GIMLI, MANITOBA

From Icelandic Settlement to a Canadian Lakeside Community

On the western shore of Lake Winnipeg, approximately 75 kilometres north of Winnipeg, lies Gimli, a community whose history is closely tied to Icelandic immigration, commercial fishing, agricultural settlement, and the development of Manitoba’s tourism industry.

Today, Gimli is known for its Icelandic heritage, waterfront, beaches, cultural festivals, historic buildings, and summer cottages. Its identity, however, was shaped by much more than its picturesque lakeside setting. The community began as an ambitious experiment in immigration and self-government, endured disease and difficult winters, developed into an important fishing and agricultural centre, and eventually became one of Manitoba’s best-known recreational destinations.

Its story also reflects a broader Canadian history: the displacement and survival of Indigenous peoples, the arrival of European immigrants, the expansion of transportation networks, the development of military infrastructure, and the transformation of rural communities in the twentieth century.

1. Before Gimli: The Indigenous Lands Around Lake Winnipeg

Long before European settlers established Gimli, the western shores of Lake Winnipeg were part of the homelands and traditional territories of Indigenous peoples.

The region lies within the broader territories associated with Anishinaabe and other Indigenous nations, whose histories, trade networks, seasonal movements, and relationships with the lake long predate the establishment of Manitoba as a province in 1870.

Lake Winnipeg provided food, transportation, and access to extensive inland waterways. Fishing was particularly important, while rivers and overland routes connected communities throughout the Interlake region and beyond.

The surrounding landscape also supported hunting, gathering, and trade. Knowledge of local weather, seasonal conditions, fish populations, and the movement of animals allowed Indigenous communities to live in close relationship with the region’s changing environment.

European exploration and the fur trade subsequently brought new economic and political pressures. The expansion of colonial settlement altered land use, commercial relationships, and patterns of access to resources.

When Icelandic immigrants arrived in the Gimli area in 1875, they entered a region that already had a human history extending back thousands of years.

Understanding this context is essential to understanding Gimli itself. The establishment of the Icelandic settlement was a significant chapter in Canadian immigration history, but it was not the beginning of human history along Lake Winnipeg.

2. 1875: The Arrival of the Icelandic Settlers

Gimli’s recorded history as an Icelandic settlement began in October 1875.

During the nineteenth century, Iceland experienced severe economic hardship. Its economy depended heavily on agriculture, fishing, and livestock, while volcanic eruptions, harsh weather, disease among livestock, and restrictive economic conditions contributed to periods of widespread deprivation.

For many Icelanders, emigration offered the possibility of a more secure future.

Canada, with its vast territory and expanding settlement policies, became an attractive destination. The Canadian government was interested in encouraging immigration and establishing agricultural communities in the West.

An opportunity emerged to create a settlement specifically intended for Icelandic immigrants along the western shore of Lake Winnipeg.

The first group of approximately 250 Icelanders reached the area in October 1875. Their original destination was the Whitemud River, known to Icelandic settlers as the Icelandic River, but the approaching winter influenced their decision to land farther south at Willow Point.

There, they established the beginnings of a permanent community.

The settlement was named Gimli, a name drawn from Norse mythology. In the mythological tradition, Gimli is associated with a beautiful dwelling or place of refuge after the destruction of the world. The name is commonly translated as a heavenly abode or home of the gods.

It was an evocative choice for people attempting to establish a new life far from their homeland.

The reality awaiting them was considerably less idyllic.

The first settlers faced unfamiliar terrain, limited supplies, inadequate shelter, and the challenge of surviving a Manitoba winter. Their initial dwellings were rudimentary, and the community lacked the infrastructure needed to support a growing population.

The first winter was particularly difficult. Food shortages forced the settlers to depend partly on assistance from neighbouring communities, including residents around Sandy River.

When spring arrived, some settlers left for Winnipeg and other areas where employment was available. Those who remained continued building the settlement.

Their decision laid the foundation for one of the most distinctive immigrant communities in Canadian history.

Sources: ⁠Manitoba’s Historic Resources Branch; ⁠Historic Sites of Manitoba.

3. New Iceland: An Unusual Experiment in Self-Government

Gimli was part of a much larger settlement project known as New Iceland.

In 1875 and 1876, the Canadian government set aside land along the western shore of Lake Winnipeg for Icelandic immigrants. More than a thousand Icelanders settled in the area during these early years, establishing a colony intended to preserve their language, culture, and community institutions.

The settlement developed its own system of government.

New Iceland adopted a constitution and established local rules and institutions to regulate community life. It operated with a considerable degree of autonomy, making it an unusual experiment in the settlement of the Canadian West.

The colony was not an independent sovereign country in the modern international sense. It existed within Canada and remained subject to the broader authority of the Canadian government. Nevertheless, its internal political arrangements gave it a distinctive identity.

