Bargains in the Sun

THE VIRGIN ISLANDS

Americans have Kaiser Wilhelm to thank for the Virgin Islands. Though U.S. Presidents had tried for 52 years to acquire the strategic Caribbean vantage points, it was not until Denmark--which controlled them for over two centuries--was threatened by the Germans in World War I that the Danes agreed to transfer the islands to U.S. custody. On March 31, 1917, the U.S. took title to its new possession for the fire-sale price of $25 million, paid in nearly 48 tons of gold bullion.

That windfall of war was celebrated last week in the tranquil islands with the tintinnabulation of steel bands and church bells. A commemorative 6-c- airmail postcard--the first in U.S. history--was issued for the fortnight-long celebration of the 50th anniversary of Transfer Day. Denmark sent officials and exhibits, and the Danish flag was hoisted again beside the old Government House. The islanders cavorted and caroused at horse races, baseball games, parades, masquerade parties and firework shows.

Sun, Sea & Serenity. Though there are 50 islands in all, only three of the U.S. Virgins* are capable of supporting populations: St. Thomas, St. Croix and St. John. They total 132 square miles, barely a tenth of the size of Rhode Island; yet 50,000 residents call them home, and half a million tourists each year find them a lotus-eater's land of sun, sea and serenity.

Lying 75 air miles east of Puerto Rico, the islands still have the scrubbed and simple air of a fishing village. Though most of the residents are Negroes, racial tensions are minimal. Litter is as uncommon as unemployment and crime. In the past decade, the burgeoning tourist trade has brought luxury hotels, excellent restaurants and chic stores. A free port provides luxuries at low prices: a fifth of Tanqueray gin sells for $1.85 v. $5.98 in New York.

Slob, Humbug & Jealousy. Volcanic in origin, the islands are a myriad of forms and sizes ranging from a barren cay to agricultural St. Croix, which is 26 miles long and up to six miles wide. St. Thomas offers the bustle of Charlotte Amalie, the islands' capital city, as well as ancient forts and quaint Danish architecture. St. Croix, quieter and less populated, boasts a rain forest and an arid, cactus-studded bluff, wildlife (deer, quail), a profusion of tropical fruit from papaya to pineapples, a golf course, and old plantations with such calypso names as "Slob," "Humbug" and "Jealousy." St. John remains mostly unsettled, its rugged terrain a protected national park; but for the wealthy it has the Rockefellers' exclusive resort at Cancel Bay, where two recent visitors were Lady Bird and Lynda Johnson.

There are problems in paradise. While luxuries are cheap, most necessities are outrageously expensive. Per capita income is only $2,100--about $600 less than on the mainland. Yet, since most staples must be imported, prices average 25% over those Stateside. Electric bills average $45 monthly, eggs cost 99-c- a dozen, soft drinks average 75-c- for a large bottle--making the soda as costly as the Scotch. Housing is astronomically high: a fair-sized lot with a modest home can run as high as $75,000. Bad roads are made even more hazardous for tourists by the custom of driving on the left. Water is so scarce that some areas are without for eight hours every night, although a badly needed saltwater conversion plant on St. Croix was dedicated last week, and will alleviate the problem. As residents of an unincorporated territory, the islanders are granted U.S. citizenship, but they cannot vote in American elections.

With all their headaches, the islands have more than doubled their population since 1930. Each year settlers arrive by the hundreds and tourists by the hundreds of thousands--dumping more gold on the Virgins annually than it cost the U.S. to buy them in the first place.

* So named by Columbus in 1493 in honor of England's St. Ursula, who, according to legend, was slaughtered while defending her virginity against pagans.

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