping well down toward the water front. They are the prophecy of the San Diego that is to be.
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A GLIMPSE OF SOUTH PARK
JNO. S. HAWLEY
Formerly a manufacturing confectioner in New York City; now a resident of San Diego.
F. T. SCRIPPS
Owner of the newest, most modern fireproof building, whose confidence in and foresight con- cerning San Diego's future has been shown by his success and investments.
F. T. SCRIPPS BUILDING Sixth and C Streets
The construction of this building in 1907 marked the advance of the business district to the north and was a powerful factor in influencing the growth of Sixth Street as a com- mercial avenue of the first class.
CHAPTER VI
JOHN D. SPRECKELS SOLVES THE RAILROAD PROBLEM
HE foregoing chapter, written in the early days T of December, 1906, reflected the condition of San Diego as it was up to the morning of Fri- day, the 14th day of that month. Then a dra- matic thing occurred which changed the entire aspect of affairs. Having gone to bed the night before without the slightest hint of any forthcoming announcement, the whole city awoke to behold the following front page of the San Diego Union :
Che San Diego Union
$2.725,660
RAILROAD FROM SAN DIEGO TO YUMA IS NOW ASSURED
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Line Will Be halt, and Owned by Spreck- * Interests
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Will Pass Through the Rich and Fertile ha- perial Valley
· IS CAPITALIZED FOR SIX MILLIONS
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Will Bring Trade of the Great Southwest to This Port
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COUNTRY WELL EDIENTY
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WISH GLATTŲ
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Ardrika of Incorporatea
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NAMED SAN DIEGO AND ARIZONA RY.
Articles of Incorporation **** **** * * FON Yesterday with County Clerk
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ENCORPORATION PAPERS FILER
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FRONT PAGE OF SAN DIEGO UNION, DEC. 14, 1906
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HISTORY OF SAN DIEGO
None but a San Diegan can comprehend what this meant to the future growth of the city, nor what it suggested in the way of immediate gain to owners of real estate. The ambition for a direct eastern outlet dates back to the early thirties, more than three-quarters of a century. The first organized effort, expressed in the incorporation of the "San Diego & Gila," began in 1854. The success of the citizens in securing the extension of the Santa Fé system during the eighties did not meet the demand for a direct eastern outlet, and was disappointing in other respects. The great effort begun in the summer of 1901, and persistently pushed in every channel of possible relief, had apparently accom- plished nothing more than educational results. The year of 1906 had indeed been one of the most prosperous in San Diego history, yet as the year drew toward its close the prospect of a direct eastern railroad outlet appeared as remote as at any time during the previous decade. In fact, the most recent develop- ments went far to convince the public that the city was helpless in the grasp of a transportation monopoly which could defeat, and meant to defeat, as it had defeated, every aspiration in that direction.
From this situation the city was suddenly delivered by the mandate of the one man who had sufficient capital of his own to build the road, and sufficient interests at stake to justify him in doing so. And it is a high tribute to the character and reputa- tion of John D. Spreckels to say that his simple word was accepted by all as a sufficient guaranty of the performance. The authoritative announcement of his purpose in his own newspaper constituted a contract with the entire San Diego public and the public accepted it as such. The San Diegan-Sun, which is entirely independent of the Spreckels interests and has opposed them on many occasions, unquestionably voiced the sentiment of the entire community when it said :
The Sun feels at liberty to say what the Union and Tribune, through modesty enforced by personal ownership, are unable to say, that San Diego today lifts its hat and gives voice to an unrestrained cheer for John D. Spreckels. To Mr. Spreck- els is frankly given the credit for securing to San Diego what has long been San Diego's most urgent need-a railway direct to the East.
While as a matter of course the fact is generally appreciated that the road is not yet built, and that so far only incorpora- tion papers have been filed, this move made by Mr. Spreckels and announced by Mr. Spreckels's newspaper, is accepted by San Diegans unanimously as meaning, substantially and capa- bly, that all necessary preliminary plans have been perfected by Mr. Spreckels, and that the railway line now incorpo- rated will be constructed as rapidly as a work of such gigantic proportions can be executed.
