With reference to the recent discussion about companies
leasing land adjacent to the track for elevators, etc. I found the following in
Railway World 1907 which may explain the historical position.
Burlington
Abolishes Special Favors—Shippers will no longer be permitted to occupy
any of the Burlington road's property
without paying adequate rental. A circular to this effect has been issued by
Daniel Willard, second vice president of the company. Enforcement of the new
rule will add considerably to the revenue of the road.
It appears that the Burlington,
the same as other roads, has been lax regarding the use of property along its
right of way, and in the smaller terminals. In many cases shippers have been
permitted to erect buildings upon the company's real estate and pay only a
small rental. In not a few instances this privilege was accorded to shippers in
order to induce them to locate along the road. It is stated that in cases where
this has been done the industry established has grown to be a flourishing one,
and that there no longer is any reason why the road should not receive an
adequate return.
The effect also will be to prevent any possible
charge of favoritism by permitting one shipper to use the property of the
company for a nominal rental, while another pays the full market value.
Rupert Gamlen
Auckland NZ