Purchase of Paradise Valley and Glendale Sanitariums PPP 202.1
By the turn of the century, Seventh-day Adventists had established twenty-six sanitariums and treatment rooms in the United States and abroad. Under added appeals by Mrs. White, in 1904 and 1905 they established three more sanitariums in Southern California: in Glendale, Paradise Valley, and Loma Linda. PPP 202.2
From her home near St. Helena, California, Ellen White had predicted in 1902 that “unoccupied properties” would soon become available in Southern California; properties that could be purchased “far below the original cost” and used as sanitariums. 149Ellen G. White, Life Sketches, 1915, p. 403. She assured church leaders that “unusual bargains” might be found. “For months,” she wrote, “the Lord has given me instruction that He is preparing the way for our people to obtain possession, at little cost, of properties on which there are buildings that can be utilized in our work.” 150Ellen G. White, Letter 153, 1902. PPP 202.3
The Paradise Valley facility (now the Paradise Valley Hospital) represented an investment of $25,000. It was offered to the Seventh-day Adventist church for $12,000. In 1904 it was purchased for $4,000—“far below the original cost,” just as Ellen White had predicted. The Glendale Hotel (now the Glendale Adventist Medical Center) represented an investment of $50,000. It was offered to Seventh-day Adventists for $26,000. In 1904 it was purchased for only $12,000—“far below the original cost.” PPP 202.4
Purchase of the Loma Linda Sanitarium PPP 203.1
Though to all appearances it seemed financially impossible, even foolhardy, Ellen White had been instructed in vision that the church should acquire not only these two properties but also a third, and that all three should become sanitariums that would be centers of medical and spiritual healing. PPP 203.2
That same year Ellen White instructed John Burden, manager of the St. Helena Sanitarium (now St. Helena Hospital and Health Center) near San Francisco, to look between Riverside, San Bernardino, and Redlands for this third property, which she had seen in vision. In March 1904, Burden found seventy-six acres15130.76 hectares. of property four miles1526.4 km. from Redlands that matched her description, and inquired about the price. He learned that the facilities on the property had been built in the 1880s by land speculators, or “boomers,” as those who built boom towns in the West were called. The speculators had named the proposed resort community Mound City. But they went bankrupt, then sold out to a group of eighty physicians and forty businessmen from Los Angeles who wanted to develop Mound City into a health resort. The new owners renamed the property “Loma Linda” (“Hill Beautiful”), and invested more than $155,000 in new buildings, redecorating, furnishings, and other improvements. But their effort failed and the stockholders were desperate. PPP 203.3
For months Loma Linda was deserted except for a caretaker and grazing sheep. People in the surrounding community nicknamed the hill “Lonesome Linda.” Burden was told that the $155,000 property could be purchased for $110,000. But $110,000 was out of the question. He left. PPP 203.4
Mrs. White urged him to return. This time the price was lowered to $85,000. Still, $85,000 might as well have been $85,000,000. The fourteen hundred church members in Southern California were already supporting a large building program of new churches and health institutions. And church headquarters—the General Conference of Seventh-day Adventists in Washington, D.C.—had just established a “no-debt policy” and could not help finance any new institutions. Again Burden left and told Mrs. White the new price. PPP 203.5
To be an important educational center PPP 204.1
[Ellen] White said that someday thousands of people would be moving into the area and Loma Linda would become not only a center of medical and spiritual healing but also “an important educational center” to prepare medical missionaries. How were these ideals to be realized? In 1905 Ellen White’s 541-page book, The Ministry of Healing, was published. It revealed Christ as the true Gospel Medical Missionary and outlined how to follow in His footsteps: A school should be built to provide practical experience in gospel medical missionary work. Mrs. White urged Burden to return to Loma Linda a third time. This time Burden asked whether the owners were really serious about selling Loma Linda and what would be the bottom dollar they would accept. They said they would settle for $40,000. Although the sum still seemed astronomical, Burden inspected the property more closely. He found that it included thirty-one acres15312.5 hectares. of grain land; twenty-two acres1548.9 hectares. of alfalfa, vegetable gardens, an apricot orchard and a barn; and a twenty-three acre terraced hill covered with orchards, gardens, beautifully landscaped lawns, scores of tall shade trees and pepper trees filled with canaries, a profusion of flowers and ornamental shrubs, carriage drives, and over a mile1551.6 km. of gracefully curving concrete walks. On the summit of the hill were several cottages, a large recreation hall, and a four- story, sixty-four-room frame hotel. The buildings, in excellent condition, were lighted with electricity and heated with steam. Water was piped through the premises from a large artesian well. The property also included $12,000 to $15,000 worth of equipment and supplies that had never been used. Burden decided to purchase the land and buildings. PPP 204.2
