An excerpted chapter of an unknown origin detailing Capitola's earliest history and its intertwined nature with F. A. Hihn's business dealings. Also shortly described are the first court house in the area, the rate of interest & debts, and the Odd Fellows Lodge.

Notables: La Playa de Soquel, F A Hihn, Camp Capitola, Old Soquel Landing Road, potatoes, Sedgwick J Lynch / Sedgewick J Lynch, S A Hall, Soquel Congregational Church, Hawaiian Gardens, Capitola Hotel, Katherine Hihn Henderson / Katherine Henderson, H Allan Rispin, Benjamin Hayes Smith, Thomas Fallon, Carmelita Lodge Fallon / Carmelita Fallon, Martina Castro Lodge / Martina Lodge, Lambert B Clements, IOOF Lodge, Santa Cruz Congregational Church, W A Tenney, John S Mattison, Narcissa Parrish, Phoebe Feeley, Lucy M Burrell, Augustus Noble, Rachel Hall, Jane McKay, Joshua Parrish, A L Ward, Maud Grover, Eva Strickland, Dwight L Moody, East Side Methodist Church, J H Strong, R A Duncan, L N Barbour, G M Dexter, A B Palmer, Howard Mudie, James Parsons, A B Snyder, Plantation House, sugar beets, Sugar Mill, John Hames, Drucilla Shadden Hames / Drucilla Hames, Gervis Hammond, Hugh Pablo McCall / Hugh Paul McCall, G H Kirby, John Daubenbiss, Henry Hill