Wikipedia:WikiProject Trains/ICC valuations/Florida East Coast Railway

Interstate Commerce Commission, Valuation Reports, Volume 84

Location and General Description of Property
The railroad of Florida East Coast Railway Company, hereinafter referred to as the carrier, lies wholly within the State of Florida. It is a single-track standard-gauge railroad extending from Jacksonville on the north, in a general southerly direction down the east coast of Florida to Jewfish, and thence in a southwesterly direction across what are known as the Florida Keys, to Key West, a distance in all of 522.172 miles. In addition there are eight branches aggregating 217.005 miles, the principal one of which is the branch extending from Maytown in a southerly direction to Okeechobee, a distance of 122.333 miles. The other branches extend between South Jacksonville and Mayport, East Palatka and Palatka, San Mateo Junction and San Mateo, Ormond and Hotel Ormond, New Smyrna and Orange City Junction, Titusville and Enterprise, and West Palm Beach and Palm Beach. The carrier also has 183.710 miles of yard tracks and sidings. Its wholly owned and used property consists in all of 922.887 miles of main and other tracks.

The carrier also owned and operated on date of valuation an ocean-going steam ferryboat of about 30 cars capacity, which it used in connection with its rail line in transporting carload freight between Key West, Fla., and Havana, Cuba.

The carrier uses under an exclusive lease 4.834 miles of main track of the Atlantic Coast Line Railroad Company, hereinafter referred to as the Coast Line, lying between Enterprise and Enterprise Junction.

The carrier and the Coast Line operate for their joint benefit the property of the Atlantic and East Coast Terminal Company, consisting of a freight terminal and 2.845 miles of track at Jacksonville. The capital stock of this company is held in equal amounts by the carrier and the Coast Line. Each carrier has certain tracks and a part of the freight station assigned to it for its exclusive use. The tentative valuation of this property accompanies the present report.

Short stretches of track which the carrier uses under trackage agreements in connection with leased terminals are described in Appendix 1.

Corporate History
The carrier was incorporated on May 28, 1892, under the general laws of the State of Florida, as Florida Coast & Gulf Railway Company. Its stated purpose was to construct and operate a line of railroad from Jacksonville to a point on the Gulf of Mexico, at or near Tampa, Fla. Through an amendment to its charter, approved April 21, 1893, the southern terminus of the line which the carrier was authorized to construct was changed from the point mentioned to Key West, Fla. On October 31, 1892, the name of Florida Coast & Gulf Railway Company was changed to Jacksonville, St. Augustine & Indian River Railway Company, and on September 13, 1895, that name was changed to Florida East Coast Railway Company. For the purposes of this report the three companies are treated as one and known as the carrier.

The carrier was formally organized on June 25, 1892, but, for a reason set forth in Appendix 2, it is considered in this report to have commenced transacting business on January 1, 1892. Its principal office is at St. Augustine, Fla. All of its capital stock, with the exception of nine shares held in the name of its board of directors, is owned by the estate of H. M. Flagler and by Mrs. Mary Lilly Flagler, and the control of its affairs is vested in the trustees appointed under the will of Mr. Flagler.

The carrier constructed approximately 551 miles and acquired through purchase approximately 207 miles of main track. Detailed information as to the development of the fixed physical property.

The following table shows the companies whose property, rights, and franchises were acquired by the carrier, the date of acquisition, and the date of the deed through which conveyance to the carrier was made:

All of the above companies were incorporated in Florida.

A statement of the location and mileage of the property purchased is found in the succeeding section and an account of each of the companies mentioned and of their respective predecessor companies is given later in this appendix under the head of predecessor companies.

On January 1, 1892, a set of books designated "East Coast Lines" was opened and the results from the operations of the property of the Jacksonville, St. Augustine and Halifax River Railway Company and the Jacksonville Bridge Company were recorded therein, beginning with the date mentioned, although the carrier did not acquire or begin the operation of the property of these companies until June 25, 1892. The carrier continued to use the same set of books after June 25, 1892, without distinguishing the results that accrued subsequent to that date from those that accrued prior to that date, and likewise treated the amounts that it expended on these properties for additions and betterments during the period from January 1 to June 25, 1892, as additions and betterments to its own property. For these reasons the carrier is considered in this report to have commenced transacting business on January 1, 1892.

