Atlanta semi-weekly journal. (Atlanta, Ga.) 1898-1920, 1912-07-09
WESTERN AND ATLANTCLEASE

WESTERN AINO ALLAN 1 IL LE7OE'
The state of Georgia has the rare and enviable
distinction Of owning railroad. the Western and
Atlantic Under long established and. we believe
thoroughly wise precedent this line is not operated
directly by the state but is leased for a term of
years In December. 1919. the existing lease will
expire; wherefore it win soon be necessary to ar
range for new contract either with the present or
some other lessee
This is one of the most important matters the
legislature can ever be called upon consider 1t
involves millions of dollars and the business rights
and interests Of the people a whole 1t concerns
one Of the greatest pieces of property in the state
or the entire SOUTH property the worth of which
can be either enhanced or reduced by the manner
in which it is administered 1t for the legislature
to say whether this railroad owned by the citizens of
Georgia, shall become surer and richer source of
public income or shall cease to grow. or deter
crate. in value.
These interests cannot be conserved by light or
hasty consideration. They demand the careful and
persistent thought OF who skilled in business
Affairs and who have the states largest welfare at
heart It would be well. therefore, at the very out
set to create Tor this purpose commission devoted
especially 10 study of the Western and Atlantic its
needs and possibilities for only thus the terms
o. the new lease receive detailed thought which
is necessary If the states interests to be pro-
tected and advanced. Such a commission could in
vestigate the subject from every standpoint and
nit report that would guide the general assembly
10 a carefuIly-weighed and farsighted conclusion.
It goes without saying that the state should re-
ceive good revenue from the rental of this prop
erty It is one OF the most advantageously situated
railroads in the country. It's traffic is increasing
and win continue to increase even more rapidly in
the future. Under proper management, it nets its
operators handsome profits; the state expects and
should require an adequate return for its use.
But this is by no means the only matter to be
considered. in the making of a new lease While
the state is interested in securing satisfactory in
Improvement of its property.
Therefore. particular care should be taken in the
new lease to provide for the upbuiIding of the road
and it is Tor this reason that we believe compare
lively long lease win prove more profitable to the
state than short one. Certainly the road should
be leased for Of years long enough to justify
the lessees in making needed improvements.
This is in keeping with business policy and pre-
cedent is thus that owners of centrally located
property in large cities proceed. They make their
ground leases frequently for ninetynine years with
an ascending scale of rent In this manner the
property continually enhances value and yields in
the long run richer revenue than it ever could by
any other plan noteworthy instance in point is
that Of the city OF Cincinnati which has leased its
own railroad. the CncinnatiSOuthern for period of
ninety-nine years and which, as a result is not only
receiving steady and ever -lOuntng income, but is
also having its property constantly improved.
That we believe. should be the policy of Georgia
in making new lease for the Western and Atlantic
Hitherto the has been leased for comparatively
brief term of years so that there has been no real
incentive to its improvement More than this there
is the constant temptation to other roads to build
around the Western and Atlantic to cut of its con-
nections with the great systems and thus to make it
merely local life impaired in usefulness and value.
Instead that shortsighed and unbusinessike plan
let the lease be made long one and definite improve
ments stipulated.
Finally. due thought should be given to the pos.
sbility OF extending the road to the sea- This pro
posed enterprise has frequently been discussed and
undoubtedly appeals the good sense and patriot
ism OF the people We hope to see it carried into
effect; and with that in view provision should be
made for the lease of this extension in the event
q is made
Altogether it was noisy Fourth. Two big prize