This arrangement was particularly important to Icelandic immigrants who wanted to maintain their cultural traditions while establishing themselves in a new country.

The community developed institutions suited to its needs, including local administration and systems of collective decision-making.

In 1881, Manitoba’s boundaries expanded northward to encompass the settlement. New Iceland continued operating under its existing arrangements for several more years before adopting the regular municipal system in 1887.

The experiment had ended, but its cultural legacy endured.

New Iceland became one of the most important centres of Icelandic settlement outside Iceland itself. Its history is recognized nationally as a distinctive episode in the development of Western Canada.

The establishment of New Iceland is commemorated by a federal historic designation in Gimli, recognizing both its unusual approach to democratic governance and its contribution to Icelandic-Canadian cultural heritage.

Sources: ⁠Parks Canada’s designation of New Iceland; ⁠Rural Municipality of Gimli: History.

4. Disease, Loss, and Survival

The early years of New Iceland were marked by hardship beyond the challenges of establishing homes and farms.

In 1876–1877, a smallpox epidemic devastated communities in the Interlake region.

The disease affected Icelandic settlers as well as Indigenous peoples. The epidemic caused substantial loss of life at a time when the settlement had limited medical resources and few of the institutions that would later support the region’s population.

The Icelandic Pioneer Cemetery in the Gimli area became an important burial and memorial site associated with this period.

Established in 1875, it is recognized as the first Icelandic cemetery in Manitoba and the oldest Icelandic public cemetery in Canada.

Today, the cemetery serves as a physical connection to the pioneers who established New Iceland and to the suffering experienced by the region’s early inhabitants.

For the Icelandic settlers, survival depended on cooperation, adaptation, and the gradual development of a more sustainable local economy.

They needed to establish farms, secure food supplies, develop transportation, and create institutions capable of supporting future generations.

Their success was neither immediate nor inevitable. It emerged through years of work and the gradual expansion of the community.

5. The Arrival of New Immigrants

During the final years of the nineteenth century, the character of the Gimli region began to change.

In 1897, the New Iceland reserve was opened to homesteaders from other backgrounds. The Icelandic community was joined by immigrants from Eastern Europe, including Ukrainians, Poles, Hungarians, and Germans.

These newcomers contributed to the transformation of the surrounding countryside.

Icelandic settlers had developed a strong connection to Lake Winnipeg and its fishing opportunities. Many immigrants from other backgrounds established agricultural operations, helping expand the region’s farming economy.

The resulting community was increasingly multicultural.

Icelandic traditions remained prominent, but they existed alongside other cultural influences. Languages, religious traditions, food, agricultural practices, and family customs contributed to the area’s evolving identity.

This transition was important because Gimli did not remain an isolated Icelandic colony. It developed into a broader regional community in which several immigrant populations established lasting roots.

The agricultural and fishing economies complemented one another. Farming supported inland settlements, while fishing provided employment and commercial opportunities along the lake.

Over time, the two industries became central to the region’s economic life.

The legacy of this period remains visible in Gimli’s historic buildings, family businesses, cultural organizations, and community traditions.

6. 1899: The Opening of Tergesen’s General Store

One of Gimli’s most important surviving historic businesses began operating in 1899.

The H. P. Tergesen general store was established by Hans Pjetur Tergesen and opened for business on January 1 of that year.

The store served a community in which access to supplies and commercial services was becoming increasingly important.

General stores were central institutions in many rural Canadian communities. They supplied clothing, household goods, tools, food, and other necessities, while also serving as places where residents exchanged information and maintained social connections.

Tergesen’s became an enduring part of Gimli’s commercial history.

The business expanded as the community grew, and the building underwent alterations and additions during its early decades.

Remarkably, the store has remained in the hands of descendants of its original owner. It is recognized as Manitoba’s oldest operating general store.

Its survival offers a rare glimpse into the commercial life of an earlier Gimli, when local businesses supplied the needs of a growing agricultural and fishing community.

The store also illustrates an important feature of the town’s development: despite changes in transportation, industry, and tourism, certain family businesses remained closely connected to the community across generations.

For visitors interested in local history, Tergesen’s is more than a retail establishment. It is a surviving link between modern Gimli and the settlement that existed more than a century ago.

Source: ⁠Gimli Municipal Heritage Advisory Committee.

7. 1900: The Development of Gimli Harbour

Fishing had become an important part of Gimli’s economy, but the industry depended on reliable access to the lake.

In 1900, a permanent pier was constructed with assistance from the federal government. Icelandic contractor J. J. Vopni undertook the work at a cost of approximately $9,000.

The harbour provided a more dependable location for fishing boats, commercial vessels, and the transportation of goods and passengers.

