The morning Astorian. [volume] (Astoria, Oregon) 1899-1930, 1899-11-02
Henry Willard On The Strength and
Weakness OF Sraltle and Tacoma.
THE FIRST is THE GREATER
The City On Commencement BAY an
Artificial Creation Rather Than
an 0uterOWth Of Favorable
Circumstances.
New York Post.

New York Post.
There is much to be said regarding
the two Puget Sound cities, Tacoma and
Seattle. To begin with the first
named, the city ON Commencement bay,
was from the start an artificial creation
rather than the natural outgrowth of
favorable local circumstances. 1t has
a good harbor. but there are
many other good harbors on the Sound,
and Tacoma would not have risen but
for its selection as the terminus Of a
great transconinental railroad line.
the Northern Pacific. As such termi-
nus the railroad company naturally
sought to build up the largest possible
place to swell its passenger and freight
traffic and to derive the profits from its
principal ownership in the town-site.
This led to the gradual expenditure Of
millions in local improvements, which
gave a start to the town and steadily
promoted its growth. The apprecia-
ton Of real estate resulting therefrom
brought a large part of this outlay back
to the railroad treasury out of the town
lot sales. It was taken for granted,
too. that the very fact of its being the
terminus Of the Northern Pacific coast
wise trade, as well as a great entrepot
Of the commerce between North Ameri-
ca and Asia.
The place grew from mere village
in 1879, in which year the Northern Pa
cific woke from its six years Of compul-
cory inactivity and the construction Of
the main line was resumed. into city
Of between 10000 and $4,000 inhabitants,
in 1890. 1t was laid out and provided
with public improvements for a much
larger population. There was no busi-
ness to warrant such a growth, but the
continuous inflow Of new capital for
real estate and business purposes kept
up the Elusive expectation Of uninter-
rupted progress At my visit in 1891
the people were still full Of confidence,
and my ilI-forebOdings brought forth
only derisive smiles and shrugged
shouliers. The panic of 1898 made
short work Of the artificial fabric and
reduced ii to the lowest level Every
thing collapsed. including the great
railroad, and general ruin hung over the
country. All the banks, except the
agencies Of Foreign institutions. failed.
Many business houses closed. and most
Of the surviving ones eked out profit
less existence. Real estate became en-
tirely unstable. The Tacoma Land
Company, the parent Of the city, in
whose stock the Northern Pacific was
largely interested, and which had paid
large dividends and commanded q high
premium, could not sell any more lots
or collect deferred payments and rents
enough to pay its taxes, so that they re-
mained in default several years, and its
entire property came rear being sold
for nonpayment The great hotel it un-
dertook to erect stands today only two
thirds finished. There are long busi-
ness streets, on which not one in three
of the buildings is occupied. Even well
improved properties will not bring to-
day more than from a quarter TO a
third Of what they cost. can illustrata
this depreciation by a practical expert
ence Of my own. Against my VIII
became the owner Of piece Of land in
the outskirts Of the city. had to
take it for 4 debt at the rate Of S400 per
acre. During my recent stay l set out
with a real estate agent to find it and
get an estimate or its value He aston
ished me by offering s25 an acre as the
highest price It might possibly bring.
The street railway system Of the city
was recently sold under foreclosure Of a
second mortgage Of s1,350OOO, subject t.
a first mortgage Of $4,000. The sale
yielded only 8 lilo per cent. net to the
second mortgage bondholders. That
telling commercial thermometer, the To-
cal clearings, likewise disclosed
great dwindling awry of general busi-
ness.
Still there is visible evidence that
some solid substance is left in the ur-
ban body. The residence part Of the
city. inhabited by the better class, con-
tains a great number Of attractive, well
kept up homes, most Of the owners Of
which were able to hold on to them
during the hard times. The appearance
of this quarter is most creditable, and
distinctive feature Of the place. showing
fine taste and public spirit, and indica-
ting that there exists excellent social
elements. It is well known, indeed
that an unusual percentage of intel
ligent, cultured families are includ ID
in the community, and to their presence
the high character of the educational
facilities found here may be ascribed.
A resurrection Of Tacoma began
some time ago, and appears to proceed
slowly hut steadily. The banks once
more have something to do, and the
make gains. The local in
dustries, great saw and planning mills,
and others, are again in full blast, and
even the smelter, which was started to-
help the Northern Pacific, but proved
for years to be losing venture, is in