Struggles and Triumphs by P.T. Barnum — Read

The American Museum Lease -- Its Value -- Bennett of the Herald Buys It for $200,000 -- He Purchases the Property -- Overestimate of Its Worth -- Max Maretzek -- Miss Clara Louise Kellogg's Estimate of Certain People -- The Power Behind the Herald Throne -- The Herald's Influence -- Bennett Kicked and Cowhided -- His Lawyer Insists Upon My Taking Back the Museum Lease -- I Decline -- Bennett Refuses My Advertisements -- Interview with Mr. Hudson -- War of the Managers Upon the Herald -- Bennett Humbled -- Loss of the Herald's Prestige -- Money -- Damage to Bennett's Establishment -- The Editor Sued -- Peace Between the Herald and the Managers.

When the old American Museum burned down, and while the ruins were still smoking, I had numerous applications for the purchase of the lease of the two lots, fifty-six by one hundred feet, which had still nearly eleven years to run. It will be remembered that in 1847 I came back from England, while my second lease of five years had yet three years more to run, and renewed that lease for twenty-five years from 1851 at an annual rental of $10,000. It was also stipulated that in case the building was destroyed by fire the proprietor of the property should expend twenty-four thousand dollars towards the erection of a new edifice, and at the end of the term of lease he was to pay me the appraised value of the building, not to exceed $100,000. Rents and real estate values had trebled since I took this twenty-five years' lease, and hence the remaining term was very valuable. I engaged an experienced and competent real estate broker in Pine Street to examine the terms of my lease, and in view of his knowledge of the cost of erecting buildings and the rentals they were commanding in Broadway, I enjoined him to take his time, and make a careful estimate of what the lease was worth to me, and what price I ought to receive if I sold it to another party. At the end of several days, he showed me his figures, which proved that the lease was fully worth $275,000. As I was inclined to have a museum higher up town, I did not wish to engage in erecting two buildings at once, so I concluded to offer my museum lease for sale. Accordingly, I put it into the hands of Mr. Homer Morgan, with directions to offer it for $225,000, which was $50,000 less than the value at which it had been estimated.