Accessory Transit Company
| Company type | Private |
|---|---|
| Industry | Transportation, Steamship |
| Founded | 1850s |
| Founder | Cornelius Vanderbilt and associates |
Area served | United States east coast to California via Nicaragua |
| Products | Passenger transit services, steamship routes |
The Accessory Transit Company was founded in the 1850s by Cornelius Vanderbilt and his associates amid the California Gold Rush to facilitate the movement of gold seekers from the eastern United States to the western coast.
Due to the challenges and slowness of overland travel, the company established a steamship route beginning in New York and ending at Grey Town on the Mosquitia. From there, travelers proceeded along the Rio San Juan to Lake Nicaragua, then crossed overland to Rivas. A stagecoach transported passengers across the isthmus to San Juan del Sur, where a second steamer completed their voyage to San Francisco.
This route offered the most economical option for east-to-west transit, serving approximately 2,000 passengers each month. Initial fares were set at $300 (equivalent to about $ today) but were later lowered to $150. The profitability of this passage led to attempts at acquisition; notably, in 1854, the US Navy shelled San Juan del Norte after local officials demanded that the company leave its facilities.
In 1855, the filibuster William Walker took control of Nicaragua and seized assets belonging to the ATC. By 1857, forces supported by Vanderbilt expelled Walker, reinstating company authority. Subsequently, Vanderbilt entered negotiations with the Pacific Mail Steamship Company and United States Mail Steamship Company, operators of routes through Panama. He proposed halting operations in Nicaragua in exchange for a monthly payment of $40,000. This amount increased to $56,000 after Vanderbilt threatened to restart service, yet the ATC remained inactive.
Additionally, Vanderbilt's original agreement granted exclusive rights to construct a Nicaragua Canal until 1861. Nonetheless, ongoing political turmoil and volcanic activity in Nicaragua shifted preference toward Panama as the favored site for a trans-Central American canal.