The development of Flatbush is also seen in the beginnings of corporations. These included the Flatbush Gas Company, the Flatbush Water Works Company, and the Flatbush Trust Company. In 1885, the Road Commissioners who had a contract with the Flatbush Gas Company refused to pay the $35 fee to light street lamps, causing the gas company to deny delivery of gas. “Total darkness at night will be the result, and disgusted townsmen say the town will lose more through suits for damages than it will make by not having to pay for gas.”[i] In February 1918, The New York Times published an article that stated, “[d]uring the four years from 1912 to 1916 the profits of the Flatbush Gas Company from the sale of electric current increased from $93,000 to $243,000.”[ii] This was the first public call for a reduction in rates. Later that month petitioners and civic organizations demanded that the gas company reduce its electricity fare from twelve cents, to ten, and then to eight. The company claimed it could not deliver the current for less than twelve cents. H.E. McGowan claimed that no profit was being made on gas business and little was being made on electricity due to increasing cost of labor and materials.[iii] Another article from 1920 will show the increase in gas prices to ninety-nine cents. When asked to reconsider this new rate, the company stated it was not possible.[iv]
An important sign that Flatbush was changing was the organization of the Flatbush Trust Company in 1899. This was the first banking system the area had seen. With the farming system, there was little need for a bank as most money exchanges took place out of town and over crops. As new residents and businesses began to arrive, money started to stay in Flatbush. The bank opened for business on July 20 and records show that the number of accounts opened within the first year was 646, with a total deposit amount of $639,569.17 in July of 1900.[v] John Lefferts, Jr. was known to be an organizer of the trust company and a director of the Flatbush Water Company.[vi]
Four Dollars
Ladies’ Room, Flatbush Trust Company
[i] “Darkness Threatening Flatbush,” New York Times, February 19, 1885.
[ii] “Flatbush Co. Must Cut Electric Rates,” New York Times, February 3, 1918.
[iii] “Fights Electric Rate Cut,” New York Times, February 27, 1918.
[iv] “Fights 80-Cent Gas Rate,” New York Times, May 6, 1920.
[v] Fisher, 68.
[vi] John Lefferts, Jr.,” New York Times, May 30, 1950.
