History of Linn County Iowa Part 46

CHAPTER XXV

_The Old Blair Building_

The Kimball building in Cedar Rapids stands on the site of an old landmark--the Blair building. This building, with the land and railroad companies it housed from time to time, was the center of much history in the development of Iowa, Nebraska, and the Dakotas. It is difficult for us to realize now what an immense influence these companies in the early days had in the settling up of the central west. A debt of grat.i.tude is due the men who risked their fortunes in this developing work that many of us now are too apt to forget. Had it not been for the railroads these early patriots projected into the unsettled portions of these states the development of the west would have been greatly r.e.t.a.r.ded. Immigration would have been slow, for people are never eager to settle in farming communities where there is lack of transportation facilities to get the produce of the farms to market.

It is felt that a brief account of the influences that went out from this center is entirely appropriate here. In fact it is needed as a part of this history of Linn county. Greatly to our regret the gentleman responsible for the historical data given below wishes his name withheld, but through modesty only. What is here printed was furnished by one who knows whereof he speaks, for as Virgil once wrote, "of it he was a great part."

THE BLAIR BUILDING

John I. Blair, of Blairstown, New Jersey, being then the president of several railroad companies having their general offices and official headquarters at Cedar Rapids, erected a building to furnish adequate room for the business of these companies and for the First National Bank of Cedar Rapids, in which he was heavily interested. This building was known as the "Blair Building." In its time it was much the most pretentious structure in the city. It was located at the corner of Eagle and Adams streets--now Third street and Second avenue--was two stories in heighth with a high mansard roof, and set above and back from the street. The plans for this building were made by W. W.

Boyington, then the most prominent architect in Chicago. It was what might be termed of the "court house" style, having more the appearance of a public building than one erected for commercial purposes.

On May 23, 1868, Mrs. Mary A. Ely purchased of A. C. Churchill, for Mr.

Blair, lots 6, 7, and 8 in block 15, including the brick dwelling house thereon, for the sum of $10,000. Mrs. Ely afterwards conveyed this land to Mr. Blair, who deeded it to himself and Oakes Ames as trustees for the several companies who contributed to the cost of the land and the buildings.

The work of construction began in the autumn of 1868. The building was completed and occupied in the spring or early summer of 1869. The total cost of the land, the new building, and the overhauling of the dwelling house was $54,418, which was paid by the Cedar Rapids and Missouri River Railroad Company, The Iowa Rail Road Land Company, the Iowa Falls and Sioux City Railroad Company, the Sioux City and Pacific Railroad Company, and the First National Bank of Cedar Rapids.

[Ill.u.s.tration: JAMES E. HARLAN, LL. D. President Cornell College]

In 1870 the dwelling house and the land lying southwesterly of the wall of the Blair building was sold to John F. Ely for $11,000. In 1884 the First National Bank conveyed its interest to the Iowa Falls and Sioux City Railroad Company, and thereafter, until the liquidation of the bank in 1886, occupied the banking room as a tenant. When the bank had gone out of business, the railroads had been sold and the offices moved away, and the real estate holdings of the companies very largely reduced, the owners having no use for the s.p.a.ce for their own purposes, and the building being so constructed as not to be useful for commercial purposes, it was decided to sell the property. It was advertised for sale. A customer not being found at private sale, it was sold at public auction on May 2, 1888, to David P. Kimball, of Boston, Ma.s.sachusetts, for $25,000.

Mr. Kimball, together with his brother L. C. Kimball, of Boston, J. Van Deventer, then of Clinton but later of Knoxville, Tennessee, J. E.

Ainsworth, then of Council Bluffs but later of Williamstown, Vermont, and P. E. Hall and Henry V. Ferguson of Cedar Rapids, organized the Kimball Building Company, to whom the property was conveyed.

During the year 1888 the Kimball Building Company rebuilt the Blair Building, extending its exterior walls out to the street line and added a new portion so as to cover the entire lot, making the building when so completed 76 feet on Second avenue and 140 feet on Third street, four stories high, and thereafter known as the "Kimball Building."

In addition to being the president of all of these railroad companies, Mr. Blair after 1862 gave personal attention to their construction and was in absolute control of their affairs in the west. These railroads came to be called the "Blair Roads," and were so generally spoken of in the public prints. From this people generally came to think that he was nearly the sole owner of all, or at least personally owned a controlling interest in the whole group. This, however, was not the fact. Mr. Blair's individual owners.h.i.+p averaged about one-sixth, about another sixth being owned by his a.s.sociates in the Lackawana Iron & Coal Company of Pennsylvania, among which were Joseph H. Scranton, of Scranton, Pa.; Moses Taylor, of New York, and William E. Dodge, D.

