The Ruthless Family Who Built America

The family synonymous with America’s Gilded Age started with a man born into humble circumstances in New York, who built a fortune in shipping and railroads, becoming one of the richest individuals of his time. His son expanded this empire, particularly in the railroad sector, doubling the family’s wealth.

However, subsequent generations shifted focus from business to luxury and philanthropy, leading to a decline in their financial status as they spent on opulent lifestyles and art rather than reinvesting in new ventures. By the mid-20th century, the family’s vast estate had significantly diminished, with many grand homes sold or converted into museums. Despite this, their legacy persists through contributions to culture, education, and architecture.

One of the few good elite. An American elite family, The Vanderbilt family is synonymous with the Gilded Age of America, a time when wealth and influence transformed the nation’s social and economic landscape. The family’s rise began with Cornelius Vanderbilt, born in 1794 into humble beginnings on Staten Island, New York. Known as “The Commodore,” he amassed a fortune through shipping and railroads, becoming one of the richest Americans of the 19th century. His aggressive business tactics and ability to monopolize key transportation sectors laid the foundation for the Vanderbilt dynasty. By the time of his death in 1877, his wealth was estimated at over $100 million, which would be billions in today’s dollars, making him a pivotal figure in American industrial history.

Cornelius Vanderbilt’s son, William Henry Vanderbilt, inherited and expanded the family’s business empire, particularly in railroads. Under his leadership, the New York Central Railroad became one of the largest in the country, doubling the family’s fortune. William Henry was known for his statement, “The public be damned,” which encapsulated the family’s approach to business. However, the subsequent generations of Vanderbilts began to see a shift away from business acumen towards a life of luxury and philanthropy. They built lavish mansions, including the famous Biltmore Estate in North Carolina, which remains the largest privately-owned house in the U.S., and other grand homes like those on Fifth Avenue in New York City and the “summer cottages” in Newport, Rhode Island.

The third and following generations of Vanderbilts faced challenges in maintaining their wealth. The family’s fortunes dwindled as they moved away from direct involvement in business operations, focusing instead on social status and high society. This era, often referred to as the “Fall of the House of Vanderbilt,” saw their wealth being spent on opulent lifestyles, art collections, and philanthropy rather than being reinvested in new ventures. By the mid-20th century, the once vast Vanderbilt estate had significantly diminished, with many of their grand homes sold or turned into museums. Notable descendants like Gloria Vanderbilt, a fashion designer and artist, and her son Anderson Cooper, a journalist, represent a shift towards new careers and public service rather than wealth management.

Despite the decline in their financial standing, the Vanderbilt legacy endures through their contributions to American culture and philanthropy. They founded Vanderbilt University in Nashville, Tennessee, which has grown into a prestigious institution. Their impact is seen in the architectural heritage they left behind, with buildings like Grand Central Terminal in New York City, which was revitalized under William Kissam Vanderbilt’s influence. The family’s story is one of immense success, followed by a cautionary tale of wealth management, showcasing how fortunes can be made and lost within a few generations. Their history reflects broader themes of the American Dream, the rise and fall of dynasties, and the perpetual question of how wealth should be preserved and utilized.