Development of Fixed Physical Property
The carrier owned on date of valuation approximately 739.18 miles of railroad, which had been acquired as follows:

Construction
The following properties were acquired by construction: 1 The amount of construction work remaining to be done at date of valuation is relatively small.

The work of constructing the roadbed and bridges and laying the track on the line extending from Titusville to West Palm Beach, a distance of about 145 miles, and on the line from West Palm Beach to Miami, a distance of about 66 miles, including in each instance the furnishing of part of the necessary material, was performed by J. D. Maclennan and Louis P. McLain, respectively, under contracts dated January 30, 1893, and July 14, 1895. The roadbed of the line extending from Pablo Beach to Mayport, a distance of about 9 miles, was constructed by John M. Cook, under a contract dated October 6, 1899. The line extending from Maytown to Okeechobee, a distance of about 122 miles, was partly constructed by the Kissimmee Valley Construction Company, under a contract dated November 7, 1910. All of the other construction work was performed by the carrier's forces. The records that are obtainable do not disclose that any of the contractors mentioned were affiliated in any way with the carrier.

Purchase
The following properties were acquired by purchase: The carrier has abandoned 12.16 miles of the property acquired from the St. Johns Railway Company and 0.89 miles of road as the result of 10 small track revisions, or, in all, 19.05 miles.

The carrier and the Atlantic Coast Line Railroad Company, hereinbefore referred to as the Coast Line, operate for their joint benefit the property of the Atlantic and East Coast Terminal Company, in the manner set forth in the text of this report.

The carrier uses under an exclusive lease 4.834 miles of main-line track of the Coast Line, lying between Enterprise and Enterprise Junction.

Leased Railway Property
By virtue of the ownership of the entire capital stock of the Atlantic and East Coast Terminal Company, herein referred to as the Atlantic, the carrier and the Coast Line, without formal contract, operate for their joint benefit the property of the company. This property consists of a freight station and 2.485 miles of track serving it at Jacksonville. Each carrier has certain tracks and a part of the freight station assigned to it for its exclusive use. As a matter of convenience the Coast Line maintains the property and renders bills against the carrier at an agreed upon division for its portion of the cost. To date of valuation the carrier had paid no rental for this property.

The carrier uses under an exclusive lease from the Coast Line 4.834 miles of main track and 0.18 mile of yard tracks and sidings, lying between Enterprise and Enterprise Junction. The lease was made on December 10, 1910, for a period of 50 years, and stipulated, besides an annual rental of $1, that all expenses of operation and maintenance, including taxes, were to be paid by the lessee. As such payments have been inseparably merged with similar expenses of the carrier it has been impossible to determine the amount paid out on this account. The rental provision is not observed.

The carrier uses the Coast Line's station buildings and 0.79 mile of its track at Palatka, for which it pays an annual rental computed as follows: At Jacksonville the carrier uses the passenger station and 1.57 miles of track of the Jacksonville Terminal Company. As rent the carrier pays 25 per cent of the interest on $500,000, 5 per cent bonds, and likewise 25 per cent on rent and other interests paid by the Terminal Company. The total annual rental paid by the carrier amounts to $13,947.22.

The carrier also uses for carrier purposes 0.61 acre of land which it leases from E. P. Maule, and 5.21 acres of land, situated at Palm Beach, Fla., which it leases from the Florida East Coast Hotel Company. The terms under which these lands are used are not known.

The carrier and the Coast Line own and use jointly 0.652 mile of yard track and a passenger station at Enterprise Junction and a passenger station at Orange City Junction, each having a half interest and bearing one-half of the expense of maintenance and operation.

A combination freight and passenger station at Hopkins is owned and used jointly by the carrier and the United Cypress Company, each having a half interest and bearing one-half of the expense of maintenance and operation.

A viaduct at Jacksonville is owned as follows: One-sixth by the carrier, one-fourth by the Coast Line, one-sixth by the Seaboard Air Line Railway Company, one-sixth by the Jacksonville Terminal Company, and one-fourth by the Jacksonville Electric Company.

The Halifax and Indian River Railway Company
The Halifax and Indian River Railway Company, hereinafter referred to as the Halifax, was incorporated on September 3, 1891, under the general laws of the State of Florida, for the purpose of constructing a standard gauge railroad to extend from Daytona to Titusville, Fla. No mileage was constructed by it. On August 16, 1892, the Halifax conveyed its rights and franchises to the carrier.