Willis James, and James Stokes, who then comprised the firm of Phelps, Dodge & Company.

The controlling interest was always owned by a group of New England capitalists and their a.s.sociates, who were at the same time the controlling stockholders in the Chicago, Iowa & Nebraska Railroad Company--the line already constructed from Clinton to Cedar Rapids.

Among these latter were Oakes and Oliver Ames, of North Easton, Ma.s.s.; John Bertram, of Salem, Ma.s.s.; Charles A. Lambard, of Maine and later of New York; William T. Glidden, David P. Kimball, Joseph and Frederic Nickerson, of Boston, and Horace Williams, of Clinton, Iowa.

THE CEDAR RAPIDS AND MISSOURI RIVER RAILROAD

In May, 1856, congress pa.s.sed what was then called "The Iowa Land Bill," making grants of land to the state of Iowa to aid in the construction of four lines of railway across the state, one of which was to be from Lyons City, thence "northwesterly to a point of intersection with the main line of the Iowa Central Railroad near Maquoketa, thence on said main line running as near as practicable to the 42nd parallel across the state of Iowa to the Missouri River." The general a.s.sembly of the state by an act approved July 14, 1856, granted the land inuring to the state for the construction of this line to the Iowa Central Air Line Railroad Company upon certain conditions contained in said act. That company began the construction of the road in the year 1856, considerable grading was done at different points along the line as far west us Anamosa, but the panic of 1857 coming on the work was stopped and never again resumed by the Iowa Central Air Line Company.

It being quite probable that at the next legislative session the state would resume this land grant and forfeit the rights of the Iowa Central Company, and pa.s.s the grant over to some other company who would undertake the construction of the road; for the purpose of obtaining this grant, the Cedar Rapids and Missouri River Railroad Company was organized on June 14, 1859, by the prominent eastern stockholders in the Chicago, Iowa and Nebraska Railroad, together with John Weare and John P. Ely, of Cedar Rapids, and G. M. Woodbury, of Marshalltown, Iowa.

In March, 1860, the state resumed the land grant from the Iowa Central Company and made it over to the Cedar Rapids and Missouri River Railroad. Work was begun on the line west from Cedar Rapids in 1860.

The bridge over the Cedar river was built in the winter of 1860-61, and forty miles of track completed to Otter Creek Station (now Chelsea) during the year 1861, and to Marshalltown in December, 1862. Milo Smith, of Clinton, Iowa, was the chief engineer and had charge of the construction of the road until it reached Marshalltown.

In 1861 John I. Blair became largely interested in this enterprise, and thereafter took control of the construction beyond Marshalltown. After 1862 W. W. Walker was chief engineer until the road was finished. Track was laid to State Center in 1863, and on July 4, 1864, to Nevada, and to Boone in December, 1864, but the road was not surfaced up, finished and put in operation from Nevada to Boone until the succeeding year.

In July, 1864, congress made an additional grant of land to the Cedar Rapids and Missouri River Railroad, and authorized it to change its line of road so as to connect with the Union Pacific Railroad at Council Bluffs. Work beyond Boone began in December, 1865, the track was laid into Council Bluffs in January, 1867, but regular service between Woodbine and Council Bluffs was not inst.i.tuted until April of that year.

In July, 1862, the Cedar Rapids and Missouri River Railroad was leased in perpetuity to the Galena and Chicago Union Railroad Company, which company then owned the line from Chicago west to the Mississippi River opposite Clinton, Iowa, and operated the Chicago, Iowa and Nebraska Railroad under lease. The lease covered not only the portion of the Cedar Rapids and Missouri River Railroad then built, but the entire line to the Missouri river when the same should be completed.

On June 2, 1864, the Galena and Chicago Union Railroad Company was consolidated with the Chicago and North-Western Railway, and from that time the operation of the Cedar Rapids and Missouri River Railroad under the lease was by the Chicago and North-Western Railway Company.

