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In late 1925, The Aladdin Company of Bay City, Michigan, a pioneer in the manufacture of mail-order “kit” homes, purchased a large parcel of land in the Redland area. Otto and William Sovereign, the founders of the company, began to build a Moorish-themed city made up primarily of buildings featured in their 1920 industrial catalog. It was planned to have a population of 10,000.

After forming the Aladdin City Sales Co. in December 1925, the Sovereign brothers promoted the building of a “dawn-to-dusk” house on opening day on January 14, 1926, flying in all of the materials on six chartered aircraft from Fort Lauderdale on that single day. The Homestead Leader reported that hundreds of spectators gathered to watch the aircraft shuttle in the materials and to watch the crew of 21 carpenters, plasters, electricians, plumbers, and cement workers put up the house. Construction of the house commenced at 7:00 a.m., and was finished at dark, complete with electricity, plumbing, sidewalks, and landscaping. A few days later, an advertisement in the Miami News boasted that 874 homesites had been sold on opening day.

Already operating five house manufacturing plants in the United States and Canada, the Aladdin Company announced plans to open a sixth plant in Aladdin City to provide an instant industrial base. The Sovereigns also sought to attract other manufacturing plants to the city. In addition, the Seaboard Air Line Railway, which was constructing its new extension from central Florida to Homestead, planned to maintain a train station in the new city.