Galveston was to be...

Galveston Island's remarkable journey from pirate haven to "Wall Street of the South" reveals a forgotten chapter of American history where this Texas coastal city nearly rivaled New York in economic importance. We explore how Galveston became the third richest city per capita in America before the catastrophic 1900 hurricane forever altered its destiny.

Galveston Unscripted

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Chapters

• 0:00 Galveston's Early Origins
• 1:32 Port City and Texas Boomtown
• 2:42 Strategic Military and Economic Importance
• 4:37 Wall Street of the South
• 8:02 The 1900 Storm and Resilient Future
• 10:12 Galveston Today and Closing

Transcript

Speaker 0: 0:03

Many of you may know Galveston Island as a historic city on the Gulf or a beach tourism destination. But what is it about Galveston that really makes it a historic city, and why is Galveston Island overshadowed today by a city 50 miles north Houston? Well long before the Grand Piers and steamship lines began calling the port of Galveston, galveston was a wild, windswept barrier island and it stood at the edge of empires like the French and Spanish. It had been home to native peoples for centuries and would later draw the interest of European explorers. But our story really takes place throughout the 19th century.

Speaker 0: 0:35

In the early 1800s, galveston Island became the haven for pirates like Louis Michel Arie and Jean Lafitte. These men saw the island's location not just as scenic but as strategic. The Port of Galveston was first established in 1825 by an active Mexican Congress, while Texas was still a part of Mexico. That actually makes this year the 200th anniversary of the Port of Galveston. From 1825 to 1836, the city and port were fought over during the Texas Revolution, as it was a strategic base of maritime operations and even home to the Texas Navy. A little later on, after Texas won its independence from Mexico in 1836, galveston emerged as one of the most important ports in the republic. By the 1840s. Galveston Island was the center for immigration, commerce and state politics, as it was a thriving port Between the Revolution and Texas joining the US in 1846, the economic growth through Texas was just kicking off and for most thriving economies you need a port.

Speaker 0: 1:31

With Texas becoming a state in the Union, the Port of Galveston and the population on the island boomed. At 7,200 residents, galveston remained the most populous city in Texas until roughly 1890. But despite Galveston's growing promise, the island was still a raw wild west town, a frontier outpost with muddy streets, rickety wharves and a population as rough and restless as the Gulf itself. But this wasn't just another Texas coastal city With the largest population in Texas. Perched on the edge of the Gulf, this little island was roaring with ambition. Steamboats crowded the wharves. Roaring with ambition, steamboats crowded the wharfs. Road roads began stretching across Texas and the rest of the continent like arteries, and big money was pouring in from every direction. Galveston was becoming a glittering beacon of progress, a place where international trade, high society and raw southern grit collided. Much like today. People didn't just live here. They believed in Galveston and for a brief moment in time the rest of the world believed it too.

Speaker 0: 2:29

By the late 1800s, with its connections to the expanding railroads throughout the United States, the world was growing increasingly connected and Galveston was right at the center of it all. The promise of the Panama Canal opening drew all sorts of people. As the population of the United States expanded west, Galveston Island either became the closest or most economical port to begin importing or exporting goods through. For the major cities in the west, like Denver, colorado, it's important to remember that in 1881, france began to work on the Panama Canal. This would connect the Pacific Ocean to the Caribbean and the Gulf. The outlook for the growth of the seafaring economy was very strong, although the Panama Canal was not yet completed. This drew all sorts of people and goods to this booming little island.

Speaker 0: 3:12

Galveston was getting worldwide attention, with wealthy businessmen from around the country and around the globe making a big bet and investment not only into Galveston but into Texas, especially after the Civil War in 1865. The US government recognized the island's strategic value for potential defense and economic investment. The Coast Guard even established a base on Pelican Island in 1878, but government spending in the area saw a significant increase in the 1890s. The looming threat of the Spanish-American War brought national defense to the forefront of the Gulf. This conflict, along with broader global circumstances, prompted the US government to make substantial purchases and improvements to the island, including the bolstering or construction of three military installations. Fort San Jacinto, on the far east end of Galveston Island and Fort Travis on the Bolivar Peninsula were strategically positioned to guard the mouth of the Galveston Ship Channel and, on the west side of the city, fort Crockett stood watch over the Gulf.

Speaker 0: 4:07

This highlights Galveston's pivotal role in the National Defense Strategy, and deepening and widening the ship channel itself was a strategic economic investment for the US government, for Galveston and the rest of the country. They saw potential in the idea early and they began building accordingly For several years. The Deepwater Committee, a group of Galveston businessmen and other local movers and shakers, lobbied Congress for additional funding to improve ocean-going access to the island and the Bay Area. In 1888, the Galveston Harbor Bill was passed, providing $6.2 million to build two massive jetties which would eventually help make the channel deeper and more accessible for larger and larger ships. Adjusted for inflation, this comes out to roughly $207 million today, and having these larger vessels into the port meant more cargo could be shipped, drawing even more business to and through the island. And, by the way, these jetties still stand at the entrance to the ship channel today.