To buy or not to buy PPP 205.1
The terms were $5,000 down and, within the next few months, three monthly payments of $5,000 each—the first half of the purchase price. The remaining $20,000 was to be paid at the end of three years. On Friday afternoon, May 26, 1905, lawyers came to sign the contract of sale. Because it was nearing sunset that Friday evening and “the Sabbath” was about to begin, Burden and the few church members with him decided to postpone the signing of the papers until Monday. PPP 205.2
On Sunday, May 28, Burden received a telegram from G. W. Reaser, president of the Southern California Conference, who at the time was in Washington, D.C. It said, “Developments here warrant advising do not make deposit on sanitarium.” It is not difficult to understand the directive since it seemed certain that there would be no funds available to make either the deposit or the payments. But, at Mrs. White’s urging, and with her assurance that the Lord would provide, on Monday Burden paid $1,000 borrowed on his personal note to secure an option to buy Loma Linda. 156Medical Evangelistic Library, No. 4, p. 25. This $1,000 was to be forfeited if the down payment or monthly payments could not be made. PPP 205.3
Two weeks later, on Monday morning, June 12, 1905, Mrs. White came to Loma Linda for the first time. As she was taken on an inspection tour she said repeatedly that she recognized it as the very place she had seen in vision nearly two years before (in the fall of 1903 and also on October 10, 1901). She sat down in the parlor and spoke of the educational work that was to be carried forward in Loma Linda. PPP 205.4
Encouraged by Burden’s example, local Adventists contributed another $4,000 to complete the June 15 down payment, though none had any idea how they would meet the July payment—another $5,000— due in one month. On June 20, delegates of nearly all the twenty-two churches in the Southern California Conference met to consider purchasing the Loma Linda property. The conference president told the delegates of the importance of the decision they would make that day. According to the minutes of the meeting, “He then stated that Sister White had said that this sanitarium should be the principal training school on this coast. At this point Sister White interrupted him and said, ‘This will be.’” 157Minutes of Southern California Conference, June 20, 1905. Finally, the Southern California Conference Committee agreed to support the project.—Richard A. Schaefer, Legacy, Daring to Care, 1995, pp. 157-160. PPP 205.5
Elder John Burden later described the spirit of sacrifice that characterized some of the supporters of Loma Linda, as well as the miraculous timing of a key payment. PPP 206.1
The [Southern] Conference Committee158At that time the Southern California Conference included most of the territory now included in both the Southern and Southeastern California conferences. at the first meeting, in the Los Angeles church, 159This meeting was held in the Carr Street church in Los Angeles. had taken the ground that they would not assume the obligation unless the delegates representing all the churches should authorize it. But before this final meeting of all the delegates could be called to decide the matter, another $4,000 must be raised and paid in to the agent to complete the first payment, 160The purchase price of $40,000 originally included the following terms: The owners wanted $20,000 on or before January 1, 1906. Payments were $1,000 down to secure the property until June 13, 1905; $4,000 more due on June 15; another $5,000 due by the last of July; another $5,000 due the last of August; with the remaining $5,000 due on or before January 1, 1906. The final $20,000 was to be secured by a mortgage on the property for three years. or we should fail in carrying out our part of the contract and might lose the $1,000 already paid in, and the deal would be repudiated. PPP 206.2
For the Conference to have furnished the funds for a portion of the payment would have signified that they had accepted responsibility for all the payments. The uncertainty that the Conference would later accept the responsibility had weakened the confidence of some with means who would otherwise have helped. However, we decided to do our best to secure the necessary money to meet the payment that was due. PPP 206.3
We first asked a Sister Bell Baker, now sleeping, how she felt regarding the securing of Loma Linda. PPP 206.4
“I do not see why any one should hesitate,” she replied. “It seems plain that we should have it.” PPP 206.5
We said, “Are you willing to risk a thousand dollars in it?” PPP 206.6
“Yes,” she replied. PPP 206.7
“You may lose it,” we reminded her. PPP 206.8
“Well,” she said, “I will risk it,” and she gave us a thousand dollars as a loan. PPP 206.9
We next made the same suggestion to a Brother, and he responded with $2,000. We conferred with Elder R. S. Owen, who had made the suggestion as to where we might find the previous thousand dollars for the first payment. He was unable to make any recommendation as to who might help us, but he said: “I have not the money, but here is my property; you may put a mortgage on it for a thousand dollars, to secure the money.” PPP 207.1
