Orange County Business History, Part 8, HIstory

Orange County BusinessOrange County Business
HistoryHistory
Orange CountyOrange County
Business HistoryBusiness History
Schmid CollectionSchmid Collection

HistoryHistory
Presentation by
Lynne Pierson Doti
and
Rob Selway
with the assistance of
Pat Braithwaite, Jennifer Beattie, Jaclyn Catalano and Nancy Gregory
Supported by the Waltmar Foundation

HistoryHistory
Walter Schmid
1911-1995
Pioneer Orange County Rancher

HistoryHistory
Orange County has always offered business the advantages
of sea, sun and fertile soil.

HistoryHistory
The 19th century entrepreneurs used
the excellent weather to promote
tourism and farming.
BeachBeach

HistoryHistory
The success of tourism and farming brought
population growth and industrial development.
Holly sugar factoryHolly sugar factory

HistoryHistory
Early InhabitantsEarly Inhabitants
The Native Americans traded vigorously with their neighbors
using seeds, skins and shell beads as money.

HistoryHistory
San JuanSan Juan
CapistranoCapistrano
MissionMission
Europeans first saw Orange County from the sea in 1542, and in
1776 colonists led by Father Serra established a mission. It
prospered and trade began.

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From 1840 to 1846, the Mexican government gave
enormous tracts of land to their citizens.
Map of Orange CountyMap of Orange County
Land GrantsLand Grants

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Richard Dana wrote of the 1840's trade with Orange County
rancheros in Two Years Before the Mast.
Dana's shipDana's ship

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RancherosRancheros
In the late 18th century, the Viceroy of New Spain granted grazing
rights and land to "rancheros" willing to build a home and raise
cattle.

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The settlements traded cattle hides,
tallow, soap, wine and brandy with
ships that came to the region.
Early TradeEarly Trade

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The discovery of gold in 1848 brought people from all over
the world to California.
Gold FeverGold Fever

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The "rancheros" made enormous profit supplying beef to the
miners.
Gold Fever 1849Gold Fever 1849

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DroughtDrought
Drought and debts ended the rural life of the rancheros by
the 1870s.

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Anaheim, founded in 1856,
was one of the first cities in
Orange County.
Anaheim plotsAnaheim plots

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Railroads came in the 1870s, bringing tourists to the beach
towns and farmers' products to Los Angeles for consumption
and export.
RailroadsRailroads

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James Irvine I, who had come to California for gold, found
wealth in sheep and 100,000 acres of land he began to buy in
the 1860s.
IrvineIrvine
RanchRanch

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James Irvine Jr., came to his father's ranch in 1894 and
developed an irrigation system that allowed the land to
produce nuts, fruit and beans.
IrvineIrvine
RanchRanch

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With a modest and diverse beginning, Orange County
farming would grow into a $300 million a year
industry.
Agriculture

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By the 1880s, oranges had become the dominant crop.
FarmingFarming

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Orange County was officially formed on March 11, 1889
and a courthouse was completed in 1901.
CountyCounty
CourthouseCourthouse

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There are several theories how Orange County was named. One claims it
was named for Orange, California, which in turn was named for the
orange groves which were once plentiful in the area.
Officially "OrangeOfficially "Orange
County"County"

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Several prominent local orange growers unite, forming
the Southern California Fruit Exchange in 1893, shown
above is the Villa Park packing house.
Sunkist Growers

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Swedish immigrant Carl Segerstrom buys a large lima bean
farm in 1900. Much later South Coast Plaza, The Orange
County Performing Arts Center, and the 405 freeway will all
be built on parts of that farm.
Lima Bean Farms

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Donald P. Kennedy, grandson of the founder, expands First
American into the world's largest Title Insurance company.
Shown here is the Orange County Office on flag day 1979.
First American Title
Insurance is born, 1889

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Orange was one of several small towns supplying the retail
needs of farm families at the end of the 19th century.
City of OrangeCity of Orange

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Also known as the "Red
Car", which was a mass
transit system in Southern
California using streetcars,
light rail and buses until
1961.
Pacific Electric Railway
in 1901

HistoryHistory
Built in 1906 the pier is a symbol of Orange County's success,
which has attracted businesses and tourists for over 100 years.
Balboa PierBalboa Pier

HistoryHistory
The first successful wells were drilled in Brea in the 1880s.
County OilCounty Oil

HistoryHistory
Oil provided an early 1900s
boom in the economy and
some "holiday spirit".
Oil DerricksOil Derricks

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Fullerton had the most valuable oil field in the country in 1913.
OilOil

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Orange High (buildings
are now part of Chapman
University).
New schools and other public buildings followed the population
growth of the early 1900s.

