Chase Creek, which drops over three small waterfalls before flowing through the town, enters the South Thompson just below the lake's outlet.
A Royal Canadian Mounted Police detachment is located in Chase and serves the village, surrounding highways and First Nations communities.
The road would offer a shorter route for visitors arriving at the resort community from the east.
Beaches, boat launches and a large pier provide access to the lake and South Thompson River.
The town was named after one of the first settlers in the district, Whitfield Chase who established a ranch where the South Thompson River runs out of Little Shuswap Lake in 1865.