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The southeast corner of Peachtree and Cain (now International) has a story that stretches from a banker's home to governors to the finest hotels. A quirk of fate gave the spot an edge at the end of prohibition.
In 1869, John H. James had paid $10,000 for the lot, running through to Spring Street and containing 1 1/2 acres, while the house, designed by Architect W.H. Perkins, had cost $53,000. Banker James built his home on this spot at what was then 134 Peachtree. "The frame cottage which had previously stood on the site was moved back to the Spring Street frontage for use as a servants' house." (Williford, p.33). A year later he almost doubled his money selling it to the state of Georgia:
"By resolution of the General Assembly, approved October 27, 1870, the Commonwealth of Georgia acquired "the handsomest residence in the State," as the James' home at Peachtree and Cain was called, for use as an Executive Mansion. The resolution follows:
"Whereas, the present temporary residence [the 3-story, 14-room Charles A. Larenden residence, east side of Peachtree between Baker and Ivy streets] of his Excellency the Governor is not suited for an Executive Mansion, nor becoming the dignity of Georgia: therefore--
"Resolved, that his Excellency the Governor be, and he is hereby , authorized to receive from John H. James, of the city of Atlanta, a complete warrantee title to the State of Georgia, for a city lot, improvements, appurtenances and hereditaments thereto appertaining, on which said James resides, including that portion of the lot in the rear of the residence, as well as all the household and kitchen furniture, and all other articles and implements, the household and kitchen furniture, and all other articles and implements, etc., connected with the premises, and the free use of the water-works, some distance in the rear, until the 'City Water-works' are established -- said premises to be owned and used by the State as an Executive Mansion. "2. Resolved, that as soon as said James shall have complied fully with the foregoing provisions, and put his Excellency in full possession of all said property, then his Excellency the Governor by, and he is hereby, authorized to pay said James therefor the sum of one hundred thousand dollars in seven per cent State bonds, having twenty years to run; and also, to transfer to said James the claim of the State upon the City of Atlanta, under the contract of said City to furnish an Executive Mansion; Provided, That this shall in no way deprive the State of any of the land promised the State by said city."
After the sale, James built a second mansion at the northwest corner of Peachtree and Ellis (Davison's/Macy's lot) which the Capital City Club occupied until their new building at Harris Street was completed in 1911 (built1870, demolished 1913 - Williford, p.114).
Governor Colquitt entertained President Hayes and his wife at the mansion when they arrived September 22, 1877. The 1886 Sanborn fire map shows the property. You can see the stables to the northwest, the elongated building on the southwest is the outhouse and the small square building just south of the main house is the greenhouse. There's something wonderful about "The Governor's Outhouse".
This shot from Garrett's Yesterday's Atlanta shows the north side of the mansion and the Governor's Horse Guard. The carriage house and stables are on the right.
This view from 1895, also from Garrett, shows the homes of Robert H. Richards (banker), Leyden (antebellum home with columns) and Governor's mansion. 
This view shows the mansion in the foreground with the Masonic temple (1909-1950) towering behind it.
"During his first term, and until the fall of 1924, Governor Walker resided in the handsome home of Mr. and Mrs. W.W. Brookes at 1540 (now 1798) Peachtree Road, originally built by Mrs. Hunter P. Cooper, and leased to the state as an executive mansion. In October, 1924, the Governor's mansion was leased (later purchased) at 205 Prado, Ansley Park and shortly afterward, "Governor and Mrs. Walker moved in. The 13-room, 5-bath home of Georgia granite, some of which was quarried from the hill on which the house stands, was originally built by Edwin P. Ansley. Subsequent owners were Robert L. Cooney, George F. McGlawn and John N. Marchern, the latter having leased it to the state."
As Garrett says: "The historic old Governor's Mansion disappeared in 1923, following which, in December of that year, excavations began for the 13-story Henry Grady Hotel. The new structure, built by the Henry Grady Hotel Company, composed of H.R. and C.R. Cannon and J.R. de Jarnette, was designed by G. Lloyd Preacher & Company and erected by Gude & Company. The latter firm set something of a record in the way of speed, for the new hostelry was ready to receive guests by Thanksgiving Day, 1924. While the Henry Grady rises to 13 stories, the top floor is numbered 14. Rooms on this floor are numbered 1412 and 1414. There is no 1413. In explaining this, Cecil Cannon said at the time:
"You have no idea how many persons are superstitious regarding the number 13 in a hotel. While I have no reason to be afraid of the number, I'm not going to have it if the patrons don't want it. I've known traveling men who would sit up all night rather than occupy a room numbered 13..."'
An ad from 1931 proclaims: "550 Rooms - Every Room with Bath, Tel. JA-4221". In 1927, Davisons opened on the sites of the second James mansion, and the Richards and Leyden homes transforming this block from residential to urban in less than 10 years.
In at least the 1940's, the Grady hosted a South Pacific themed restaurant called the Paradise Room that seated 700 The menu says "Exotic, caressing as the atmosphere of the tropics ... gay, exciting as the native dances ... fragrant and romantic as the scented balmy night. We have endeavored to transplant this atmosphere as authentically as possible -- here in the Paradise Room ... experience the palatable delights to be found in the native rum drinks and dishes ... and as you relax in an atmosphere laden with the true environment of the tropics, we hope you will enjoy your excursion, in fancy, to the Islands ... and will return many times to enjoy the delights of the South Seas and The Paradise Room."
They had entertainment every night, had a large cocktail menu and featured many seafood dishes including seven styles of oysters running to $1.00 for a dozen, broiled "Southern Lobster" with shoestring potatoes for $1.50. The priciest dish was the U.S Choice Sirloin for $2.25. And of course, the "U.S. Federal Cabaret Tax" added $2.00 to every check (never heard of this agency, wonder what happened to it?). If you're familiar with that era of Atlanta's history, you might have noticed the cocktail reference above. After prohibition, the city began to sell beer and wine licenses but liquor by the drink was strictly illegal with frequent busts around town. Liquor could only be sold in containers larger than one half pint. But low-and-behold there was one exception: "the Henry Grady Hotel, which was located on state property" (Jenkins, Forty Years on the Force, p.38) and sold it with impunity. I would love to find out how that land deal was structured: was it 99 year lease or something stranger. Today the property is clearly owned by a corporation. Anyways, on to the glorious future. It was demolished in 1974 for the Peachtree Plaza with its iconic cylindrical tower and brutalist pedestal facing Peachtree Street (that part I can't bring myself to show here).

John Portman's building was built with a three story atrium containing a half-acre large lake with tables giving the illusion of floating along. Now called the Westin Peachtree Plaza, the hotel has gone through at least two major rounds of renovations so the "lake" is no longer there and it seems to be holding up fine, but can it last as long as the mansion or the Henry Grady Hotel which each lasted over 50 years?
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