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Tuesday, March 8th., 1932.
<br />O3
<br />of the general business depression, affecting most severely practically every line of
<br />industry, and particularly the railroads of this country, inc lud ing the New York
<br />Central, the New York Central could not on March 1st., as requested by the City, start
<br />the work of the grade separation and pay its share under the a gre ement existing be-
<br />tween the City and the New York Central. I also stated at our conference that I
<br />could not state when the improvement could be started, as it depended upon financial
<br />conditions, and. the extent of this depression.
<br />It was suffested. by you and. your Board that I main take up the matter and
<br />see if there was not some possible way that the New York Central could'borrow the
<br />j money by ,the sale of bond s to the ,public or the borrowing of the money from the Re-
<br />construction .Finance Corporation in order that this grade separation could be financed.
<br />Since our conf erence, I have gone into these questions and must report that the New
<br />j Yor k Central cannot finance and go ahead with this improve munt .
<br />t our conference, I drew to the attention of your Board that the New York
<br />IlCentral did not desire to repudiate its agreemnt entered into with the City for the
<br />construct ion of this improvement, but it asked that it be given an extension ofone
<br />year from. March is t. , fbr the fulfilling of the a pxeeme nt bn it's part, this extensioni
<br />bein.g based upon the premise that within the year conditions ;Frill so change that the,
<br />New York Central vd ll be able to go ahead with this project.
<br />I understand the position ti on taken by p ,your Board at our conference was that
<br />iunder no circumstances could the extension be granted to the New York Central. I
<br />;might add, what I stated at our meeting, that I think this position taken by the City,
<br />!is "most unfair, drawing to ycur attention that our Company ras spent in the past few"
<br />years an amount of over 6,000,000.00 in the separation of grades through South Bend.,
<br />lbuilt"a modern passenger depot, freight house and team tracks, which improvements so
<br />Icons true t:bdl"_re present an inve s tron t by the New York Central in your city of a sum
<br />greatly in excess of any otl-er similiar community along its railroad.
<br />I
<br />I might say that we have had to have a continuance of a great many
<br />(grade separations along our railroad, including smme important ones in the State of
<br />Indiana, where conditions are no different than they aze at South Bendq and that all
<br />• ,of "the public authorities, with the exception of your City, have appreciated the
<br />(serious business depression and its affect upon the New York Central and have co
<br />operated in a most friendly way with our Company in postponing the improvements until
<br />cond itions improve.
<br />i
<br />In closing, I desire to say that the Neer York Central regrets that it
<br />is not able to go ahead with the improvE ent at this time, and that in asking for the
<br />extension requested, it hopes business and financial conditions will improve so that
<br />favorable consideration can be given to proceeding: with the work,
<br />I do not believe the extension we ask f or is an unreaso#able request or
<br />that it will inconvenience the City to any extent, taking into consideration the large
<br />• mount of money involved. in completing the improvement both on behalf of the City and
<br />10f the hai lr oa d. ,
<br />Yours very truly,
<br />TV. F. S chaff, Gene ra 1 r=anager.
<br />The following egzmement with reference to the leased
<br />hunieipa 1 The
<br />Lot was ordered ground for the
<br />placed on f i1e and attached th the original
<br />. lease of sai d parking ground:
<br />i
<br />I.
<br />This agreenent entered into this day of February, 1932, by and be-
<br />�Itween Union Trust Company of_South Bend, Indiana, party of the first prt, and Joe
<br />Scheininger of South Bend, Indiana, party of the Second part,
<br />it
<br />j TI THE S SETH :
<br />That whereas the said second party is the owner of the follming described
<br />;!real estate in St. Joseph County, Indian?, to -wit
<br />I
<br />ii
<br />Lots Lumbered Four (4) , Five (5) , and Six (6) in the Origin 1 Plat of
<br />. the Town of Lowell, now a part of the City of South Bend, excepting
<br />therefrom a lot or parcel of land. Sixteen (16) rods in 1 ength taken off
<br />of the entire width of the East end of said lots; also Lots Numbered
<br />Two (2), Three (3), and Four (4) as shown on the Recorded Plat of Esther
<br />j H. tiller's Subdivision of a part of Lots Four (4), Five (5), and Six (6),
<br />in the Original Plat of the Town of Lowell, now a part of the City of
<br />South Bend, Indiana.
<br />and
<br />whereas said second party borrowed from said first party the sum of
<br />Forty Thousand (40,000.00) Dollars, and to secure said Obligation gave to said first
<br />party a.mort .p_e upon said above described real estate, which said mortgage was
<br />dated 11,nrch 24th., 1927, and is recorded in Mortgage Record 190 at pages 257 and
<br />258 of the records of St. Joseph County, Indiana , and
<br />Whereas said mortgage indebtedness is now past due , and
<br />
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