Located on the waterfront and close to the former train station, the pagoda was intended to attract the attention of visitors arriving by rail or water.

Competition with nearby Fort William was one factor leading to its construction.

[1] Another factor was the planned construction of the nearby Prince Arthur Hotel, completed around 1910.

[1] The stone panel over the entrance depicts a beaver and a maple branch, both symbols of Canada.

A gable extending over the entrance includes a small dragon's head, said to be a Scandinavian good luck symbol.