Alexandria gazette. [volume] (Alexandria, D.C.) 1834-1974, 1872-09-09
FI,S:fsS'CIIL.
LAND GRANT RAILROAD BONDS.
THE BEST SECURITY IN THE WORLD.

Among the multitudnous securities, whichsrc
dressed on the attention of the capitalist none
ot,;.r :uch tangible and reliable certainty rs the
caref,,lly-selected bends of bona tide Railroad
Companies. holding Land Grants from the Z nj
ted. States Government.
In sddtion to the advantages which an ordl-
nary First Mortgage Bond Of i SucccSS!u raj
road presents to the Investor by ITS hrst-cia>>
security and its ready convertlhlty n any t,ine,
into cash, Land Grant Railroad Dond ohcrs
itv, by its being represented not only oy com
pieted aud equipped road: but by the addltiohai
pledge of lands, at least equal III value 10 the
amount of the bonds issued.
The effect of this is, to place the bonds IN the
hands of shrewd capitalsts-men who look to
security above everything, and Of this no great
cr evidence is necessary than the case o; the IL
linois Central Railroad Company. by whose
owners the State of Illinois has in the course OF
few years not only been built up ana popu-
lated but has also been freed from dept, con
verting that State from barren waste into one
of the most fourishng States in the Union, ana,
at the same time, placing the securities OF that
Company among the most taVorlte on Inc MAT
kets of the World
MANY of the companies whose roads are now
in course of construction, own land grants on u
small scale, but there are about dozen Com
pan:es holding lands to n very large extent,
prominent among which we note the 81. JoSeoh
and Denver City RAILROAD Company, to when
ASSOCIATION DCloNS 1,iON,NO' shSiSS va S'-" $500
lands in Kansas and Nebraska.
This road is located in Missouri, Nebraska ana
Kansas the progress of the two former OF when
States, is too well known to require further allu-
sion thereto.
Kansas which is the nearest and most prom
isine State beyond the Missouri border is rapid
" filing up with hardy agricultural settlers,
and there is every indication, that 1t VII! soon
possess one of the most productive populations
in the Union. Many colonies, both from the
East and Europe, are Locating in the State, ana
thrifty and growing villages are sprlnglng up IN
every direction, the lands surrounding them be-
ing quickly purchased and occupied by Farmers
and 'StocE-ruisers The climate Of Kansas Is
mild and agreeablei the winters are short ana
snow seldom falls to any considerable depth
the soil IS adapted to the cereals and Gil the
fruits and vegetables of the Eastern States hemp
and sorghum are common crops, and cottGn mas
been raised in South Kansas. Eastern Kansas
presents succession of rich praries, fertile val-
| teys grass-covered hills with I'D soundsnce OF
yellow oak. black Walnut, elm, hickory, syca-
more, Eastwood and other timber, along the
streams The middle is more thnly wooded,
but the west has many extensive tracts OF forest,
the best requisites of the finest grazing country
The more important mineral products are gran
lite, gypsum and coal. The entire area Is So
600, 600 acres, or enough to make eleven States
of the size of Massachusetts,.
From this it is evident that the st. Joseph and
Denver City Railroad Company has even bet
ter prospect, than the Illinois Central K. X.
Company ever had, as not only By its constFuc-
ton It becomes the Middle Route from the At
| lantc to the Pacific Ocean but, by its cutoff
lie from st. Joseph to Fort kearney, 1t secures,
| from the start, all the passenger and trelght
traffic that i: can move, furnishing thereby, ire
to the bondholder When to this, is added the
fact, that the other Land Grant Railroad Com
psnies have sold their lands at all sorts OF prices,
from maximum of Sl4 per acre, down to a MN :.
imum OF 81 Is per acre, 1t will be seen that, II
this Company should realize only 81 per acre
for their lands, without taking into any account
the profits of their traffic their !, 1o,OuO s9ros
will produce at least Sl5C0WO above their
mortgage, which is only S55oo,UoO -,
The road, which is being most substantially
ried to completion, will at once form the most
| important link in the great railroad system OF
the United States. 1t will shorten the time and
distance between San Francisco and the cities OF
| the East and is of special Importance to tn"
traveller from the Pacific Slope who desires to
reach St. Louis or any part of the country lying
south or southwest OF that rapid!y-gro"ins city.
| Immediately on its completion, it is destined to
| receive large share Of the busne:S going East
or West, beyond the Missouri River, and ltS
managers have shown = wise foresight, IN equip
ping tae line with All abundance oi rolling STOCK
of all kinds, to meet the demand that Is sure 10
arise.
That the great advantages Of this road have
been appreciated by capitalists, Is shown by the
rapidity with which its bonds have been taKc!!
uu Only u limited amour. ut them -e:liaia un-
sold and are looked on, as an investment u the
highest order. The moneys received iron! the
sale of lands, form sinking fund Tor the re-
demption OF the bonds, and the prospect Is ina
long before they fall due the sale OF the lanes
will accumulate sufficient funds, To meet them
without trenching in any way upon the business
Of the road.
The interests of the bondnolder have been
guarded in every shape and way. Inc bonds
have thirty years to. run from May, 1917 anc
are payable IN gold in the City OF New York.
They bear interest Al the rate Of Eight per CT.
per annum, payable i'll Gold semi -annGa1ly,
free Of tax, on the 10Th days OF Feb and Au-
gust, in New York, London, or trankfort-on-
Main, at the option of the holder, without notice,
and in the currency OF the country in which the
Coupons are presented. Although these are
coupon bonds they NAV be registered IN the
owners maine with the Coupons on, or they can
be converted into a registered bond BY the sur
render of the Coupons, and the interest paid to
the registered owner at any OF the three points
where the Coupons are payable.
The management of this enterprise is IN the
hands of thorough practical men, and the FL
nancial Agents are the well-known, experienced
banking firm OF Tanner j Co., IL Wall Street,
New York.
Altogether it is believed that no loan was ever
offered in this market, which combines every ell
ement Of security with such high rate OF in
terest, and it is certain that Capitalists do not
often have the opportunity of placing Their mon
ey, for so long time on security, producing
more than eight per cent. interest in
gold.
These bonds are of the denomination of 500,
$500 and $1,000, and are Tor sale at 914 and &C
crued interest, in currency.
The agents for their sale in this city are Mcssrs.
w. d. CORSE d CO..
81 S SO King St.
who confidently recommend them as frst-class
security, and who have already. sold q large
amount 10 oypa IF our most rru1ant and