The Lake County times. [volume] (Hammond, Ind.) 1906-1933, 1907-01-26
Steel Corporation Buys $500
Acres to Annex to In
dustrial City.
100000 PRICE PAID.
Land Lies in Two Parcels-Purchase
Said To Be Result of Long
Negotiation.

Two thousand FIVE hundred acres OF
land have been purchased by the
United States Steel corporation for an
nexation to Gary. The price paid for
the property was 100000.
1t is the largest purchase in connec-
tion with the operations of the steel
corporation at that place. and its ac-
quirement gives the company 5000
acres Of land upon which to build its
industrial city. which. when completed.
it is now believed, viii represent an
investment of $75,O00,000.
Result of broadening Scope.
Its requirement is the result Of the
broadening scope of the company's
plans. About a year ago 1t purchased
a square tract of about 2.5OO acres In
the middle of the packers tract. which.
with other purchases. brought the total
up to 1000 acres. which at that time
was thought sufficient TO meet the
company's requirements. Enlarged
plans called for more land, and addi-
tional purchases. bringing the total up
TO about $500 acres, We're made.
The company alse concluded that 1t
w cAIlGl llt6 lsouu dCiCo GbIlRIlSluB the
remainder of the packers tract, and ne
gotiations We're opened with Armour &
Company, Swift and Company and Nor
ris & Company. the owners. to this end.
The first $500 acres were sold at
from $500 to $3.50 an acre, the total
amount running up to $1,S0O,00O, but
the packers awakened to a realization
Of what Gary was going to be. thought
~.
selves, and promptly marked their
prices up to S1.50O an acre. This was
more than the steel company would
hetd fast to- their original figures the
negotiations came to a practical stand
still.
Some time ago, however. the packers
are said to have indicated their will
ingness to recede from their figures
and after considerable negotiating g
compromise was reached, which is said
to have been $1,000 an acre.
Lies in Two Tracts.
The property acquired is in two ir-
regular shaped tracts on the east anc
west side, respectively, of the trac
bought year ago, and. like that, /:
on both sides of the Calumet river anC
t&lSuQS lHIOuSil TO lHe idhe- lie WtSl
tract comprises about 1000 acres,
large part of which 1t is said will b.
used for railroad purposes. while thai
on the east side, comprising about 1,50t
acres, will probably be used for towI
purposes. The ground north of tn,
river in all three tracts will be uset
as a site for the company's plant.
The company. it is said, may bring
in the Belt road, elevating it over th'
surface tracks, and also the Indiana
Harbor railroad. The Calumet river
which runs in q tortuous course, is t
be Strengthened and other EXTENSIVE
public works undertaken, including {
harbor for which congress will be ask
ed for an appropriation.
The packers tract was acquired il
1891, when 1t was given out that, owing
to the unsatisfactory attitude Of th'
railroads. the packing firms intereste'
would move their plants to the new 10
cation. Satisfactory arrangement
subsequently were made with the roads
however. and the moving never tool
place Samuel w. Allerton was one o
the original purchasers, but subse
quently he dropped out.
| Many subsequent attempts wer
made to dispose Of the land, but n
satisfactory offer was ever made for
until the Gary project developed.
Good Profit is shown.
AS the packers are said to have pai
only 500 to 5000 an acre for the prop
erty. it is apparent that they are takinl
| a handsome profit out of the deal
AS indicating how land values ar
| jumping in the new town, It is sal
that the Schlitz Brewing company re
Gently paid $4,000 for fifty foot 10
in Broadway. just outside the prohi
J bition district.