St. Johns Railway Company
The St. Johns Railway Company, hereinafter referred to as the St. Johns, was incorporated by a special act of the State of Florida, approved December 31, 1858. It constructed a standard gauge line of railroad extending from Tocoi to St. Augustine, Fla., a distance of about 15.25 miles. This mileage represented the road owned by it at its demise.

The property of the St. Johns was operated by The St. Augustine and Palatka Railway Company from December 1, 1888, to March 1, 1889, and from the latter date to December 31, 1892, by the St. Augustine & Halifax River Railway Company, the successor of The St. Augustine and Palatka Railway Company. The arrangements under which the property was operated are not known.

[...]

On January 1, 1893, the property of the St. Johns was acquired by the carrier. The deed through which conveyance was made was not formally executed until April 4, 1896.

St. Augustine & Halifax River Railway Company
Corporate history

The St. Augustine & Halifax River Railway Company, hereinafter referred to as the St. Augustine, was incorporated on April 15, 1889, under the general laws of the State of Florida, for the purpose of acquiring and operating the property of The St. Augustine and Palatka Railway Company, hereinafter referred to as the St. Augustine & Palatka.

The property of the St. Augustine was acquired by the carrier on January 1, 1893. The deed through which conveyance was made was not formally executed until April 4, 1896.

Development of fixed physical property

At the date of its demise the St. Augustine owned about 20.38 miles of standard-gauge railroad extending from Tocoi Junction to East Palatka, Fla., which had been acquired by purchase from the St. Augustine & Palatka. The deed through which conveyance was made was dated March 1, 1889, which, it will be noted, is prior to the date of actual incorporation of the St. Augustine. The road originally acquired was about 21.75 miles in length, but some time during the life of the St. Augustine, the exact date not being known, about 1.37 miles were abandoned.

The St. Augustine operated its property for its own account from the date of its acquisition to date of demise. The books and records of account of the St. Augustine recorded the results of the operation of the property from December 1, 1888, three months before it took title thereto. The records for the earlier period can not be separated from those for the later. From March 1, 1889, to December 31, 1892, in addition to operating its own property, the St. Augustine operated the property of the St. Johns, as already noted.

The St. Augustine and Palatka Railway Company
The St. Augustine and Palatka Railway Company, hereinbefore referred to as the St. Augustine & Palatka, was incorporated on February 5, 1886, under the general laws of the State of Florida, for the purpose of constructing a standard-gauge line of railway from Tocoi Junction to East Palatka, Fla.

At the date of its demise, March 1, 1889, the St. Augustine & Palatka owned about 21.75 miles of railroad, extending between the points named, which had been acquired by construction. The St. Augustine & Palatka apparently operated its property for its own account. It also operated the property of the St. Johns from December 1, 1888, to March 1, 1889.

[...] On March 1, 1889, the property of the St. Augustine & Palatka was conveyed to the St. Augustine.

St. Johns & Halifax River Railway Company
Corporate history

The St. Johns & Halifax River Railway Company, hereinafter referred to as the St. Johns & Halifax, was incorporated on October 11, 1888, under the general laws of the State of Florida, for the purpose of acquiring the property of The St. Johns and Halifax Railway Company, hereinafter referred to as the Halifax Railway. On January 1, 1893, the property of the St. Johns & Halifax was acquired by the carrier. The deed through which conveyance was made was not formally executed until April 4, 1896.

Development of fixed physical property

At the date of its demise the St. Johns & Halifax owned a standard gauge railroad about 50.59 miles in length, extending in a southeasterly direction from East Palatka to Daytona, Fla., which it had purchased from the Halifax Railway, through a deed dated October 1, 1888. It will be noted that the deed of conveyance was dated October 1, 1888, whereas the St. Johns & Halifax was not incorporated until October 11, 1888. The road thus acquired was originally of a narrow gauge, but some time during the period from October 1, 1888, to January 1, 1893, it was changed to standard gauge.

St. Johns and Halifax Railway Company
The St. Johns and Halifax Railway Company, hereinbefore referred to as the Halifax Railway, was incorporated on December 12, 1881, under the general laws of the State of Florida. It constructed a narrow-gauge railroad extending from Rollestown, Putnam County, in a southeasterly direction to Daytona, Fla., a distance of about 51.99 miles. Approximately 1.4 miles of this line were abandoned prior to the conveyance of the property to the St. Johns & Halifax. The property of the Halifax Railway was conveyed to the St. Johns & Halifax on October 1, 1888.

