Editor's Notes: On September 1, 1873, the Clay Street Hill Railroad, the world's first cable car line began carrying revenue passengers on its cable trains (each train consisted of a grip car or dummy and a trailer) on Clay Street from Kearny to Leavenworth. The line was very successful from its inception from both a financial and technical perspective. During 1877 the company extended it line westward from Leavenworth to Van Ness Avenue. Also, in 1877 the California Street Railroad started construction on a competitive parallel cable line on California Street. This line opened on April 10, 1878 from Kearny to Fillmore Street. Much trade was lost to this new company.

During 1888 the Ferries & Cliff House Railway purchased the Clay Street Hill Railroad to gain access to the Ferry Building — at the time, the most important public transportation terminal on the West Coast. On September 30, 1888, the Ferries & Cliff House Railway opened a new line (its fourth line) known both as Ferries & Cliff House line or Sacramento line. This line ran from the Ferry via Sacramento to Powell, Jackson hence to Central Avenue & California. Returning via Central Avenue, Jackson, Steiner, Washington Streets, Powell, Clay to the Ferry. This line alternated with the Jackson Street via Powell line. The eastern terminal of former Clay Street Hill Railroad was now cut back to Powell from Kearny.

On September 9, 1891 the Clay Street Shuttle (Powell to Van Ness Avenue) was discontinued (article below) to create the new Sacramento-Clay line. On November 2 of that year the Ferries & Cliff House Railway opened the Sacramento-Clay line from the Ferry via Clay, Larkin, Sacramento to Walnut Street. Return via Sacramento direct to the Ferry. WER

A Clay Street Hill Railroad cable train awaits its departure from its western terminal Van Ness Avenue, 1877. From the opening of the Clay Street Hill line in 1873 until it was shut down eighteen years later in 1891, this line operated cable trains.

San Francisco News Letter
September 12, 1891

It is worthy to remark that the Clay-street cable cars have ceased to run. The last car on the old line left Powell and Clay streets at 11:30 o'clock on Wednesday night with a number of railway officials and a few of the old-timers who had worked on the road for a number of years.

At Van Ness avenue Assistant Superintendent Skinner broke a bottle of champagne over the grip, and the line ceased to be. The dummy and car were then turned into the roundhouse, and there they will remain until bought up as curiosities or sent to the World's Fair.

The Clay-street cable line was the first ever operated in the world. The first car ran down the hill on August 2, 1873, A.S. Hallidie, the inventor, handling the grip.

The original line was from Kearny to Jones street. It was afterwards extended to Van Ness avenue. The Ferries and Cliff House Company, which owns the Claystreet line, will soon begin laying a new track for its line from the Ferries to Central Avenue, and Clay street will be used as the avenue for the down-town travel.

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