The Seattle post-intelligencer. [volume] (Seattle, Wash. Terr. [Wash.]) 1888-1914, 1894-08-17
ELEVATOR DEAL OFF.
Failure 10 Arrange Switching
Fees Killed Ii.
CAPITAL WAS ALL SECURED.
Senator ssairs HeA Leased . size snd
Essldasg was 60 Have BEE. rsn-
ixhsd-caass er the Hitch.

business men, beaded by G. c. Austin and
@. 7. Zimmerman, 70 orgsnizs tie Seattle
Warehouse and shipping Company, for
the purpose Of conducting general grain
and warehouse business in g bEllding TO
be constructed st the foot OF Battery street
has fallen through. owing, IL IL claimed. 70
the inability Of the company to make .
satisfactory arrangement as 70 switching
fees with the Northern Pacific railroad.
The baiiding Vas TO have been erected By
Senator Squire, and the COMPANY was 70
take out . rve years. lease. The Seattle.
Lake Shore q Eastern railroad vas to
bniid sidstrack TO the warehouse, and
everything seemed to be arranged
smoothly and the company expected to be
Ia position 10 commence business within
thirty days. In fixing up the nnal details.
however. . dispute arose a. 10 switching
fees, the Seattle. Lake Shore a Eastern de-
Gliding to charge the Northern Pacific and
Great Northern 81 per car for all cars
handled. The Northern Pacific company
was not as prompt in settling the matter
a. the projectors desired, and the project
10 nov OF altogether.
Mr.. Austin was sanguine Of the success
OF the enterprise until . week ago, and, Of
course, be 10 nov very much disgusted
with the turn affairs have taken. Ex-
planning his company's position yester-
day. he said:
I'VE were fully organized two weeks ago
Monday with paid up capital Of SO, coo
and u was our intention 20 do q general
grain and warehouse business. The in
eorporators were myself. q. u. thinner
msn and v. s Hahn, but the stockholders
were representative business men, ban ksrs
q 49, - -. IL
were anxious 10 see the deal 60 through. 4
week ago Monday night meeting was
held in our Office IN which arrangements
were perfected with Senator W. G. Squire's
representative. Mr.. Hogan, for the con-
structlon Of = warehouse two stories high.
ii0x2l0 feet. at the foot OF Battery street
With pier rnnuing out TO deep water.
The papers were drawn up, lease for i've
years signed and building was TO COM
mence Immediately. The following day.
hardly anticipating any trouble but desir-
ing not TO overlook any of the minor de-
tails. We went to the railroad company to
see about their handling of cars.
I'VE had made arrangements with the
Seattle. Lake Shore 4 Eastern people by
which they agreed to build q side track TO
the warehouse site, which would cost in
the neighborhood of 81, 800, and for so do
ing they would charge the Northern Pa
chic and the Great Northern roads 81 per
car switching fee. The Great Northern
people assured as they would not stand in
our way and would absorb the fee, but the
Northern Pacific would give us no salts
faction, Mr.. Nsdeau not thinking that his
roa1 should absorb the fee. Thus matters
dragged along until Receiver Cakes and
General Manager Kendrick arrived here
Monday and some Of our stockholders and
myself waited on them and had q talk
with them. Mr.. kendrfck gave US q good
deal of encouragement and assured Us ne
would communicate BY wire with Mr..
Hannaford, the traffic manager, saying
that such matters would come under that
gentleman's Jurisdiction. and assured rs
that We would receive a reply by Tuesday
at the latest. They left Monday night for
Portland and we haven't heard from Ham
naford or anything concerning the matter
since. Time has dragged along until IL IS
too late 20 build and some OF our stock
holders have notified as that they won't
put in any money.
"We explained to the Northern Pacific
people that IL was necessary that we Sc
cure arrangements with them in order
that we could snow our hackers that they
were not putting their money into any
Wild cat scheme; that nothing stood in
the way OF the proposition being a paying
one. We could not AFFORD TO stand the 81
switching fee. that's certain. In the
course of year we would probably use
= >.
10 put up g. car that would be $1,000
thrown away. No concern in existencs
could stand such an exorbltant drain.
The railroads here own the whole water
'front.' and II man desires to start an en-
tsrprise en- one railroad the Others stand
in the way and the enterprise is sup
pressed. The only way that Seattle can
expect TO compete with the other towns
in shipping is TO establish q terminal CON-
pany, and until this is done We might as
well give up trying to do anything"
Mr.. Nadeau, when seen last evening,
said that. while he did not care to be in
tsryiex ed on the subject, he wanted to say
that Mr.. Hannaford, the traffic manager,
had been notified by wire Of the circum-
stances Of the case. Mr.. Hannaford /.
now in Helena on his way West, aud will
arrive ut this city in two or three days,
when il is his intention to look into the
matter. Mr. Nadeau said that 1t vas an
important matter and involved the qaes-
ton whether or not the railroad company
or the warehouse company should be at
loss, Just as Mr.. Austin says. of $1,000
or some such sum per annum. Mr.. HAa-
naford is attending 20 just suca important
matters ali along the line. and when Seat
tie was reached be would dispose of the
proposition here. Mr.. Nadean was very
sorry that the company had gone up. but
SAYS that he cams understand why il
should 20 10 pieces suddenly within thirty
SIX hours.
s.Mr. Kendrick talked with Mr.. Austin
and others Monday afternoon" said he,
land here on Wednesday the deal is de-
clared of.
Regarding the terminal company Mr..
Sadeau says be 10 heartily in favor Of such
an enterprise, and slways has besns that
the city needs such . company, aud no