We found that it was not necessary to put a mortgage on the property, as his word was good for the amount, so we put in the second $1,000 of the $2400 we received. On the very day it was due we were enabled to meet the second payment [of the first $5,000 due] on the property, which insured holding it until the delegates from the churches should decide what responsibility, if any, the Conference should assume. PPP 207.2
Why the hesitation? PPP 207.3
Just about this time Elder G. A. Irwin, Vice-president of the General Conference, passed through Southern California on his way to attend a general meeting of the Pacific Press Publishing Company at Mountain View. We felt that his presence was timely, and, after relating to him the situation regarding the purchase of Loma Linda, earnestly requested that he attend the coming meeting in Los Angeles. It was arranged that he should return in time to reach Los Angeles on the 19th of June, the day before the meeting appointed, to make the final decision regarding the attitude of the Southern California Conference toward the Loma Linda enterprise. PPP 207.4
We met the train on his arrival at Los Angeles, and accompanied him to Loma Linda, that he might see the place for himself. We spent the night there and returned the following morning. From the Los Angeles station we hurried to the church and found the meeting in progress. The church was crowded with delegates, but seats were found for us on the rostrum. PPP 207.5
Mrs. White was already speaking. In her talk she set forth the high and exalted character of the work that should be done in Medical Missionary work in the Southern California field. Once more she related the descriptions that had been given her in vision, of properties that should be secured and utilized for sanitarium work, and expressed herself clearly as being in favor of securing the Loma Linda property. PPP 207.6
The President of the Southern California Conference161Elder G. W. Reaser, president 1905-1908. had felt that before acting on the question of the securing of Loma Linda, the delegates should have a clear understanding of the financial obligations already resting upon the Conference, that they might better realize what would be involved in this added responsibility. For this reason he had prepared papers ready to be distributed, giving the figures in question. At the close of Mrs. White’s talk he took the floor, and was beginning to speak of the very real difficulties, when Elder Irwin arose, and the speaker courteously granted him the privilege of speaking. PPP 208.1
“I confess that this is a gigantic undertaking that you are facing,” he began. Without minimizing the difficulties, he encouraged the hearers to believe that when God made a call through His servant He would open the seas of difficulty before them as they advanced by faith. He briefly rehearsed the experiences of the denomination as they had followed the counsels that had come through the Spirit of Prophecy in opening up new fields and establishing institutions. Owing to his long experience in the ministry, during several years of which he had been President of the General Conference, he was able to speak from personal observance and contact with the problems of the denomination and of Mrs. White’s relation to them. He could testify of the signal blessing of God that had rested upon the enterprises and upon the workers as they had responded to the messages calling for forward moves. . . . PPP 208.2
While appreciating the tremendous difficulties facing the brethren of the Southern California Conference as they faced the proposition of purchasing and developing Loma Linda, yet seeing Sister White had spoken so clearly regarding it, with his knowledge of past experiences he could only counsel them to face the situation courageously and to move forward in faith. PPP 208.3
When Elder Irwin finished his appeal a lady arose in the audience, a daughter of General Otis, of the Los Angeles Times [sic.]. She had recently accepted the faith of Seventh-day Adventists. PPP 208.4
“I cannot understand,” she said, “why any one should hesitate. It seems to me as clear as day that we should have Loma Linda. I have ten thousand dollars invested in worldly enterprises, and if the Lord will help me to release it I will gladly put it into Loma Linda. I have been praying that He would make me a pioneer in some enterprise.” PPP 209.1
While, as later developed, she was unable to secure the release of her money, as she desired, nevertheless her consecration was used of the Lord to help to turn the tide of public sentiment in favor of securing Loma Linda. Others followed her in the congregation, pledging their support to the move. When the resolution, formerly presented to the smaller gathering in the Los Angeles church, was read, it was carried by an overwhelming vote of the delegates of the twenty-two churches represented in the general meeting. PPP 209.2
The Lord is in these matters PPP 209.3
The time was drawing near when a second payment162This was the payment that was due the last of July 1905. of $5,000 must be paid on the purchase price of Loma Linda. We had approached every one whom we knew in Southern California who would be likely to help, and had written many letters, and had received returns of some. The Conference Committee were beginning to fear that the Conference credit would be jeopardized by this new undertaking, and urged that we try to get free from the financial responsibility by losing the $5,00 [$5,000] we had paid down. In our distress we mentioned that we believed we might secure money in the Sacramento and the San Joaquin churches, as we had often raised money there for the St. Helena Sanitarium, so the committee suggested that we ask the California Conference to permit us to solicit means among the church members in the Sacramento and San Joaquin valleys. PPP 209.4