Jacksonville, St. Augustine and Halifax River Railway Company
Corporate history

The Jacksonville, St. Augustine and Halifax River Railway Company, hereinafter referred to as the Halifax River, was incorporated on January 24, 1881, under the general laws of the State of Florida, for the purpose of constructing and operating a narrow-gauge railroad to extend from the south bank of the St. Johns River opposite the city of Jacksonville, Fla., in a southeasterly direction to St. Augustine, Fla., and thence southerly to some point near the headwaters of the Halifax River near the Atlantic coast, a distance in all of about 80 miles.

The property of the Halifax River was acquired by the carrier on June 25, 1892. The deed through which conveyance was made was not formally executed until April 4, 1896.

Development of fixed physical property

At the date of its demise the Halifax River owned about 36.24 miles of railroad extending from the south bank of the St. Johns River opposite the city of Jacksonville, to St. Augustine, Fla. The Halifax River constructed the road thus described, but it can not be ascertained whether it was constructed by its own forces or by contractors. The line originally comprised about 36.76 miles, but some time prior to December 31, 1891, about 0.52 mile of track was abandoned.

The Halifax River operated its property for its own account from the date it was put into operation, some time during 1886, until December 31, 1891. From January 1, 1892, until June 25, 1892, the date of the transfer of the property to the carrier, the results from the operation of the property were included with the results from the operations of the carrier's property. Reference has previously been made to this matter.

Atlantic and Western Railroad Company
The Atlantic and Western Railroad Company, hereinafter referred to as the Atlantic & Western, was incorporated on March 7, 1888, under the general laws of the State of Florida, for the purpose of acquiring and operating the property of the Blue Spring, Orange City and Atlantic Railroad Company, hereinafter referred to as the Blue Spring. This property, which was acquired from the Blue Spring through a deed dated November 29, 1887, comprised a railroad about 28.48 miles in length, extending from Blue Spring to New Smyrna, Fla. The Atlantic & Western operated the property until June 30, 1891, but nothing is known regarding the operation of it after that date until the carrier acquired it in 1896.

[...]

On April 4, 1896, the property of the Atlantic & Western was acquired by the carrier.

Blue Spring, Orange City and Atlantic Railroad Company
The Blue Spring, Orange City and Atlantic Railroad Company, hereinbefore referred to as the Blue Spring, was incorporated on August 28, 1878, under the general laws of the State of Florida, for the purpose of constructing a standard-gauge railroad from a point on the St. Johns River near Blue Springs, Fla., in an easterly direction to New Smyrna, Fla. On November 29, 1887, the date of its demise, the Blue Spring owned a railroad about 28.48 miles in length extending between the points mentioned.

The property of the Blue Spring was sold through foreclosure proceedings on November 7, 1887, and was conveyed to the Atlantic & Western by a deed dated November 29, 1887.

Palatka Bridge Company
The Palatka Bridge Company, hereinafter referred to as the Palatka, was incorporated on August 15, 1888, under the general laws of the State of Florida, for the purpose of constructing certain tracks and a bridge across the St. Johns River at Palatka.

It is not known whether the bridge and the approximately 1.81 miles of railroad which the Palatka acquired were constructed by the Palatka's own forces or under contract. Nor is it known how the property was operated prior to the date of its acquisition by the carrier. No accounting records of the Palatka are obtainable, such information relating to its affairs as is here given being taken from the records of the St. Johns & Halifax River Railway Company.

[...]

On January 1, 1893, the property of the Palatka was acquired by the carrier. The deed through which conveyance was made was not formally executed until May 5, 1896.

Jacksonville Bridge Company
The Jacksonville Bridge Company, hereinafter referred to as the Jacksonville Bridge, was incorporated on November 9, 1888, under the general laws of the State of Florida. At the date of its demise the Jacksonville Bridge owned a bridge across the St. Johns River at Jacksonville, Fla., together with about 0.54 mile of railroad track. The Jacksonville Bridge constructed this property through contractors who apparently were not affiliated with it. Construction was commenced in January, 1889, and completed on January 20, 1890.

