When it came down to do or die, they chose to do. The progressive town of Smooth Rock Falls in northern Ontario came up with a plan to offer $500 serviced lots as a way to draw residents and reverse its declining population.

In 2006, after the main and only employer, Tembec Mill, closed after being in business for over 100 years, there was an exodus of residents, says Mayor Sue Perras. “People sold their houses for whatever they could get. Some just left their homes behind.”

The residents who remained wondered about the town’s future, and so did its community leaders. Something had to be done.

A 20-year vision and strategic plan was initiated in 2013 and approved by council in September 2014. The plan included marketing vacant lots for $500.

When the idea was first raised during a brainstorming session, Perras says, “We thought it was kind of crazy, but then thought, ‘the land is vacant anyway’ and looked at it.”

Now other communities are examining the concept or using the same idea, she says.

Buyers purchase a lot for $5,000, build a home within two years and upon completion receive a $4,500 rebate. They also receive tax incentives. The town won’t make any money initially but it is counting on future revenues and new residents and businesses to keep the town alive.

In addition to the $500 lots (the typical residential property is 50×100 feet) Smooth Rock Falls has affordably priced resale houses. However, they are increasing in value. A three-bedroom bungalow on a 50×150-foot lot that sold for an average of $55,000 is now, four years later, worth an average of $135,000, a 144-per-cent increase.

“When we launched our marketing campaign to attract people to Smooth Rock Falls in 2017, houses were languishing on the market for months and months. Some had stood empty for so long they had to be bulldozed as they were uninhabitable,” says Perras in a news release. “Today, private houses are selling within days and many are being purchased sight unseen. It’s quite a turn around.”

Buyers are coming from other provinces, such as Newfoundland and Alberta, and Southern Ontario, including people from the GTA and Ottawa. What makes the mayor happy is the return of former residents who left in search of employment but who are moving back because they are now retired.

The marketing campaign drew nationwide attention for its financial incentives. Even potential buyers from Europe expressed interest but didn’t end up buying a lot because they are required to build within two years. “We don’t want a person to buy (and) sit on it,” Perras says. The plan is to draw residents and to create taxes for the town, to bring people into the schools, arenas, parks and businesses.

In addition to the $500 lots, Smooth Rock Falls has affordably priced homes.

The town population was 1,330 according to the 2016 Census. Sixty new families have moved to the bilingual town in the last four years, also drawn by Smooth Rock Falls amenities. There is  an “amazing state-of-the-art hospital with no wait times, a regional hospital 1.15 hours away, a French and English school, a park, arena and pool. “We need to keep those things going and in repair. We need things to attract people,” says the mayor.

A grocery store is another important amenity. For 18 months, residents had to leave town to buy groceries after the one-and-only supermarket burned down. The problem of high taxes and costs for someone to build was solved when the town bought land, built and rented the space to a grocery store.

“If people go out of town for groceries, they will buy their lumber there and get their prescriptions there,” Perras says. “We had to react.”

The town also bought the former Knights of Columbus building. It now houses a program that supports aging at home. “We offer good services,” says the mayor. The town even bought a minivan that transports seniors for $5 per trip.

Smooth Rock Falls also recently opened an industrial park. The Near North Industrial Centre is a 23.6-acre industrial park with a range of incentives. Next on the town’s agenda: initiating a master study to explore ways to unlock 140 acres of waterfront land in town.

The pandemic affected all northern communities as people moved from south to north, working at home and planning to continue to do so, she says. “There’s a better lifestyle living in the north, a slower pace and affordable housing.”

Timmins, about 1.15 hours away, has an airport that offers Air Canada and Porter Airlines service. Perras says the Ontario government will most likely reinstate train service in Northern Ontario in the near future.

“I have always lived in Smooth Rock Falls but am a fan of the city,” says Perras, who says she has travelled to Toronto on numerous occasions to take in musical theatre. “I have seen every musical. I can afford to travel because housing (here) is not costing as much.”

These days there are not many houses for sale in Smooth Rock Falls, nor are there many rentals. However there is a good supply of both residential and commercial lots. Many people are opting for prefab homes instead of building homes on site.

As good as the incentives sound, Perras cautions people to do their homework. “Smooth Rock Falls is in Northern Ontario. There’s snow and it’s cold, and there are no malls. If you expect to go shopping in a mall, it’s a one-hour drive to Timmins. It takes time to adapt. Be ready to accept that it’s different than Toronto.”

She says some people embrace the lifestyle because it’s relaxing and friendlier than big cities. But she still urges people to ask questions.

To say Perras is passionate about the town is an understatement. “I want to see it grow. We’re on Highway 11, the main highway all across Canada. There is a lot to see and do, and lots of nature.”

However, COVID has presented its challenges. Prior to the pandemic, the economic development department was knocking on doors and telling new residents about town services. But they haven’t been able to do that. Perras says she used to know everyone in town but now sees unfamiliar faces. She hasn’t been able to meet the new residents, but as things open up, she says things will change.

Being creative, innovative and progressive, then getting the word out about their plan is paying off. Perras says she realizes it won’t happen overnight, but positive changes are happening.

The mayor from Kapuskasing was travelling from Pearson International Airport in Toronto to a conference. The cab driver asked where he was from. The driver didn’t know where Kapuskasing is, or Thunder Bay. But the driver asked the mayor if he knew of Smooth Rock Falls, saying, “They have land for $500.”

For more information, contact Shannon Michaud, economic development officer, at 705-338-2717.

Connie Adair

Connie Adair is a contributing writer for REM.