JOHN DIEDRICH SPRECKELS
Whose identification with the business interests of San Diego began with the organiza- tion of the Spreckels Bros. Commercial Company in 1886. He acquired the interest of W. W. Story in the Coronado Beach Company and its allied corporations in 1887, and, later, became sole owner of the properties. In 1892 he and his brother, Adolph B. Spreckels, ac- quired the street railway system, and in 1895 he purchased a half interest in the Otay Water Company, which evolved into the Southern California Mountain Water Company with its extensive reservoirs and system of distribution. The Spreckels family is now virtually the exclusive owner of all these great business interests, together with a morning and evening newspaper and valuable real estate in city and country. Such vast investments in San Diego and its environs amply warranted the course of Mr. Spreckels in entering upon his latest and greatest undertaking, the construction of a direct eastern railroad outlet from the seaport to the rich valley of the Colorado River, and beyond.
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HISTORY OF SAN DIEGO
Big enterprises undertaken and successfully accomplished by Mr. Spreckels here and in the central portion of the State give warrant to the conclusion that the plans now announced will be carried to equal success, and that the eastern outlet so long hoped for will be realized as speedily as possible.
It will not be necessary to explain to old San Diegans what the construction of such a road will mean to this city and country, for all this has been figured out many times. It is doubtful, however, if even the closest student of the situation can appreciate the final limit of the results of such an enter- prise, as it is given to no one to see all the details of the fu- ture. One result plainly visible is that this move will break, and break forever, the antagonistic power of the combined railway interests, which for years has been exerted against San Diego. Not only will this adverse influence be broken, but it will be forced under the new conditions to become a friend- ly factor in the upbuilding of this port.
This turn in affairs will be realized no matter what corpo- rate relations Mr. Spreckels may establish. If he engages in the business independently, as he and his brother and father did at the inauguration of the San Joaquin enterprise, then it will follow that the Southern Pacific will be forced to build here to protect itself from competition.
If Mr. Spreckels allies himself with the Southern Pacific and if the road to be built by Mr. Spreckels is to become a part of the Harriman system, then the Santa Fé will be compelled to come across lots from Arizona to secure a portion of the trade of Imperial Valley and a shorter route to this port.
If Mr. Spreckels allies himself with the Santa Fé, then it will be for the Southern Pacific to follow, and without doubt it will follow and follow in a hurry.
Looked at in any way possible it means that the railway combine against San Diego is broken at last, and looked at in some ways it appears to be plain that the building of one road will eventually be followed by the almost immediate construc- tion of another.
With these prospects assured, San Diegans have a right to lift their hats to John D. Spreckels.
The articles of incorporation of the San Diego and Arizona Railway Company bore the date of June 14, 1906, although they were not filed with the county clerk until six months later. They provided for the construction of a railroad from San Diego "in a general easterly direction by the most practicable route to a point at or near Yuma, in the Territory of Arizona." The incor- porators were Jolin D. Spreckels, A. B. Spreckels, John D. Spreckels, Jr., William Clayton, and Harry L. Titus. The cap- ital stock was fixed at $6,000,000, of which $200,000 were paid in at the time of incorporation. The announcement in the Union was quickly followed by two substantial acts of good faith on the part of Mr. Spreckels. One of these was the filing of con- demnation suits as a means of obtaining right of way through some of the most valuable property in the lower part of the city ;
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A MERRY CHRISTMAS
the other was the announcement that the entire sum of money collected by the San Diego and Eastern Railroad Committee in 1901, and expended in the effort to promote the project, would be repaid by the San Diego and Arizona Railway Company. In both instances, Mr. Spreckels insisted on paying for what the citizens would doubtless have offered as a free gift in the form of a subsidy. Indeed, they would doubtless have supplemented all this with much richer subsidies in the way of cash and land. Mr. Spreckels preferred to be absolutely independent and free of obligations alike to the public and to private individuals. Thus it happened that hundreds of people who had contributed
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