L. B. Crocker, of Oswego, N. Y., was the first president of the Cedar Rapids and Missouri River Railroad, and until 1866. Mr. Crocker during this period was active in the financial affairs of the company, and especially in obtaining the land grant from the state and the supplemental grant direct from the United States. While not a man of large means, he was possessed of great energy and foresight.

John I. Blair was president from 1866 to 1871, when he was succeeded by Horace Williams, who remained the president until the company went out of existence in 1884.

In 1884 the Cedar Rapids and Missouri River Railroad was sold to the Chicago and North-Western Railway. It was in fact a consolidation, but for convenience in handling the transaction it was made a sale, the Cedar Rapids Company deeding its railroad and all rights and franchises pertaining thereto to the Chicago and North-Western Railway Company, receiving its pay in the stock of the latter company, which stock was distributed pro rata to the stockholders of the Cedar Rapids and Missouri River Company, after which the Cedar Rapids and Missouri River Railroad Company closed up its affairs and went out of business.

THE SIOUX CITY AND PACIFIC RAILROAD COMPANY

An act of congress pa.s.sed in 1862 authorized and required the Union Pacific Railroad Company to construct a railroad and telegraph line from Sioux City to a connection with the Iowa branch of the Union Pacific Railroad, whenever there should be a line of railroad completed through Minnesota or Iowa to Sioux City, Iowa. On July 2, 1864, the original Union Pacific act was amended, and among other things it was provided that the Union Pacific Railroad was released from the construction of said branch, and such company as should be organized under the laws of Iowa, Minnesota, Dakota or Nebraska, and be by the president of the United States designated and approved for that purpose, was authorized to construct said branch and receive therefor lands and subsidy bonds to the same extent that the Union Pacific Railroad would have done under the act of 1862. It was further provided that if a railroad should not be completed to Sioux City across Iowa or Minnesota within eighteen months after the pa.s.sage of said act, then the company which should have been so designated might commence, continue and complete the construction of said Sioux City branch.

The Sioux City and Pacific Railroad Company was organized in August, 1864, to construct this branch line and was by the president of the United States designated and approved for that purpose. The corporators and first board of directors were Platt Smith, L. B. Crocker, M. K.

Jesup, James F. Wilson, A. W. Hubbard, Charles A. Lambard, Frederick Schuchardt, William B. Allison, and John I. Blair. Soon afterwards the Sioux City and Pacific Company pa.s.sed under the control of Mr. Blair and his a.s.sociates in the Cedar Rapids and Missouri River Railroad. The necessary money to build and equip the Sioux City and Pacific was princ.i.p.ally furnished by them. The general offices of the company were first at Dubuque, but on the pa.s.sing of the control to the Cedar Rapids people headquarters were moved to Cedar Rapids.

Construction was begun in the spring of 1867. The Cedar Rapids and Missouri River Company built six and a half miles of railroad from Missouri Valley Junction to California Junction, where it connected with the line of the Sioux City and Pacific. These six and a half miles were turned over to the latter company. Track laying began at California Junction in September, 1867. Thirty-six miles were completed by the first day of December, 1867, and the line to Sioux City in February, 1868. Early in 1869 the entire line was completed and in operation between Missouri Valley Junction and Sioux City and to Fremont, Nebraska, where connection was made with the Union Pacific Railroad. The cars were ferried across the Missouri river during the summer months, and crossed on a temporary bridge during the winter months up to the fall of 1883, when the bridge across the river was completed and opened up for business. L. Burnett was the engineer in charge of construction of this railroad and superintendent in its operation until January 1, 1878.

This company received from the United States a grant of land comprising the alternate sections within twenty miles on either side of the line of the railroad. But as nearly all of the government land within these limits had already been disposed of, and where the grant of this company lapped over the grant to the Union Pacific Railroad, each company received half, so this congressional grant only amounted to about 42,500 acres. There was acquired through a consolidation with the Nebraska Air Line Railroad a state land grant of 46,000 acres. The company received from the United States a loan of six per cent bonds to the extent of $16,000 per mile of road constructed between Sioux City and Fremont, and issued its own first mortgage bonds to an equal amount.

This company up to August, 1884, operated its own road and also leased and operated the Fremont, Elkhorn & Missouri Valley road, as the same was from time to time extended. The earnings of the railroad were never sufficient to pay the interest on the first mortgage bonds. The avails of the two land grants and the proceeds of the sales of the town lots along the line up to 1875 (when the remaining land a.s.sets were sold to the Missouri Valley Land Company) were used to make up the deficiency.