Speaker 0: 5:01

At the end of the 1880s, nearly every railroad throughout Texas had a line ending in Galveston by this point, sending all sorts of goods and people back and forth across the continent. I cannot begin to describe how important Galveston was to the Texas and US economy. With its connections to the rest of the world by the Gulf and as a direct hub for the railroads throughout Texas. This made sending all sorts of goods and people back and forth across the continent and beyond possible, and Galveston was at the center of it all. In 1899, the Southern Pacific Robo Company announced that Galveston would be its primary eastern terminal and base of operations. To accommodate the future increase in cargo to the island, the company began construction on what would be nine new piers, one of which was marketed as the largest and finest pier in the world. Over 1,400 feet in length and 650 feet in width. This is an absolutely massive cargo pier. If you've ever been to the Empire State Building, just imagine it laying on this pier and still having room on either side. That's how big these investments were rolling into Galveston. That's how much the US government, private companies and the people believed in Galveston's economic prowess and strategic location.

Speaker 0: 6:09

Further inland, loaded rail cars with Kansas wheat dominated the plains, while rail cars loaded with rice harvested right here in Texas were bound for ports around the world. The Texas economy and the island shipping industry relied heavily on the southern cotton market. Plenty of wool, lumber, lead and borax were brought from the interior of Texas right here to Galveston to be shipped out to ports across the globe. Ships were pouring into Galveston from all over the world. Businessmen and suppliers kept Galvestonians well-stocked with quality dry goods, hardware, furnishings as well as fine clothing and shoes.

Speaker 0: 6:43

With more and more exposure to international trends and markets, galveston remained the most populous city in Texas until roughly 1890, with around 29,000 residents, and was surpassed in population by Houston. Around this time. Galveston was the third richest city per capita in the entire country, exporting prime merchandise to cities all over Europe. Galveston wasn't just growing, it was aiming high. Galveston was destined to surpass other southern ports and become a counterpart to cities like New York or San Francisco. A financial and cultural hub where goods, ideas and people converged, it was becoming the southern economic engine. The financial scene was thriving. Galveston was known as the Wall Street of the South or Wall Street of the West. Galveston became home to the first national bank in Texas and one of the only two stock exchanges west of the Mississippi. At the time, investors, insurers and entrepreneurs all had eyes on the island. Culturally considering, galveston was the second largest immigration port in the United States.

Speaker 0: 7:40

Galveston was cultivating finer things world-class hotels, theaters and elegant homes. Rich ranchers and cotton growers from all over Texas were settling in and building fine residences. Elite clubs and organizations reflected a city that saw itself as refined, fashionable and globally minded, fostering that sense of cultural sophistication and international influence. And then we reach the year 1900. Now most of you watching know what happened in September of 1900. Ironically, in September of 1900, the New York Tribune reported on some of the finer aspects of island life. Quote rich ranchers and cotton growers from all parts of Texas have settled here and built fine homes. It is a place of more than ordinary wealth and the trade runs to fine goods. Business conditions in Texas have never been better and merchants were in a happy frame of mind. End quote.

Speaker 0: 8:34

On September 8th, the 1900 storm struck Galveston, killing between 6,000 and 12,000 people on the island, completely changing Galveston's place in time and space. The 1900 storm was the deadliest natural disaster in US history. But to quote from that same New York Tribune article about the resiliency of Galveston, quote there is no place to which the town could be moved in the first place, and ways will doubtless be found to make the island safe. The city is much better able to withstand disaster now than it was 10 years ago. It is a city of rich men who will be able to build up after disaster. Galveston will always be a city for people who will take their chances. End quote.

Speaker 0: 9:13

Galveston stood at the edge of greatness. It had the infrastructure, the capital and the connections and the sheer will to rival any port city in the world. But when the great storm struck Galveston, the rising tide of destiny met an unstoppable force of nature. What was built with vision and wealth was nearly lost in a single night. Yet even then, the idea of Galveston refused to die. This storm may have scattered the dream, but it didn't erase it, because this island, bold enough to bet on the future, never stopped believing it had one.

Speaker 0: 9:45

In the wake of disaster, galveston didn't fade, it adapted. The city raised itself, literally and figuratively, with one of the most ambitious civil engineering projects in American history, elevating the entire urbanized portion of the island and building a seawall to protect from future hurricanes. For a few reasons, houston would eventually eclipse Galveston as the region's commercial powerhouse, from the 1900 storm devastating the island, to the oil strike in Spindletop in 1901, to the Panama Canal opening up in 1914. But this wouldn't help Galveston very much at the time, as they were recovering from the 1900 storm. Houston was poised to become the next major port city on the Gulf Coast, but Galveston never lost its spirit.

Speaker 0: 10:27

Today, galveston is shaped by resilience. Its historic homes and buildings still line the streets, the port remains busy with cruise ships and other cargo vessels, and tourism, medicine and maritime trade drive the economy here. It may not be the New York of the South like it once aspired to be, but it remains something just as enduring A city that remembers what it was and refuses to forget what it could still become. Now this short video episode, which is normally an audio-only episode, is brought to you by Visit Galveston, and if you would like to see more video episodes just like this one, let me know in the comments. See you next time. On Galveston, unscripted.