Its development helped strengthen Gimli’s connection to the wider Lake Winnipeg region.

Before reliable roads and air transportation became widespread, waterways played an important role in moving people and supplies. Commercial vessels connected settlements along the lake, while the harbour gave fishing operations a place to land their catches and service their boats.

Over the following decades, Gimli Harbour was expanded and improved several times.

Commercial fishing remained important even as other transportation systems developed. Eventually, however, the growth of road networks and airports reduced the importance of lake transportation for freight and passenger travel.

The harbour adapted to changing circumstances.

It continued to serve commercial fishers while also becoming a centre for recreational boating, sailing, tourism, and public events.

Today, the waterfront is one of Gimli’s most recognizable features. The harbour connects the community’s economic history with its modern identity as a lakeside destination.

Source: ⁠Gimli Harbour Authority: History.

8. 1906–1908: The Railway Transforms Gimli

The arrival of the railway in 1906 marked a major turning point in Gimli’s development.

The Canadian Pacific Railway extended its line northward from Winnipeg Beach, making the Gimli area more accessible to residents of Winnipeg and southern Manitoba.

For the local economy, the railway meant improved transportation, increased commercial activity, and easier movement of agricultural and fishing products.

It also changed how people experienced the community.

Until then, travelling to Gimli could be difficult and time-consuming. The railway made the journey more practical for visitors seeking relief from the summer heat of the city.

Tourism began to expand.

Visitors came to enjoy Lake Winnipeg, its beaches, fishing opportunities, and recreational activities. Some established seasonal residences, while others stayed in local accommodations.

Cottage development became an increasingly important feature of the surrounding landscape.

In 1908, the Village of Gimli was incorporated as a separate municipality. The incorporation gave the growing settlement a more formal administrative structure and marked an important step in its development as a town.

The railway had helped transform Gimli from a relatively isolated settlement into a community connected to Manitoba’s expanding transportation and tourism networks.

Its long-term influence remains visible in the town’s waterfront, commercial district, and surrounding cottage communities.

9. The Icelandic Festival: Preserving a Cultural Identity

Gimli’s Icelandic heritage became one of its most important cultural assets.

The Icelandic Festival of Manitoba, known in Icelandic as Íslendingadagurinn, is among the most recognizable expressions of that heritage.

The festival celebrates Icelandic history, traditions, language, food, music, and community life. It brings together local residents, descendants of Icelandic immigrants, visitors from elsewhere in Canada, and people travelling from the United States and Iceland.

The event has become a defining feature of Gimli’s summer calendar.

Its importance extends beyond entertainment. The festival provides an opportunity for successive generations to maintain connections with their ancestry and for visitors to learn about the history of New Iceland.

Cultural continuity has been particularly significant in a community that has become increasingly diverse.

Gimli’s Icelandic identity does not mean that every resident is of Icelandic descent. Rather, Icelandic heritage remains one of the central traditions through which the community understands and presents its history.

The festival also contributes to the local economy by attracting visitors who support restaurants, shops, accommodations, and other businesses.

In this way, a cultural institution has become both a means of preserving the past and a contributor to the community’s present-day economy.

10. The Second World War: Gimli Becomes a Military Centre

Gimli’s history took another unexpected turn during the Second World War.

The area became the site of an air base and the Royal Canadian Air Force’s Service Flying Training School.

The military installation brought a new source of employment and activity to the region. Aircrew training required infrastructure, personnel, maintenance, and supporting services, connecting Gimli to Canada’s wartime aviation effort.

The base altered the local economy and brought people into the area who might otherwise never have visited the community.

Following the end of the war, the installation closed in 1945.

However, its military history was not over.

In 1950, the base reopened as a jet fighter training school. It subsequently trained thousands of Canadian pilots before its military role ended in 1971.

The closure was a significant economic blow.

Military installations generate employment beyond their immediate operations. Their personnel support local shops, restaurants, housing, services, and other businesses. When a base closes, these economic relationships can disappear quickly.

Gimli faced the challenge of finding a new purpose for a substantial piece of infrastructure.

The eventual conversion of the former base into an industrial park helped create new economic opportunities and gave the site a productive civilian future.

Today, the former air base forms part of Gimli’s industrial and commercial landscape.

Its history illustrates how a relatively small community can become connected to national events and how the consequences of those events can continue to shape local development long after the original purpose has disappeared.

11. 1971: The Closure of the Base and the Development of a New Economic Future

The departure of the military in 1971 forced Gimli to reconsider its economic future.

The loss of the base threatened jobs and local business activity. In response, federal and provincial authorities provided approximately $1.6 million for economic development and related programs.

The closure also helped stimulate efforts to strengthen the area’s cultural and tourism infrastructure.

In 1971, members of the Icelandic community established the Icelandic Cultural Corporation, with the creation of a museum among its principal objectives.

