In 1940, after a decade of retrenchment, Calgary was set for another expansionary boom. The city's development to this point had rested on its function as a regional transportation and service centre. The continuing importance of the railway is graphically illustrated in this photograph. Running towards the west (through the centre) is the CPR right.of way. In the middle of the photograph are the CPR station and the Palliser Hotel. The choice of site, which was also the location of the original station, had not been made without careful deliberation. Situated almost at the centre of section fifteen, this meant that according to the terms of agreement between the railway syndicate and the Canadian government the square mile beyond the right of way, which comprised section fifteen, was also CPR land. The railway dictated, both directly and indirectly, the manner in which the commercial and residential core of the community would develop. The wholesale district came to be concentrated along the two blocks immediately to the south (left) of the railway tracks. The retail business district was concentrated mainly in a fifteen-square block area that extended northwards (right) from the station and Palliser Hotel. The main residential area extended outwards from the commercial centre to the Bow and Elbow Rivers. Residential development north of the Bow River, some of which can be seen on the upper right, had begun just prior to World War I but, apart from a short burst in the mid-twenties, had largely stalled. Not seen in this photograph is that part of Calgary which extended eastward for about two miles to merge into a more industrial area. That area included an oil refinery, stockyards and beef packing plants and other agricultural-based enterprises. Note the sparse traffic on city streets.