HistoryHistory
Founded in 1905, the Santa Ana based newspaper later
publishes 28 daily newspapers and 23 weekly newspapers as
the flagship of Freedom Communications, Inc.
The Orange County Register

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By 1914, business consisted mostly of citrus, fruit and
vegetable farms. Plus towns and services to support these
industries.
World War IWorld War I
Rally in OrangeRally in Orange

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Glenn Martin, 1917Glenn Martin, 1917
A local aviator was the first on the west coast to fly, using an area
near the current airport to experiment.

HistoryHistory
In 1919 it only cost a
nickel to ride the ferry.
As of 2005, it costs 60
cents.
Balboa Island
Ferry

HistoryHistory
Highways like this one in 1928
provided the first paved roads in
Southern California.
Auto TransportationAuto Transportation

HistoryHistory
The Depression of the 1930s gripped the entire country, the
poor built shacks in many unoccupied areas.
Shanty nearShanty near
SantiagoSantiago
CreekCreek

HistoryHistory
Many people came to California to escape the drought and
"dust bowl" in the Midwestern states.
1930's1930's
DepressionDepression

HistoryHistory
The Long Beach Earthquake
shook Orange County in 1933.
Earthquake DamageEarthquake Damage

HistoryHistory
Arnold Beckman, inventor
of the pH meter, is shown
here with one of his mobile
air pollution lab units.
Beckman Coulter
Inc. founded, 1935

HistoryHistory
Alpha Beta GroceryAlpha Beta Grocery
Store in the 1930sStore in the 1930s
Orange County suffered less in the Depression than many
parts of the U.S.

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Tustin BlimpTustin Blimp
FacilityFacility
During World War II, the US government requisitioned over
3,000 acres of farmland for the El Toro and Tustin military
bases.

HistoryHistory
Many soldiers passed through the county on their way to the
war. After the war, many former soldiers came here to raise
families.
Santa Ana Army Air BaseSanta Ana Army Air Base

HistoryHistory
Recently, the county's economy has shifted to financial,
medical and technology industries.

HistoryHistory
Farms and citrus groves were quickly subdivided into
'tracts' of homes to accommodate a rising population.
1950s1950s
ResidentialResidential
ConstructionConstruction

HistoryHistory
1950s1950s
ResidentialResidential
ConstructionConstruction
Homes like these were completed in less than a year.

HistoryHistory
With the influx of people to Orange County, the demand for
food, employment, entertainment, and services skyrocketed.
The 1950sThe 1950s
"People Boom""People Boom"

HistoryHistory
The opening of Disneyland in 1955 brought international
recognition to the County.
DisneylandDisneyland

HistoryHistory
In 1947, Orange County had 231 manufacturing firms. By
1959, that number had tripled.
EmploymentEmployment
GrowthGrowth

HistoryHistory
Kwikset Locks were started by Adolf Schoepe and Karl
Rhinehart in Orange County in 1948.
EmploymentEmployment
OpportunitiesOpportunities

HistoryHistory
The Santa Ana freeway came to Orange County in 1953, linking us
to Los Angeles and it’s "big city" business.
TransportationTransportation

HistoryHistory
Northrup Corporation moved to Orange County in 1951, the
first aerospace company to arrive.
AerospaceAerospace
IndustryIndustry

HistoryHistory
Military AviationMilitary Aviation
Shown here is the El Toro Air Show, which symbolizes how
important military aviation was from the 1940s to the 1980s.

HistoryHistory
William Lyon Homes
General William Lyon
joins his father and brother
to build homes for the
returning G.I.s of WWII in
1954. Shown here is one of
their more modern
developments.

HistoryHistory
Kraft manufactured products in Buena Park after 1958.
FoodFood
IndustryIndustry

HistoryHistory
El Toro MilitaryEl Toro Military
BaseBase
El Toro was the regional supply depot in the 1960s.

HistoryHistory
Due to rise in land and water
costs in the 1960s, Orange
County switched from oranges
and lima beans to nursery stock
& strawberries.
The Agriculture
Transition

HistoryHistory
St. John Knits, headquartered in Irvine, started in the 1960s.
TextileTextile
IndustryIndustry

HistoryHistory
Innovative community planning and landmark legal rulings
furthered the development of Irvine Ranch in the 1960s.
Irvine Ranch DevelopedIrvine Ranch Developed

HistoryHistory
Leisure
World
Opening first in Seal Beach in 1961 and Laguna Hills soon after.

