skip to navigation

Help preserve the historic sites and buildings in Historic Bethlehem. Give to our Annual Fund Today!

News

From Tawery to Summer Resort: The Fantastical Tale of William “Billy” Malthaner and his Saloon

September 2nd, 2020 |

Whether referred to as a “saloon,” “resort,” “beer garden,” or “summer garden beer hall,” William “Billy” Malthaner’s establishment dominated headlines throughout the late 19th-century. Though the building eventually became notorious for its food, entertainment, and regrettably illicit activities, its history also told the story of a more tranquil time in Bethlehem. In 1769, the early Moravians built a tawery or white tannery on modern-day Water Street between the Springhouse and the Waterworks. In this building, they treated animal skins into fine leather, and then processed it into items such as gloves, clothing, book bindings, and chamois (a type of porous leather).

At some point in the early to mid-19th-century, the tawery business ceased, and the building became a residence. After passing down through a series of homeowners, it became a saloon in 1872. The colorful history of the “old brick house” truly took off under its last and most infamous proprietor, the entrepreneurial Billy Malthaner. The Malthaner family name alone holds dear importance to the town of Bethlehem — his uncle, John Christian Malthaner, worked as a famed piano builder and sold over twenty pianos to the Moravian Female Seminary. In fact, Historic Bethlehem holds two of these rare pianos in its collection to this day! Sometime in the 1870s, Malthaner expanded the saloon by adding a restaurant and a concert hall. As a result, it flourished as a popular social scene in the 1880s, as evidenced by its plentiful advertisements in the Daily Times. It even claimed the best sauerkraut in town!

By the 1890s, however, the character of the saloon and the surrounding neighborhood began to change. In part due to its proximity to the Lehigh Canal, residents of the Water Street neighborhood as well as the saloon’s clientele became mostly railroad and canal workers. Rumor had it that Malthaner capitalized on this population of young men by running his own prostitution ring out from the saloon. The place likely had safety concerns as well – in 1893, a man named Ed Coulter was stabbed in face. Possibly to save the saloon’s waning reputation, Malthaner added a bowling alley, though this did nothing to hide his misdeeds. In 1895, the city rescinded his license due to complaints that he ran “a place for men and women of ill repute.” Detractors said he frequently violated the law, and many of his closest supporters abandoned him to sign a remonstrance.

“Malthaner’s Summer Garden Submerged,” The Philadelphia Inquirer, March 13, 1901

Bethlehem did not keep Malthaner out of business for long. In 1897, he successfully petitioned the city council to renew his license. Though his establishment never seemed to recapture its former glory, Malthaner’s name still appeared throughout local newspapers during the turn of the century. One story in particular stands out above the rest. On the night of March 10th into the 11th, 1901, tremendous rainfall caused Monocacy Creek to flood the saloon and submerge it under five-feet of water. Allegedly, Malthaner fled to the second floor to escape the flood. He dejectedly threw himself onto his bed, curiously hitting his head onto something solid in his pillow. Upon further inspection, he found that his pillow concealed $300 of mysterious gold!

Billy Malthaner’s Obituary. The Allentown Leader, March 27, 1902.

This story appeared in headlines across the country from the New York Journal to the San Antonio Express. Though the story seems outlandish, Billy’s whole life had this peculiar quality about it – trouble always found him, yet he possessed an incredible business acumen as well as extraordinary luck to handle anything that came his way. On March 26, 1902, Billy died at age 48 in his saloon. His wife Eva, a laundress and alleged pickpocketer, managed his estate. The historic building unfortunately suffered a similar fate to Malthaner. Upon orders of the Bethlehem City Council, it was torn down after 1902.

Though Malthaner’s life remains mired in controversy, he also achieved a great deal of success. He owned multiple properties, including dwellings on Union Street and Fairview Street. More so, he fulfilled a core mission for the city. During the late 19th-century, the Moravians primarily sought to develop Bethlehem into a summer resort. In this way, Malthaner succeeded in drawing attention as well as visitors to the saloon and the city. He remains an iconic figure, and a forefather to the illustrious town of Bethlehem.

Sources

“A Lucky Find.” The Central News (Perkasie), April 4, 1901.

“Bethlehem, Pa. [1885].” Map. New York: Sanborn Map & Publishing Co., 1885. From Penn State University Libraries, Digital Collections.

“Billy Malthaner Dead.” The Allentown Leader, March 27, 1902.

Libin, Laurence. “More Light on J. C. Malthaner, Moravian Piano Manufacturer,” Journal of Moravian History 17, no. 2 (Fall 2017): 105-137. JSTOR.

“Malthaner’s Summer Garden Submerged.” The Philadelphia Inquirer, March 13, 1901.

“Many Strike Snags.” The Allentown Leader, March 19, 1895.

“Mr. Malthaner’s Estate.” The Allentown Leader, April 2, 1902.

Smith, Jewel A. Music, Women, and Pianos in Antebellum Bethlehem, Pennsylvania. Bethlehem: Lehigh University, 2008.

“Stabbed by a Comrade.” The Allentown Leader, December 19, 1893.

Vadasz, Thomas Patrick. “The History of an Industrial Community, Bethlehem, Pennsylvania, 1741-1920.” PhD diss., College of William and Mary, 1975. W&M ScholarWorks.

Alex Cross is the summer 2020 exhibitions and research intern at Historic Bethlehem Museums & Sites. He is a graduate of Gettysburg College and is pursuing a master’s degree in history at Lehigh University.

Our Partners

Translate

Translate the Historic Bethlehem Museums & Sites website into your language of choice!