After these a.s.sets were exhausted the Cedar Rapids and Missouri River, and Chicago, Iowa and Nebraska Railroad companies, through loans and other methods of a.s.sistance, made up the deficit until the sale of all of these roads in 1884.

In 1880 the Chicago, Iowa and Nebraska, and the Cedar Rapids and Missouri River companies by purchase from the individual stockholders acquired over ninety per cent of the capital stock of the Sioux City Company. This stock was in the treasury of these railroads at the time of their purchase by the Chicago and North-Western Railway Company in 1884. Through and under that purchase the Chicago and North-Western Railway Company became the controlling owner of the Sioux City and Pacific and moved its general and operating offices away from Cedar Rapids.

John I. Blair was the first president of the Sioux City and Pacific Railroad Company and was succeeded by Horace Williams in 1871. Mr.

Williams was president until the fall of 1877, when he resigned and was succeeded by Oliver Ames. Mr. Ames remained president until the control of the railroad pa.s.sed into the Chicago and North-Western Railway Company.

THE IOWA FALLS AND SIOUX CITY RAILROAD COMPANY

In the Iowa Land Bill of 1856 a grant was made to aid the construction of a line of railroad from Dubuque to Sioux City on the same terms as fixed for the other three trunk lines across the state, viz: a grant of every odd numbered section within six miles on either side of the railroad, and where such odd numbered sections had already been disposed of by the United States, the railroads were authorized to select an equal number of acres from the odd numbered sections within fifteen miles of the line of the railroad. This grant was given over by the state of Iowa to the Dubuque and Pacific Railroad Company, which company began the work of construction but afterwards failed and was reorganized as the Dubuque and Sioux City Railroad Company. This last named company continued from time to time to extend the line westwardly, so that in 1867 it was completed and in operation to Iowa Falls.

Considerable right-of-way had been acquired between Iowa Falls and Fort Dodge and the grading already commenced when a sale and transfer of the right-of-way, the uncompleted work and the portion of the land grant belonging to the line west of Iowa Falls, was made to John I. Blair and his a.s.sociates. The Iowa Falls and Sioux City Railroad Company was organized on October 1, 1867, and on January 7, 1868, by a contract of that date, took over from the Dubuque and Sioux City Company all the right-of-way west of Iowa Falls and the work already done, also the proportion of the land grant inuring to the line west of Iowa Falls and all of the rights and franchises of the Dubuque & Sioux City Company pertaining to that portion of the line.

Prior to this date, viz: on September 13, 1867, the Dubuque and Sioux City Railroad Company leased to the Illinois Central Railroad Company the portion of its road already constructed to Iowa Falls and also the line to be thereafter built from Iowa Falls to Sioux City. This lease was for twenty years or in perpetuity at the option of the Illinois Central Railroad Company. The legislature of the state of Iowa on April 7, 1868, pa.s.sed an act ratifying the said sale by the Dubuque and Sioux City Company and vesting the land grant in the Iowa Falls Company.

[Ill.u.s.tration: CONGREGATIONAL CHURCH, CENTRAL CITY]

[Ill.u.s.tration: CHRISTIAN CHURCH, CENTRAL CITY]

The work begun by the Dubuque and Sioux City Company was vigorously prosecuted so that the road was completed and in operation to Fort Dodge early in 1869. In the fall of 1870 it was finished through to Sioux City and the entire line turned over to the Illinois Central Railroad Company for operation under the lease. J. E. Ainsworth was superintendent of construction. In the original articles of incorporation the princ.i.p.al place of business of this company was fixed at Dubuque, Iowa, but in October, 1869, the articles were amended and the main office of the company moved to Cedar Rapids. John I. Blair was the first president. He was succeeded in 1871 by Horace Williams, who remained at the head of the affairs of the company until the control of the same pa.s.sed into the hands of the Illinois Central Railroad.

In March, 1887, the Iowa Falls and Sioux City Railroad Company sold to the Iowa Rail Road Land Company the remaining acres of its land grant and all a.s.sets accruing from land transactions. At that time all of the individual stockholders of the railroad company sold their shares to the Illinois Central Railroad Company, who moved the offices of the corporation from Cedar Rapids to Dubuque, and afterwards consolidated the company with the Dubuque and Sioux City Railroad Company.

THE FREMONT, ELKHORN AND MISSOURI VALLEY RAILROAD COMPANY