In the late 1970s, the provincial government met with local community representatives to try to find a method of increasing tourism in Gladstone.

Since Gladstone was also referred to as "Happy Rock," they decided that it would be a good idea to create something that would symbolize this.

In 1984, the local Chamber of Commerce held a logo contest for the design of a mascot that would represent Happy Rock.

The Community Places Grant Program also provided funding of up to 25% of the total project cost.

When Happy Rock was finished, its total height was 36 feet (11 metres) and weighed around 3,000 pounds (approximately 1400 kilograms).