Henry Morrison Flagler (January 2, 1830 – May 20, 1913) was an American industrialist and a founder of Standard Oil, which was first based in Ohio. He was also a key figure in the development of the Atlantic Coast of Florida and founder of the Florida East Coast Railway, much of which he built through convict leasing. He is also known as a founder of the cities of Miami and Palm Beach, Florida.
When Flagler's first wife Mary (née Harkness) fell sick, his physician recommended they travel to Jacksonville, Florida for the winter to escape the brutal conditions of the North. For the first time, Flagler was able to experience the warm, sunny atmosphere of Florida.
Two years after his first wife died in 1881, he married again. Ida Alice (née Shourds) Flagler had been a caregiver for Mary. After their wedding, the couple traveled to Saint Augustine. Flagler found the city charming, but the hotel facilities and transportation systems inadequate. Franklin W. Smith had just finished building Villa Zorayda and Flagler offered to buy it for his honeymoon. Smith would not sell, but he planted the seed of St. Augustine's and Florida's future in Flagler's mind.
Although Flagler remained on the board of directors of Standard Oil, he gave up his day-to-day involvement in the corporation to pursue his interests in Florida. He returned to St. Augustine in 1885 and made Smith an offer. If Smith could raise $50,000, Flagler would invest $150,000 and they would build a hotel together. Perhaps fortunately for Smith, he couldn't come up with the funds, so Flagler began construction of the 540-room Ponce de Leon Hotel by himself but spent several times his original estimate. Smith helped train the masons on the mixing and pouring techniques he used on Zorayda.
Realizing the need for a sound transportation system to support his hotel ventures, Flagler purchased short line railroads in what would later become known as the Florida East Coast Railway. He used convict leasing — "a method undertaken by the Southern States to replace the economic setup of slavery" — to modernize the existing railroads, allowing them to accommodate heavier loads and more traffic.
His next project was the Ponce de Leon Hotel, now part of Flagler College.
He invested with the guidance of Dr. Andrew Anderson, a native of St. Augustine. After many years of work, it opened on January 10, 1888, and was an instant success. An immense engineering effort was required to cut through the wilderness and marsh from St. Augustine to Palm Beach. The state provided incentive in the form of 3,840 acres (15.5 km2) for every mile (1.6 km) of track constructed.
Ponce de Leon Hotel - now Flagler College
Flagler completed the 1,100-room Royal Poinciana Hotel on the shores of Lake Worth in Palm Beach and extended his railroad to its service town, West Palm Beach, by 1894, founding Palm Beach and West Palm Beach. The Royal Poinciana Hotel was at the time the largest wooden structure in the world.
Royal Poinciana Hotel
Two years later, Flagler built the Palm Beach Inn (renamed The Breakers in 1901), overlooking the Atlantic Ocean in Palm Beach.
The Breakers Hotel
Flagler originally intended West Palm Beach to be the terminus of his railroad system, but in 1894 and 1895, severe freezes hit the area, causing Flagler to reconsider. Sixty miles (97 km) south, the area today known as Miami was reportedly unharmed by the freeze. To further convince Flagler to continue the railroad to Miami, he was offered land in exchange for laying rail tracks from private landowners, the Florida East Coast Canal and Transportation Company, and the Boston and Florida Atlantic Coast Land Company. The landowners were Julia Tuttle, whom he had met in Cleveland, Ohio, and William Brickell, who ran a trading post on the Miami River.
Such incentive led to the development of Miami, which was an unincorporated area at the time. Flagler encouraged fruit farming and settlement along his railway line and made many gifts to build hospitals, churches, and schools in Florida.
By 1896, Flagler's railroad, the Florida East Coast Railway, reached Biscayne Bay. Flagler dredged a channel, built streets, instituted the first water and power systems, and financed the city's first newspaper, The Metropolis. When the city was incorporated in 1896, its citizens wanted to honor the man responsible for its growth by naming it "Flagler". He declined the honor, persuading them to use an old Indian name, "Mayaimi". Instead, an artificial island was constructed in Biscayne Bay called Flagler Monument Island. In 1897, Flagler opened the exclusive Royal Palm Hotel on the north bank of the Miami River where it overlooked Biscayne Bay. He became known as the Father of Miami, Florida.
In historical perspective, "Flagler built his tourist empire — and modern Florida — by exploiting two brutal labor systems that blanketed the South for 50 years after the Civil War: convict leasing and debt peonage. Created to preserve the white supremacist racial order and to address the South’s labor shortages, these systems targeted African Americans, stealing their labor and entrapping them in state-sanctioned forms of involuntary servitude.... Some 4,000 workers, including many as young as 15, became slaves in all but name." When an investigative journalist and the U.S. Justice Department uncovered the practices, Flagler and his allies successfully mobilized to whitewash the findings in Congress and white-owned Florida newspapers, some directly controlled by Flagler himself.
By 1905, Flagler decided that his Florida East Coast Railway should be extended from Biscayne Bay to Key West, a point 128 miles (206 km) past the end of the Florida peninsula. At the time, Key West was Florida's most populous city, with a population of 20,000, and it was also the United States' deep water port closest to the canal that the U.S. government proposed to build in Panama. Flagler wanted to take advantage of additional trade with Cuba and Latin America as well as the increased trade with the west that the Panama Canal would bring.
In 1912, the Florida Overseas Railroad was completed to Key West. Over thirty years, Flagler had invested about $50 million in railroad, home and hotel construction and had made donations to suffering farmers after the freeze in 1894.
When asked by the president of Rollins College in Winter Park about his philanthropic efforts, Flagler reportedly replied, "I believe this state is the easiest place for many men to gain a living. I do not believe anyone else would develop it if I do not...but I do hope to live long enough to prove I am a good businessman by getting a dividend on my investment.