History of the Great American Fortunes, Vol. I: Conditions in Settlement and Colonial TimesMyers, Gustavus
History
History of the Great American Fortunes, Vol. I: Conditions in Settlement and Colonial Times
Myers, Gustavus
United States -- Economic conditions; Wealth -- United States
Let us see how the religious motive worked. On June 10, 1794, the city
gave to Trinity Church a water grant covering all that land from
Washington street to the North River between Chambers and Reade streets.
The annual rent was one shilling per running foot after the expiration
of forty-two years from June 10, 1794. Thus, for forty-two years, no
rent was charged. Shortly after the passage of this grant, Trinity
Church conveyed it to William Rhinelander, and also all that ground
between Jay and Harrison streets, from Greenwich street to the North
River. By a subsequent arrangement with Trinity Church and the city, all
of this land as well as certain other Trinity land became William
Rhinelander's property; and then, by agreement of the Common Council on
May 29, 1797, and confirmation of Nov. 16, 1807, he was given all rights
to the land water between high and low water mark, bounding his
property, for an absurdly low rental.[107] These water grants were
subsequently filled in and became of enormous value.
Astor was as energetic as Rhinelander in getting grants from the city
officials. In 1806 he obtained two of large extent on the East Side--on
Mangin street between Stanton and Houston streets, and on South street
between Peck Slip and Dover street. On May 30, 1808, upon a favorable
report handed in by the Finance Committee, of which the notorious John
Bingham was a member, Astor received an extensive grant along the Hudson
bounding the old Burr estate which had come into his possession.[108] In
1810 he received three more water grants in the vicinity of Hubert,
Laight, Charlton, Hammersly and Clarkson streets, and on April 28, 1828,
three at Tenth avenue, Twelfth, Thirteenth, Fourteenth and Fifteenth
streets. These were some of the grants that he received. But they do not
include the land in the heart of the city that he was constantly buying
from private owners or getting by the evident fraudulent connivance of
the city officials.
Having obtained the water grants and other land by fraud, what did the
grantees next proceed to do? They had them filled in, not at their own
expense, but largely at the expense of the municipality. Sunken lots
were filled in, sewers placed, and streets opened, regulated and graded
at but the merest minimum of expense to these landlords. By fraudulent
collusion with the city authorities they foisted much of the expense
upon the taxpayers. How much money the city lost by this process in the
early decades of the nineteenth century was never known. But in 1855
Controller Flagg submitted to the Common Council an itemized statement
for the five years from 1850 in which he referred to "the startling fact
that the city's payments, in a range of five years [for filling in
sunken lots, regulating and grading streets, etc.], exceed receipts by
the sum of more than two millions of dollars."[109]
MANY PARTICIPANTS IN THE CURRENT FRAUDS.
Public-domain text, read in full here on John Shaqi.
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