Timeline
On Christmas Day, 1906, Walter Scott Newhall died.
He had not been feeling well and decided to go to Europe with his wife to recuperate. He was only in Europe for a short time when his doctors advised him to return home. He died a few days later.
Walter’s estate was left to his wife and upon her passing, since they had no children of their own, would be distributed between his 13 nieces and nephews.
April 18, 1906, a 7.8 magnitude earthquake hit the city of San Francisco. The earthquake was followed by major fires that destroyed 80% of the city and killed over 3,000 people.
Luckily, Edwin Jr’s Pacific Avenue home was spared. The H.M Newhall and Co was not so lucky as it burned to the ground so Edwin put up a sign that the company would be run from his home. However, before it burned an employee was able to secure all the records. Within just a few months the company was back up and running in temporary headquarters. Edwin also housed other employees and friends who had lost their homes in the fire.
Business was going badly for NLF. Directors instructed the secretary to write to Walter to close up Shop on the Rancho San Francisco, now known as Newhall Ranch because it was costing too much money to maintain.
It is a beautiful property for sure!
During the last years of the nineteenth century, following the panic of 1893, the nation as a whole was in an economic slump. Farmers and cattlemen were desperate. NLF decreased its dividends from 1891 to 1895, then stopped paying them altogether.
On July 5, 1900, with no relief in sight, the board of directors of NLF voted to sell the Rancho San Francisco. Walter was selected to negotiate the sale. It was listed, all 45,000 acres for $750,000. Buyers were acquired but the sale fell through.
NLF borrowed $70,000 from private money lenders to stay afloat for a while.. Directors then voted to sell any or all of the land belonging to the company. They then borrowed an additional $38,000 from banks in both San Francisco and Los Angeles.
Newhall Land and Farming created it first subsidiary, The Newhall Oil and Development Company. The western end of the ranch was then leased to oil companies to drill for oil, however none ever did. A nice income was generated from the leases.
Walter succeeded Henry as manager of Rancho San Francisco now known as Newhall Ranch. This is the town of Newhall in the late 1800’s. This is Railroad Avenue, also known as Main Street sometimes.
