Dan Allen was born on April 12, 1832, in Jefferson County, New York, to parents Lyman Allen and Anna Duel. Prior to establishing himself in Omaha, Nebraska, Allen resided for a period in Peoria, Illinois. Little else is documented about his formative years before he embarked on his gambling career.
Allen arrived in Omaha in 1866 during the city's formative period and quickly established himself in the local gambling scene. In 1878, he officially opened a gambling house in Downtown Omaha that would become one of the city's most infamous establishments.
His business operation was notably sophisticated for the era. Allen ran a dual-purpose establishment in the Pioneer Block building—a pawnshop on the first floor and a gambling hall on the second floor. This arrangement created a symbiotic relationship between the two enterprises; when players ran short of funds, they could lower their valuables (watches, diamonds, or other items) via a dumbwaiter to the pawnshop below. The pawnbroker would then send up the equivalent monetary value, allowing players to continue gambling without leaving the premises.
According to accounts from 1880, Allen operated Keno and poker rooms openly with minimal interference from local law enforcement or political figures. This was consistent with Omaha's reputation as a "wide-open" city during its first five decades, where activities like gambling in the "Sporting District" and prostitution in the "Burnt District" operated with limited restriction.
Dan Allen maintained a lifelong romantic relationship with Anna Wilson, described as Omaha's foremost madam for nearly 40 years. The couple is believed to have first met in New Orleans, and Allen eventually persuaded Wilson to relocate to Omaha.
Despite their involvement in businesses that operated on the fringes of legality, both Allen and Wilson developed reputations for personal integrity and generosity. They were known to assist those in need whenever possible. One notable incident involved the theft of $10,000 worth of jewelry from Wilson. When the thief was identified, Allen promised to spare the man's life if he returned the stolen items, which he did, subsequently facing imprisonment rather than more severe consequences.
Allen's relationship with Wilson endured until he died in 1884. Their bond was evidently profound, as Wilson devoted considerable resources to maintaining fresh flowers at Allen's grave throughout the remainder of her life. After her death, they were buried together in Omaha's Prospect Hill Cemetery beneath a concrete slab with upright columns.
Innovative Gambling-Pawnshop Hybrid: Dan Allen’s gambling house featured a clever business model where a pawnshop operated directly below the gambling hall. When players ran out of money, they could send down valuables (like watches or jewelry) via a dumbwaiter to the pawnbroker, who would then send up cash, allowing gamblers to continue betting without ever leaving the table.
Notorious but Respected Figure: Despite his involvement in gambling—an illegal activity at the time—Allen was known for his integrity. In one famous incident, when a thief stole $10,000 worth of jewelry from his partner, Anna Wilson, Allen promised not to kill the thief if he returned the items. The thief complied, was arrested, and Allen kept his word, demonstrating his reputation for fairness even in the underworld.
Dan Allen's significance in early Omaha history extends beyond his gambling operations. Historical accounts describe him as having "great influence throughout the young city" during a formative period in Omaha's development. While details of his specific civic contributions are limited, his status as an influential figure during Omaha's early years is well documented.
Allen and Wilson represent an important chapter in understanding the social dynamics of frontier towns in post-Civil War America, where gambling establishments and brothels often functioned as significant social and economic institutions before more formalized civic structures developed.
Dan Allen was a pioneer American gambler who became a prominent and influential figure in early Omaha, Nebraska. Born in 1832, he established one of the city's most notorious gambling houses in the late 1860s through the 1870s and maintained a lifelong relationship with Anna Wilson, a well-known madam in the city.
Allen's gambling operation featured an innovative business model with a pawnshop on the first floor and a gambling hall on the second floor of Omaha's Pioneer Block. Players could lower valuables via dumbwaiter to the pawnshop when they needed additional funds and receive money in return without interrupting their gambling activities.
Historical records indicate Allen wielded significant influence throughout early Omaha, though specific details of his civic or political activities are limited. His gambling establishment was a notable institution in Downtown Omaha's "Sporting District" during a period when the city was known for its relatively permissive attitude toward gambling and prostitution.
Allen and Anna Wilson maintained a lifelong romantic partnership. They were known to have met in New Orleans before Allen convinced Wilson to relocate to Omaha. Despite operating businesses that existed in legally gray areas, both were reputed to be generous individuals who helped those in need. Their relationship continued until Allen's death in 1884, after which they were eventually buried together in Omaha's Prospect Hill Cemetery.
Dan Allen died on April 26, 1884, at the age of 52.