Atlantic City: History

Railroad Alters Quiet Fishing Settlement

The first to enjoy the beaches and fishing off Absecon Island were members of the Lenni-Lenape tribe. They named their sandy summer home Absecon, meaning "place of swans." These Native Americans were followed in 1783 by New Jersey settlers who established a permanent site for a fishing village at the north end of the island. They called their town Absecon. For a half century, the inhabitants lived uneventful lives on the 10-mile long sandbar. Then, in the early 1850s, Dr. Jonathan Pitney realized the island's tremendous potential as a health spa and resort. In 1852, Pitney and a group of visionary business investors obtained a railroad charter that brought the Camden & Atlantic Railroad to the island. Railroad engineer Richard Osborne planned a city on the site of the village of Absecon and in 1854 Atlantic City was incorporated.

The resort/spa succeeded beyond anyone's imagining. Wealthy businessmen and their families from Philadelphia and up and down the East Coast flocked to the new resort. To capitalize on its beaches, the townspeople laid down the first boardwalk in 1870, laying wooden planks upon the beach so that it could be enjoyed even during the hottest part of the day. With the construction of the boardwalk and its accompanying eateries and amusement stands, Atlantic City became a major tourist attraction. Vacationers and invalids coexisted happily in the Victorian-era town, living in ornate wooden boarding houses and enjoying the boardwalk in the rolling chairs invented in the city in 1884. The first of a half-dozen amusement piers was built in 1882, contributing to the city's carnival-like atmosphere. Saltwater taffy was created in 1883 when an entrepreneur's candy stand on the beach was flooded during high tide. The enterprising merchant immediately dubbed his saturated delicacies "saltwater" taffy. By 1887, heavy tourist traffic decreed the building of a second rail line into the city. In 1895 a visitor returning from Europe introduced to local merchants German-style picture postcards which instantly became popular on Atlantic City souvenir stands.

By 1915 traffic again warranted expanded services, this time in the form of the famous jitney line, which provided tourists with transportation in private automobiles. The first Miss America Pageant was held in Atlantic City in 1921; it was discontinued in 1928 and revived in 1935. The Atlantic City Auditorium/Convention Hall on the boardwalk opened in 1929. It was in 1929 that Charles Darrow introduced Monopoly, the board game that made Atlantic City's streets well known throughout America. During World War II, the U.S. Army used Atlantic City as a training site. A 1944 hurricane washed away nearly half the boardwalk, but it was quickly rebuilt.

Legalized Gambling Revitalizes City

Following the war, Atlantic City's tourist trade tapered off as economical airfare to the exotic Caribbean and Florida became available. Without the proceeds of the summer trade that sustained the city year-long, Atlantic City sank into disuse and widespread urban decay. In 1974, New Jersey residents voted not to approve a gambling law that was on the ballot. In 1976, the resolution appeared again but was restricted to introducing gambling into Atlantic City in the hope of reviving the resort's economy. The second resolution was approved and Atlantic City became the first city in the eastern half of the U.S. to offer legal gambling. The first casino/hotel, Resorts International, opened in May 1978, and was quickly followed by 10 others. By 1988, the casino industry employed 40,000 people and was a major draw for the city's 30 million annual visitors. Property in Atlantic City was valued at $6 billion by 1988.

Since the institution of the gambling industry, Atlantic City has been plagued by persistent rumors about organized and street crime. Many experts agree, however, that Atlantic City's casinos are free of organized crime. Street crime is being addressed directly by increased police presence, and indirectly through an energetic redevelopment plan for the city. As a result of the city's efforts, the crime rate dropped nearly 50 percent between 1988 and 2003.

The city's casino revenue reinvestment program, along with city, state, and federal dollars, is being used to revitalize decaying neighborhoods off the boardwalk and to attract additional retail and office business. With the creation of the Special Improvement District, most of the city's downtown commercial district now displays decorative fencing, pavements and lights, new trees, banners, and other aesthetic enhancements. The Casino Reinvestment Development Authority has invested $225 million in new residential construction, building 1,897 new housing units within Atlantic City's boundaries. For fiscal year 2005, the city has $2,736,159 budgeted for redevelopment and improvements.

Atlantic City offers conventioneers, vacationers, casino- and beach-goers a convenient place to network and relax, and is within a day's driving distance of one-third of the nation's population.

Historical Information: Historian, Atlantic City Free Public Library, One North Tennessee Avenue, Atlantic City, NJ 08401; telephone (609)345-2269. Atlantic City Arts Center and Historical Museum, New Jersey Avenue & Boardwalk, Atlantic City, NJ 08401; telephone (609)347-5837