It is not known how the property of the Jacksonville Bridge was operated prior to January 1, 1892. Subsequent to that date the results of the operations of the property were included in the income account of the carrier, as hereinbefore explained.

[...]

The property of the Jacksonville Bridge was acquired by the carrier on June 25, 1892. The deed through which conveyance was made was not formally executed until May 5, 1896.

Ormond Bridge Company
The Ormond Bridge Company, hereinafter referred to as the Ormond, was incorporated on June 18, 1887, under the general laws of the State of Florida. At its demise the Ormond owned a bridge across the Halifax River at Ormond, Fla., and 1.76 miles of railroad extending from Ormond Station to Ormond Beach, Fla. All of this property was acquired through construction. No accounting records of the Ormond are obtainable.

The property of the Ormond was acquired by the carrier on February 16, 1898.

The Jacksonville and Atlantic Railway Company
The Jacksonville and Atlantic Railway Company, hereinafter referred to as the Atlantic Railway, was incorporated on January 16, 1893, under the general laws of the State of Florida. At its demise the Atlantic Railway owned about 16.54 miles of railroad, extending in an easterly direction from a point on the St. Johns River near Jacksonville to Pablo Beach, Fla. This property had been acquired by the Atlantic Railway through a deed of conveyance dated January 18, 1893, and represented the road formerly owned by the Jacksonville & Atlantic Rail Road Company.

[...]

The property of the Atlantic Railway was acquired by the carrier on September 25, 1900.

Jacksonville & Atlantic Rail Road Company (Arlington and Atlantic Rail Way Company)
The Jacksonville & Atlantic Rail Road Company was the successor, through change in name, effective as of September 28, 1892, of the Arlington and Atlantic Rail Way Company. The two corporations are treated herein as one and are referred to as the Jacksonville & Atlantic. The Jacksonville & Atlantic was incorporated on August 29, 1892, under the general laws of the State of Florida.

At its demise the Jacksonville & Atlantic owned about 16.54 miles of railroad extending from a point on the south bank of the St. Johns River near Jacksonville, to Pablo Beach, Fla., which had been acquired by construction.

[...]

The property of the Jacksonville & Atlantic was sold under foreclosure proceedings on December 5, 1892, to W. M. Drew, and was subsequently conveyed by him to the Atlantic Railway by a deed dated January 18, 1893.

Southeastern Railway Company
The Southeastern Railway Company, hereinafter referred to as the Southeastern, was incorporated on May 10, 1889[sic-1899], under the general laws of the State of Florida, for the purpose of acquiring the property formerly owned by The Atlantic Coast, St. Johns and Indian River Railway Company, hereinafter referred to as the Atlantic Coast. This property had been sold through foreclosure proceedings on April 3, 1899, and conveyed to T. S. Beatty by a deed dated April 21, 1899. On April 22, 1899, by a deed of that date, T. S. Beatty conveyed the property to A. V. S. Smith, who in turn on June 1, 1899, conveyed it to the Southeastern. The property thus acquired by the Southeastern consisted of a railroad about 35.71 miles in length, extending from Enterprise in a southeasterly direction to Titusville, Fla., and represented the road owned by it at the date of its demise.

No accounting records of the Southeastern are obtainable. The property of the Southeastern was acquired by the carrier on July 18, 1902.

The Atlantic Coast, St. Johns and Indian River Railway Company
The Atlantic Coast, St. Johns and Indian River Railway Company, hereinbefore referred to as the Atlantic Coast, was incorporated on January 25, 1883, under the general laws of the State of Florida. At the date of its demise, April 21, 1899, it owned about 35.71 miles of railroad extending from Enterprise in a southeasterly direction to Titusville, Fla., all of which had been acquired by construction.

The property of the Atlantic Coast was leased to the Jacksonville, Tampa and Key West Railway Company for a term of 99 years from January 1, 1886, through an agreement dated November 17, 1885, which provided that the lessee should pay an annual rental to the lessor that would equal 3 per cent on the outstanding capital stock and 6 per cent on the outstanding bonds of the lessor.

[...]

The Atlantic Coast property was sold in foreclosure proceedings on April 3, 1899, and was conveyed to T. S. Beatty by a deed dated April 21, 1899. T. S. Beatty conveyed the property to A. V. S. Smith by a deed dated April 22, 1899, and the latter in turn conveyed it to the Southeastern through a deed dated June 1, 1899.