Relocating the station allowed CN to shift mainline track further north, eliminating a long curve to the south.
The CN mainline between Toronto and Montréal crosses the Rideau Canal system at Kingston Mills, a rural area north of the city, although a spur once existed to serve the formerly-industrial waterfront.
As CP operated K&P's Inner Station directly opposite Kingston City Hall in what is now Confederation Park, the Grand Trunk employed a waterfront agent, Hanlon's Depot (Ontario and Johnson), to remain competitive.
Land now occupied by Confederation Park, a waterfront Holiday Inn and downtown Ontario Health Insurance Plan offices was once filled by trackage and rail yards, with grain elevators on what is now the Wolfe Islander III dock.
[13] One 2004 report to Kingston City Council estimated a $4 million cost to restore the building and clean up toxic contamination of the surrounding grounds.
[14][15] In 2014, Doornekamp Construction proposed relocating the former station to outer Wellington Street, in downtown Kingston, and rebuilding it as office space.
[16] The former station's sub-prime location in Rideau Heights, long one of the worst neighbourhoods in the city, limits economic prospects for redevelopment of the historic property.
[19] In 2015, the City of Kingston established the North King's Town Secondary Planning project, to examine the revitalization of neighbourhoods which include the Outer Station.
Due to its prime location at 209 Ontario Street in downtown Kingston (44°13′45″N 76°28′49″W / 44.22917°N 76.48028°W / 44.22917; -76.48028), the historic Inner Station remains open, maintained as a tourist information centre after restoration.
[20] CN passenger service in downtown Kingston existed briefly from Hanlon's Depot (now a restaurant, PJ Murphy's) but never used the K&P station.