CHAPTER XLVIII
Lester had been doing some pretty hard thinking, but so far he hadbeen unable to formulate any feasible plan for his re-entrance intoactive life. The successful organization of Robert's carriage tradetrust had knocked in the head any further thought on his part oftaking an interest in the small Indiana wagon manufactory. He couldnot be expected to sink his sense of pride and place, and enter apetty campaign for business success with a man who was so obviouslyhis financial superior. He had looked up the details of thecombination, and he found that Bracebridge had barely indicated howwonderfully complete it was. There were millions in the combine. Itwould have every little manufacturer by the throat. Should he beginnow in a small way and "pike along" in the shadow of his giantbrother? He couldn't see it. It was too ignominious. He would berunning around the country trying to fight a new trust, with his ownbrother as his tolerant rival and his own rightful capital arrayedagainst him. It couldn't be done. Better sit still for the time being.Something else might show up. If not--well, he had hisindependent income and the right to come back into the Kane Company ifhe wished. Did he wish? The question was always with him.
It was while Lester was in this mood, drifting, that he received avisit from Samuel E. Ross, a real estate dealer, whose great, woodensigns might be seen everywhere on the windy stretches of prairie aboutthe city. Lester had seen Ross once or twice at the Union Club, wherehe had been pointed out as a daring and successful real estatespeculator, and he had noticed his rather conspicuous offices at LaSalle and Washington streets. Ross was a magnetic-looking person ofabout fifty years of age, tall, black-bearded, black-eyed, an arched,wide-nostriled nose, and hair that curled naturally, almostelectrically. Lester was impressed with his lithe, cat-like figure,and his long, thin, impressive white hands.
Mr. Ross had a real estate proposition to lay before Mr. Kane. Ofcourse Mr. Kane knew who he was. And Mr. Ross admitted fully that heknew all about Mr. Kane. Recently, in conjunction with Mr. NormanYale, of the wholesale grocery firm of Yale, Simpson & Rice, hehad developed "Yalewood." Mr. Kane knew of that?
Yes, Mr. Kane knew of that.
Only within six weeks the last lots in the Ridgewood section of"Yalewood" had been closed out at a total profit of forty-two percent. He went over a list of other deals in real estate which he hadput through, all well-known properties. He admitted frankly that therewere failures in the business; he had had one or two himself. But thesuccesses far outnumbered the bad speculations, as every one knew. NowLester was no longer connected with the Kane Company. He was probablylooking for a good investment, and Mr. Ross had a proposition to laybefore him. Lester consented to listen, and Mr. Ross blinked hiscat-like eyes and started in.
The idea was that he and Lester should enter into a one-dealpartnership, covering the purchase and development of a forty-acretract of land lying between Fifty-fifth, Seventy-first, Halsteadstreets, and Ashland Avenue, on the southwest side. There wereindications of a genuine real estate boom there--healthy,natural, and permanent. The city was about to pave Fifty-fifth Street.There was a plan to extend the Halstead Street car line far below itspresent terminus. The Chicago, Burlington & Quincy, which ran nearthere, would be glad to put a passenger station on the property. Theinitial cost of the land would be forty thousand dollars which theywould share equally. Grading, paving, lighting, tree planting,surveying would cost, roughly, an additional twenty-five thousand.There would be expenses for advertising--say ten per cent, of thetotal investment for two years, or perhaps three--a total ofnineteen thousand five hundred or twenty thousand dollars. All told,they would stand to invest jointly the sum of ninety-five thousand, orpossibly one hundred thousand dollars, of which Lester's share wouldbe fifty thousand. Then Mr. Ross began to figure on the profits.
The character of the land, its salability, and the likelihood of arise in value could be judged by the property adjacent, the sales thathad been made north of Fifty-fifth Street and east of Halstead. Take,for instance, the Mortimer plot, at Halstead and Fifty-fifth streets,on the south-east corner. Here was a piece of land that in 1882 washeld at forty-five dollars an acre. In 1886 it had risen to fivehundred dollars an acre, as attested by its sale to a Mr. John L.Slosson at that time. In 1889, three years later, it had been sold toMr. Mortimer for one thousand per acre, precisely the figure at whichthis tract was now offered. It could be parceled out into lots fiftyby one hundred feet at five hundred dollars per lot. Was there anyprofit in that?
Lester admitted that there was.
Ross went on, somewhat boastfully, to explain just how real estateprofits were made. It was useless for any outsider to rush into thegame, and imagine that he could do in a few weeks or years whattrained real estate speculators like himself had been working on for aquarter of a century. There was something in prestige, something intaste, something in psychic apprehension. Supposing that they wentinto the deal, he, Ross, would be the presiding genius. He had atrained staff, he controlled giant contractors, he had friends in thetax office, in the water office, and in the various other citydepartments which made or marred city improvements. If Lester wouldcome in with him he would make him some money--how much he wouldnot say exactly--fifty thousand dollars at the lowest--onehundred and fifty to two hundred thousand in all likelihood. WouldLester let him go into details, and explain just how the scheme couldbe worked out? After a few days of quiet cogitation, Lester decided toaccede to Mr. Ross's request; he would look into this thing.