HistoryHistory
Founded in 1961, techniques that owner Gordon "Grubby" Clark
perfected will later corner 90 percent of the market for polyester
surfboards by producing as many as 1,000 a day.
Clark
Foam

HistoryHistory
Leo Fender's guitar company is sold to CBS in 1965, and
grows into one of the most widely recognized manufacturers
of electric guitars and amplifiers in the world.
Fender Guitars

HistoryHistory
EntertainmentEntertainment
The Angels baseball team started playing in Anaheim's new
stadium in 1966.

HistoryHistory
Orange County's first major airport is dedicated in 1967;
it will later be renamed John Wayne.
Orange County Airport

HistoryHistory
One of the county's first major shopping malls is constructed
at Newport Center.
Fashion Island

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The O.C.'s largest mall opens in Costa Mesa in 1967.
South Coast Plaza

HistoryHistory
In 1967, the international manufacturer of ceramics
products, known for their body armor, is incorporated
in Costa Mesa.
Ceradyne

HistoryHistory
Orange CountyOrange County
Entrepreneur Hall of FameEntrepreneur Hall of Fame
The amusement park started when Walter bought ghost town
shacks to amuse the customers waiting in line for chicken
dinners.
Knott's BerryKnott's Berry
FarmFarm

HistoryHistory
In 1968 the famous tourist stop starts charging admission
and becomes a theme park.
Knott’s Berry Farm

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An Orange County native is elected President in 1968
and serves until 1974 bringing international business and
recognition to the County.
Richard Nixon

HistoryHistory
Marie Callender and her son Don expand the legendary
pie business into full-service restaurants, with the first
restaurant opening in Orange.
Marie Callender's

HistoryHistory
Manufacturing continued to
be important in the 1970s.
FluidmasterFluidmaster
1970s1970s

HistoryHistory
The first coffeehouse, a roastery, opened in Newport
Beach in 1972. Their headquarters is now located in
Irvine.
Diedrich Coffee

HistoryHistory
Many veterans and refugee Vietnamese relocate to Orange
County causing population and real estate to jump in 1975.
The Vietnam War ends

HistoryHistory
Charles ChapmanCharles Chapman
Charles Chapman raised Valencia
oranges and other crops, exporting the
highest quality fruit to the eastern US.

HistoryHistory
Founded by Jim Jannard in 1975, Oakley is an eyewear
company known mostly for high end sunglasses and ski
goggles headquartered in Foothill Ranch.
Oakley

HistoryHistory
In 1977, founder Carl N. Karcher opens his corporate
headquarters in Anaheim and employs over 5,000 people
in his restaurants.
Carl's Jr.

HistoryHistory
The Fluor Corporation, a leading international construction
and maintenance contractor, acquires Daniel International
Corporation in 1977 making its new headquarters in Irvine.
Fluor BuildingFluor Building

HistoryHistory
After graduating from Chapman University in 1959, George
Argyros began buying real estate and building apartments, gas
stations and office space for the growing population.
George L. ArgyrosGeorge L. Argyros

HistoryHistory
As the pace of development slowed, he diversified. At various
times an airline, a baseball team, a billing service and a dog
house manufacturer benefited from his entrepreneurial skills.
He served the US as Ambassador to Spain.
George L. ArgyrosGeorge L. Argyros

HistoryHistory
Emulex
An Orange County based manufacturer of storage networking
infrastructure solutions is born in 1979.

HistoryHistory
A distributor of IT products and services worldwide is
founded by Bronson Ingram in 1979 and now ranks 72
on the Fortune 500.
Ingram Micro Inc.

HistoryHistory
In the 1980s, the area around the John Wayne airport became
a center of financial, medical, and high tech businesses.
Airport AreaAirport Area

HistoryHistory
Completed in 1980, the Cathedral becomes the largest
religious structure in California.
Crystal Cathedral

HistoryHistory
Built in 1980, later rated by 2,000 US church leaders in
2005 as the most influential church in the U.S.
Saddleback Church

HistoryHistory
In 1985, The Orange County Register wins its
first Pulitzer Prize and decides what to call
itself after going through names such as, The
Santa Ana Daily Register, The Santa Ana
Register, and The Register.
Freedom Communications, Inc.

HistoryHistory
Founded in Irvine in 1985, they are known for their
cow-spotted computer packaging.
Gateway, Inc.

