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 ranchers who hauled produce to Portland docks for ocean shipment, principally to the Sandwich Islands. He also induced other craft to tie up in Portland harbor. Nathaniel Crosby who earlier had founded a "paper" town he named Milton, on Multnomah Channel, engaged in similar commerce, and built Portland's first commodious residence. New settlers staked claims and felled timbers. The town's perspectives widened.

In 1850–51 Portland townsite owners—her founders had been replaced by Stephen Coffin, William W. Chapman, and Daniel H. Lownsdale—began negotiations that led to the purchase in California of the sidewheel steamer Goldhunter. At Milwaukie, Lot Whitcomb, builder of the riverboat that bore his name, also acted as agent for a line of ocean vessels.

Portland was incorporated in 1851, and in the same year three brick buildings were erected. The advent of steam craft on the river added greatly to the town's prosperity. And as population increased, river commerce grew. Imports destined for distribution inland were unloaded at Portland wharves and transferred to riverboats. The Rev. Ezra Fisher of Oregon City, visiting the growing town in January, 1853, described it in unemotional but promising terms: "Portland is the principal port in Oregon. The present population is estimated at seven hundred souls. It contains thirty-five wholesale and retail stores, two tin shops, four public taverns, two steam sawmills, one steam flouring mill, with two runs of stones, six or eight drinking shops and billiard tables, one wine and spirit manufactory, a variety of mechanic shops and from eight to fifteen merchant vessels are always lying at anchor in the river or at the wharves...This is the place where nearly all the immigrants by water land and from which they will go to their various points of destination."

In 1854 Portland became the seat of government of the new Multnomah County, created out of parts of Washington and Clackamas counties. The assessed valuation of property in 1855 was $1,196,034; the population was 1,209. Added settlement constantly expanded the town's boundaries. Covered wharves, privately owned, were built along the waterfront, and a public levee was constructed. Many merchants who became active in the municipality in those