New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1871-09-05
BANKING AND FINANCIAL.
THE VALUE OF LAND GRANTS
TO RAILROAD COMPANIES.


In offering the remainder Of the First Mortgage
Sinking Fund Land Grant Bonds Of tie ST. Joseph and
DeNrer CITY Railroad Compdnyto the public we would
respectfully call their attention to few facts IN re-
gard to the value of Land Grants. especially where
the lands granted are located in fertile section OF
,ountry The Illinois Central Railroad Company
was the first to receive Government aid in the
shape of Lands and in 1850 received grant OF
, 5Qs 900. acres. OF these lands the Company have
sold 800 acres and realized for the same S4SOO
2S3 The remaining 4l5ClO acres are now selling at
an average of $l2 50 per acre, equal to S5,255'"0'
This woud make the total value Of the Illinois Cen
trail Land Grant equal to thirty million one hundred
and ffty-sr thousand serea hundred and eghty-et0ht
dollars $3.50 largely in excess Of their bonded
debt This Land Grant is located in prairie country
and at the time the grant was made the land was con-
sdercd among the choicest in the West for farming
purposes These facts show the great value OF land
grants to railroad corporations. The lands OF the
~. Joseph and Denver City Railroad Company so
far as their formation is concerned are not w the least
inferior to those Of the Illinois Central Company uhk
,ar fertility and adaptdbiy for farming and other ur-
noses are pqua II not superior to any lands in the FEST
.rn country The line of the ST. Joseph and Denver
City Land Grant comprises an old and favolite route
for wagon travel before the road was projected AS
natural consequence, the country is we'll populated
at many points thclly 30, and the land cultivated
and developed. The St. Joseph and Denver City
Company therefore has the advantage of populated
and cultivated country, with an established high
price for its lands In other words, the St. Joseph
and Denver City Railroad Company will
realize at once the same benefits and
profit from its land grant which would be
realized from Companies owning lands in older
States At the present price of the Illinois Central
COmpanys Lands 1912 50 per acre., those of the ST.
Joseph and Denver City Company would realize
total of SIS ,7SO,OOO; and if we take into con-
alteration the future growth of the Western
Country, and the natural attractions which these
lands offer. then, indeed, the amount eventu-
ally realized must largely exceed this sum.
Yet these Bonds, which we are now offer
ing, are backed by such security as this, to
say nothing of their being first mortgage on
trunk line which shortens the distance between the
Atlantic and Pacific 232 miles which must naturally
have large traffic, and will eventually take rank
with the highest priced railroad bonds on the New
York stock Exchange. The liberal daily sub
scnpuOns to this loan are steadily decreasing the
amount unsold, and while they are offered
for the present at 97i and accrued in
terest, the right is reserved TO advance
the price at any time without notice. The large
amount of $40 Bonds which the Government is able
70 pay OF by the recent negotiations of S2OOOO 900
per cent BOnds must stimulate largely the invest
Inent demand foE the per cent Gold Bonds Of the
IT. Joseph and Denver City Railroad Company in
the immediate future. In view Of tina and also the
fact that 1t Is rarely bond is offered TO investors
which combines all the requisites of large income
and the most perfect safety and future profit in.
vestOrs desiring to participate in tie division of the
remainder Of this loan will beet promote their inter
est by acting promptly, the total amount of the
Issue was only S56O00 for he payment Of ,ckih the
enormous property 70 specifically pledged. The Bonds
are In denominations Of $1,000. $780, and $780, and
are receivable ct par and accrued interest in pay
nent for the cOmpAny's land aGles Circuars. maps,
and Documents relsting to the Loan, furniShed on
application. TRoU6H AcfYxa As AGENTS FOR THE
SALE or THIS LOAN, oUR FIRM BUY AND SELL IN
THELs REeUtAR BUSINESS TINE BoNDs or TIE ST.
JOSEPH AND DENVER Cry RAnRoAD COMPANY.
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