The ranchos of California were concessions and land grants in what was then known as Alta California, made by the Spanish and Mexican governments between 1775 and 1846. The Spanish concessions of land were made to retired soldiers as an inducement for them to settle in the frontier. These concessions reverted to the Spanish crown upon the death of the recipient.
After independence, the Mexican government encouraged settlement in these areas by issuing much larger land grants to both native-born and naturalized Mexican citizens. The grants were usually two or more square leagues, or 35 square kilometres (14 mi) in size. Unlike Spanish Concessions, Mexican land grants provided permanent, unencumbered ownership rights. Most ranchos granted by Mexico were located along the California coast around San Francisco Bay, inland along the Sacramento River, and within the San Joaquin Valley.