San Francisco and Oakland Railroad

In 1864 the track was extended across a bridge over Indian Creek Slough, the outlet to Lake Merritt, then along private right-of-way adjacent to San Antonio Creek (Oakland Estuary) to the Commerce Street Wharf (foot of 14th Avenue) in San Antonio.

The cost of the extension and of building a new larger ferry boat caused Gibbons and his associates to lose control of the company SF&O in 1865 to A. A.

[1] Meanwhile, the Western Pacific Railroad (1862-1870) had surveyed a line from San Jose via Niles Canyon and Altamont Pass to Sacramento, but ran out of money in a 1866 dispute, after laying 20 miles (32 km) of track from San Jose into the middle of Niles Canyon.

By 1868, a CP subsidiary had purchased the WP line and then restarted the construction of it, through a contract with Turton, Knox & Ryan, beginning February 1868 from Sacramento working south to connect with the line beginning, later in June 1869, eastward from the point Western Pacific had stopped in Niles Canyon.

The city of Oakland held a large celebration later in the day to greet the first westbound transcontinental train.

On 7th Street there was still a large amount of traffic of local steam passenger trains as the service was extended farther into East Oakland.

[4] The first ferryboat used by the SF&O, the leased Contra Costa, had previously been in service from San Francisco to the foot of Broadway.

With the extended railroad line, traffic increased considerably and the Louise was soon inadequate for regular service.

The larger river packet Washoe, having been damaged in an explosion, was purchased, extensively rebuilt as a ferryboat, and placed in service.