In harmony with this suggestion, we visited the California Conference163At that time the California Conference contained most of the territory now included in the Central and Northern California conferences. Committee and told them of our perplexities and needs. They reminded us that the Pacific Union Conference had advised the Southern California brethren not to invest in more sanitariums, and reminded us that we had gone contrary to this counsel. Because of this, and because of their own financial needs, they objected to granting us the privilege of soliciting in the territory of the California Conference. We returned home wondering where the needed money would come from. PPP 209.5
As the day when the payment was due drew nearer, and no money was in sight, deep anxiety was felt by those carrying the financial responsibilities of the Conference. At last the day arrived, and the forenoon found the members of the Conference Committee in session in Los Angeles in deep perplexity. It seemed to some that we were unable to meet the payment and that the only way out of the difficulty was to acknowledge our inability to the agent of the property, and if we could not secure an extension of time we must forfeit the contract and lose the five thousand dollars already paid in. PPP 210.1
But it was natural that some members of the committee who had from the first felt that it was unwise to accept the great responsibility, should seem to feel that circumstances had only proved the wisdom of their misgivings. In the face of the humiliating necessity, as it seemed, of losing the property, it was easy and natural to blame and censure those who had apparently pressed the matter through against sound reason and judgment. PPP 210.2
Nevertheless, some remembered the clear words that had come through the Testimonies, and refused to give room to doubt, or to concede that there should be failure. Yet we knew not how relief would come. We suggested that the morning mail might bring relief. Soon after this the postman’s steps were heard coming up the stairs. He opened the door and handed the mail to the one sitting nearest. Among the letters was one bearing the postmark “Atlantic City, N. J.” We opened the letter and took out a draft for $5,000, just the amount needed for the payment. PPP 210.3
We had previously received a letter from Mrs. White, dated July 10, 1905, in which she had said: “I want you to keep me posted about the money coming in with which to make the payments on the ‘Loma Linda’ property. I am writing the different ones, asking them to help at this time, and I think that we shall obtain means to make every payment.”—Letter 197, 1905. PPP 210.4
Probably one of those to whom Mrs. White had written, asking for money, was this sister at Atlantic City, N. J. The Lord had put it into her heart to respond and to mail the letter just at the time when our faith had been tested almost to the limit, that it might be revived and strengthened. PPP 211.1
Needless to say, the feelings of those who had been critical were quickly changed. Eyes filled with tears, and the one who had been the most critical was the first to break the silence. With trembling voice, he said: “It seems that the Lord is in this matter.”“Surely He is,” was the reply, “and He will carry it through to victory.” The influence that filled the room that day hushed the spirit of criticism. It was as solemn as the Judgment Day. PPP 211.2
Soon we were at the bank window and had paid in the $5,000. As the receipt was taken from the counter a voice seemed to say, “See how nearly you missed that payment. How are you going to meet the next one within a month?” In heart we answered, “It will surely come, even though we do not know the source,” and our faith did not waver when the difficulties increased as we moved forward. We thanked God and took new courage in believing that the Lord was going before us.—John A. Burden, The Divine Leadership Through the Spirit of Prophecy, unpublished manuscript, date unknown, White Estate Document File, No. 8a, pp. 85-88. PPP 211.3
Unlooked-for-funds from various persons enabled them to pay for the property in less than six months, thus gaining an additional discount of $1,100. The final purchase price was $38,900—“far below the original cost.” The three properties, originally worth a total of $225,000, were purchased for $56,000—less than one-fourth of their original cost. In 1994 these three hospitals scheduled 56,644 patient-admissions. PPP 211.4
In November of 1905, the Loma Linda Sanitarium and School of Nursing opened. During the first few weeks, the thirty-five Sanitarium employees, including physicians and nurses, learned that patient revenue ($16 to $25 per week per patient—which included medical care, meals, treatments twice a day, and a room) was not sufficient to meet the payroll. With strong faith to offset their deepening poverty, they cheerfully offered to work for room and board until the patronage increased. That winter there were only forty patients. But by June 30, 1906, Sanitarium accounts were over $1,000 in the black.—Schaefer, Legacy, pp. 160, 161. PPP 211.5