The morning call., 1893-11-16
THE LAND QUESTION.

The transfer Of the property of the
Crocker- Huffman Land and Water Com
pany 10 the CrOcker estate marks
new departure In the subdivision of
farm land. The company and its stock
holders owned in Merced County vast
acreage of land which was supplied with
water drawn from the Merced River by a
canal twenty-four miles long. passing in
one place through tunnel under noun
tain range. The expense of cutting the
canal aud constructing the necessary reser-
voirs was necessarily very large. When
the works were completed attempts were
made to sell the lands irrigated both at
private sale and at auction. They proved
failures. One reason assigned was that
the deeds of sale required the purchasers
to bind themselves 10 take water from the
company forever at the rate of dollar an
acre per year. But the general opinion
in Merced County was that the lands did
not sell because they were held too high
by the company. Irrigated lands offered
by the Haggin-Tevis syndicate and the
firm of Miller & Lux in liquidation in
Kern and Tulare counties at lower figures
failed to find eager purchasers.
1t appears that all these lands were
valued by their owners by capitaliZing the
possible average revenue which would be
derived therefrom by careful aud economi-
cal fruit. growers. For instance, forty
acre tract which, when planted in prunes,
raisins, aprlcOts and oranges, might fairly
be expected to yield $4,000 a year in an
average of years, was appraised by its
owners at $500 an acre or $4,000. The
method of reckoning wnuld have been fair
enough if California had been full of peo-
pie looking out for rural inducements, or
if it had been possible TO bring to the
notice of small capitalists in the East and
in Europe the excellent opportunities
offered in this State. But neither factor
materalized. There is not in this State
sufficient number of people seeking bar
gains in country real estate 10 make il
certain that such property will bring its
real value at forced sale; and notwith-
standing the copiousness of the literature
with which the East and Europe have been
flooded on the subject of the resources of
the State, but little impression has been
made on popular ignorance among out
siders touching California.
For these reasons the method of appraise-
ment adopted by our landed mIilionaires
did not attract purchasers. and some
years ago it became obvious that the only
safe way of valuing farm land was to
reckon it at what people would give for it.
But the auction sales which were held
few years ago by the Haggin- Tevis syndi-
cate in Kern implied that S25 an acre was
about as much as the average settler was
willing to give for land, even with water
on it. and this was said to be less than the
owner had spent for irrigation works. The
auction sales were accordingly abandoned
and landowners began to think that they
must perforce wait until the growth Of the
State brought up the price of land to some
thing like a parity with the income it might
be made to yield.
1t is question of time. but the time may
be long, and meanwhile interest and tax
accounts 90 on swelling. Farm land is an
article which varies widely in value in
different localities. In Orange County,
New York, pasture land which will not
grow over eight to twelve bushels of wheat
to the acre is worth 500; in Saxony, land
on which the farmer nearly starves COM
mands about the same price; in Ireland
potato land of exceptional quality rents
for SIS to $40 an acre. With these facts in
view the value Of land in the San Joaquin
Valley with water on it, which will yield
comfortable income to its holder. should
certainly be worth more than Eastern or
European land which barely gives the occu-
pant scant livelihood.