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Opens in Costa Mesa in 1986.
Orange County Performing Arts Center

HistoryHistory
Completed in 1987, it coincides with American Airlines buying
Air California.
Airport Expansion

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Remarkably, the Toll Roads, which are maintained by
the state of California, are built with virtually no
taxpayer dollars.
Toll Roads

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In 1989 a global specialty pharmaceutical company
headquartered in Irvine, gets its most notable product
approved by the FDA, Botox.
Allergan Inc.

HistoryHistory
Apria cashes in on the retiring baby boomer
generation by providing the nation's leading home
healthcare services since 1990.
Apria Healthcare Group Inc.

HistoryHistory
Founded in 1991, it is one of the
world's largest semiconductor
company's specializing in high-
speed wireless communications.
Broadcom Corporation

HistoryHistory
A clothing manufacturer founded by Richard
"Wooly" Woolcott in 1991 caters to the surfing,
skateboarding, and snowboarding markets of
youths.
Volcom

HistoryHistory
Metrolink and Amtrak operate three lines through
Orange County by 1992 and plan more to come.
Commuter Rail

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Disney is awarded a National Hockey League
expansion team to be called "The Mighty Ducks of
Anaheim", debuting in 1993.
The Arrowhead Pond of
Anaheim

HistoryHistory
In 1993 the Federal Government announces the
closure, sparking re-use controversy that lasts for
several years.
El Toro Marine Corps Air Station

HistoryHistory
Orange County Bankruptcy
1994 the County files Chapter 9, identifying a $1.5 billion
investment loss.

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After largest municipal bankruptcy in history, the County will
emerge after only 18 months.
Orange County Bankruptcy

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In 1996 Disney gains an ownership stake in Major
League Baseball, a year later, the team changes its
name to the Anaheim Angels.
The California Angels

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In 1997 Boeing acquires McDonnell Douglas, and
employs over 26,000 people who work and live in
Southern California, most in Orange County.
Boeing

HistoryHistory
Shut down in 1997, built as a blimp base in 1942, it
functioned as a helicopter base for the majority of its service.
Marine Corp Air Station Tustin

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Officially closes on July 1, 1999 and is rezoned as
recreation and park property in 2002.
El Toro Marine Base

HistoryHistory
Lockheed Martin wins a $260 million 11-year contract
to provide application development and support the
O.C. data center in 2000.
County
Telecommunications
Upgrade

HistoryHistory
As of the 2005 census,
3,056,865 people make
their home in the second
largest county in
California where the suns
shines 80% of the year,
there is 42 miles of sandy
beaches, 30,000 acres of
park land, and 34 cities.

HistoryHistory
The value of land in Orange County has been
increasing every year since the county’s birth.
Orange County Land Values As of 2000
$0
$100,000
$200,000
$300,000
$400,000
$500,000
$600,000
Measured by Average Sales Revenue per Parcel
Aliso Viejo* Anaheim Brea Buena Park Costa Mesa
Coto De Caza* Cypress Dana Point Foothill Ranch* Fountain Valley
Fullerton Garden Grove Huntington Beach Irvine

HistoryHistory
Population has also been steadily increasing for
many years.
Orange County Population Growth
1960 1970 1980 1990 2000
703,925
1,421,233
1,932,709
2,410,556
2,846,289
0
500,000
1,000,000
1,500,000
2,000,000
2,500,000
3,000,000
Year

HistoryHistory
Orange County real estate has gone through its
ups and downs, mostly ups.
Cost of Homes in Orange County
$0
$100,000
$200,000
$300,000
$400,000
$500,000
$600,000
$700,000
$800,000
1988-2005

HistoryHistory
Gross County Product (GCP) was forecast to reach $160.7 billion in
2005. In 2002 it was $127 billion ranking 16th in the world ahead of
countries such as Ireland, Thailand, and Greece.
Orange County Median Incomes
5%4%9%
10%
14%
20%
14%
14%
5%
5%
Less than $9,999 $10,000 - $14,999 $15,000 - $24,999 $25,000 - $34,999
$35,000 - $49,999 $50,000 - $74,999 $75,000 - $99,999 $100,000 - $149,999
$150,000 - $199,999 $200,000 and above

HistoryHistory
Some photos courtesy of:
Boeing Corporation
First American Corporation
Old Courthouse Museum
R.C. Hobbs Company
Santa Ana library
Toyota of Orange
Special Thanks to
Dr. Shauna Farley and the Waltmar Foundation
and
Dr. Lynne Pierson Doti

Orange County Business History, Part 8, HIstory

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