Alexandria gazette. [volume] (Alexandria, D.C.) 1834-1974, 1872-09-04
FINHNCEAL.
LAND GRANT RAILROAD BONDS.
THE BEST SECURITY IN THE WORLD.

Among the multtudinous securities, which arc
pressed on the attention OF the capitalist, mono
offer such tangible and reliable certainty as the
carefully selected bonds of bona fde Railroad
Companies, holding Land Grants from the Uni
ted States Government.
In addition to the advantages, which an ordi-
nary First Mortgage Bond Of successful rail
road presents TO the Investor, by It's trst-clasS
security and its ready convertbility at any time,
into cash, Land Grant Railroad Bond offers
the nearest possible approach to absolute sccurl-
ity, by its being represented not only, by a com
plcted aud equipped road, but by the additional
pledge of lands. at least equal in value to the
amount of the bonds issued.
The effect of this is to place the bonds in the
hands of shrcwd capitulists-men who look TO
security above everything, and cf this no great
er evidence is necessary, than the case OF the IL
linois Central Railroad Company, by whose
owners the State of Illinois has, in the course of
n few years, not only been built up and popu-
lated, but has also been freed from debt con-
vcrting that State from barren waste into one
Of the most aourshing States in the Union, and
ut the same time, placing the securities of that
Company among the most favoritc on the Mar
kcts of the World
Many of the companies whose roads arc now
in course of construction, own land grants on Il
small scale, but there are about dozen Com
pan!cs holding lands to very large extent
prominent among which we note the st. Joseph
and Denve- City Railaoad Company, to which
association belong l,7W,OO acres Of the finest
lands in Kansas and Nebraska.
This road is located in Missouri, Nebraska and
Kansas, the progress of the two former of which
States is too well known to require further allu-
sion thereto
Kansas, which is the nearest and most prom
sing State beyond the Missouri border, is rapid
y filling up with hardy agricultural settlers,
and there is every indication, that 1t Will soon
Df productive
in the Union. Many colonies, both from the
East and Europe, are locating in the State, and
thrifty and growing Villages are sprnglng NY III
every direction, the lands surrounding them be-
ing quickly purchased and occupied by Farmers
and Stock-raiscrs. The climate of Kansas is
mild and agreeable; the winters are short and
snow seldom falls to any considerable depth;
the soil IS adapted to the cereals and al the
fruits and vegetables of the Eastern States; hemp
and sorghum are common crops, and cotton has
been raiscd in south Kansas Eastern Kansas
presents succession Of rich pralrlcs, fertile val
lrys grass-coyercd hill: with an abundance OF
yellow oak, black Walnut, elm, hickory, sycn-
more, b,,sswuod and other timber, along the
streams. The middle is More thinly wooded,
but the west has many extensive tracts of forest,
The more important mineral products are gram
it,, gypsum and coal. The entire area Is o.
100000 acres. or cnoug to make eleven States
of the size Of Massachusetts.
From this il il evident that the St Joseph and
Denver CITY Railroad Company has even bet
ter prospect, than the Illinois Central r. 4.
Company ever had, IS not only by It's constitute
ton it becomes the Middle Route from the At
lantic to the Pacific Ocean, but, by its cutoff
lile from st. Joseph to Fort kcarncy, 1t secures,
from the start all the passenger and freight
traffic that It can move, furnishing thereby, ire
spective of the Land Grant, undeniablc security
to the bondholder When to this, is added the
fact, that the other Land Grant Railroad Com
pancs have sold their lands at all sorts of prices
from a'maxmum of Sid per acre down to a MN.
imum OF S4 Is per acre, it 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 ,7O0,ooo acres
will produce at least Sl,5UOe00 above their
mortgage, which is only S5,5OoCOO ,.r
The road, which is being most substantially
ried to com pletion, will at once form the most
important link in tho 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 the
traveller from the Pacific Slope, who desires to
south or southwest of that rapidly-growing city.
Immediately on its completion, it is destined TO
receive a large share of the business gong East
or West, beyond the Missouri River, and Its
manager, have shown wise foresight, IN EQUIP
ping the line with an abundance of rolling stock
of all kinds, to meet the demand that is sure to
arise.
That the great advantages of this road have
been appreciated by capitalists, Is shown by the
rupidity with which its bonds have been taken
up Only u limited amount OF them remain I'M
sold and are looked ON, an investment Of the
highest order. The moneys received from the
sale of lands, form sinking fund for the re-
denption OF the bonds, and the prospect is, thIt
long before they fall due, the sale OF the lands
will accumulate sufficient funds to meet them
OF the road.
The interests of the bondnolder have been
guarded in every shape and way. The bonds
have thirty years to run from May, 1870 and
are payable IN gold in the City OF New York.
They bear interest at the rate Of Eight per CT.
per annun, payable i'm Gold semi annually,
free Of fax on the 18th days Of Feb and Au-
gust, in New York, London, or Franktort-on-
Man. ut the option Of the holder, without notice,
and in the currency Of the country in which the
Coupons are presented. Although these arc
coupon bonds they NAV be registered in the
owners name with the Coupons on or they can
be converted into registered bond by the sur
render Of the Coupons, and the interest paid to
the registered owner ut 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
nunciui Agents are the wcll-known experienced
banking firm of Tanner & Co., ii Wall Street,
New York.
Altogether it is believed that no loan was ever
offered in this market, which combines every ell
cncnt of security with such Il high rate of IN
tcrcst, and it is certain that Capitalists do not
often have the opportunity Of placing Their mon
cy, for 50 long time on Il security, producing
more than eight per cent. interest in
gold.
These bonds arc of the denomination Of 500,
$500 and $1,000, and are tor sale at %! and &c
crued interest, in currency.
The agents for their sale in this city are Mcssrs.
w. ID. COKSE ~ CO..
81 s. 50 King st.
who confidently recommend them Ms first class
security, and who have already sold large
amount to some of our most prudent and saga
cious business men. aug 24-tf