The intention was to preserve artifacts, document the settlement of New Iceland, and create an institution capable of communicating the Icelandic-Canadian experience to future generations.

The initiative developed into a broader heritage project.

In 1973, the Gimli Development Corporation purchased the former B. C. Packers fish-packing plant. By 1974, the building had been renovated into a museum with exhibits devoted to Icelandic heritage, Ukrainian heritage, and fishing.

The museum provided a new use for a building associated with the area’s traditional economy.

It also represented a practical response to economic change: as the community sought new sources of employment and visitors, its history and cultural traditions became resources for future development.

The museum eventually evolved into the New Iceland Heritage Museum, which interprets the history of the settlement, the fishing industry, and the cultural development of the region.

Its current home in Gimli’s Waterfront Centre continues that mission.

Source: ⁠New Iceland Heritage Museum: History.

12. The Growth of Tourism and Cottage Country

By the second half of the twentieth century, Gimli had developed a strong identity as a summer destination.

Its location on Lake Winnipeg was central to that transformation.

The lake offered beaches, boating, fishing, sailing, and opportunities for seasonal recreation. Visitors from Winnipeg and other parts of Manitoba could reach Gimli by road, making it a practical destination for weekend trips and longer summer stays.

Cottage development expanded along the shoreline and in surrounding communities.

Seasonal residents became an important part of the local economy. Their presence supported restaurants, shops, construction businesses, property services, and recreational activities.

Tourism also encouraged the development of public spaces and attractions.

The harbour became a destination for visitors, while the waterfront offered views across the lake and access to recreational boating. Local businesses increasingly served both permanent residents and the summer population.

This seasonal pattern remains a defining feature of Gimli.

The community’s population and commercial activity increase during the warmer months as cottage owners and tourists return to the area.

That growth creates opportunities, but it also presents challenges. Businesses must manage seasonal demand, while the municipality must provide infrastructure and services for a population that fluctuates throughout the year.

Nevertheless, tourism has become one of the central pillars of Gimli’s modern identity.

The community’s appeal rests on a combination of natural scenery, cultural heritage, recreation, and the atmosphere of a historic lakeside settlement.

13. The Gimli Film Festival and the Growth of the Arts

Gimli’s cultural life is not limited to its Icelandic heritage.

The community has also developed a reputation for arts programming and public cultural events.

One of its best-known contemporary events is the Gimli International Film Festival, which has helped bring filmmakers, artists, and film enthusiasts to the community.

The festival makes use of Gimli’s distinctive waterfront setting, including outdoor screenings that take advantage of the lake as a backdrop.

This combination of cinema and landscape gives the event a character different from that of a conventional urban film festival.

Its presence also demonstrates how smaller communities can build cultural attractions that draw visitors from beyond their immediate region.

For Gimli, arts programming complements the established tourism economy. It encourages people to visit outside the traditional framework of beaches and cottage recreation, while providing opportunities for artists and local businesses.

Gimli’s galleries, heritage buildings, and public spaces contribute to an identity that combines recreation with cultural activity.

The result is a community whose appeal extends beyond the summer cottage season, even though summer remains its busiest period.

14. The Harbour Wall: History in the Public Landscape

One of Gimli’s distinctive attractions is the series of murals painted along the concrete wall protecting its harbour.

The wall serves a practical purpose by sheltering the harbour, but it has also become a public exhibition space.

The murals depict aspects of local history and community life, connecting the waterfront to the stories of the people who built the settlement.

They transform an ordinary piece of harbour infrastructure into an accessible outdoor gallery.

The project reflects a broader feature of Gimli’s approach to heritage: history is not confined to museums or archives. It is also incorporated into the everyday landscape.

Visitors walking along the waterfront encounter images that communicate the area’s relationship with Icelandic immigration, fishing, community development, and the lake itself.

The harbour wall also reinforces the relationship between Gimli’s past and present.

The waterfront once served primarily as an essential centre for transportation and commercial fishing. Today, it remains a working harbour while also functioning as a gathering place, recreational destination, and public cultural space.

Few features illustrate that transition more clearly.

15. Lake Winnipeg and the Fishing Industry

Lake Winnipeg is central to Gimli’s geography, economy, and identity.

The lake is one of the largest freshwater lakes in the world, and its fishery has supported communities along its shores for generations.

Commercial fishing was one of the foundations of Gimli’s early economy. It provided employment for fishers, processors, and businesses supplying equipment and services.

The harbour’s development supported this activity, while fish-packing operations connected the local catch to broader markets.

Fishing remains part of the community’s economic life, although its role has changed as transportation, technology, markets, and operating conditions have evolved.

The lake also supports recreational fishing and boating, helping sustain the tourism economy.

However, the future of the fishery depends on environmental and economic conditions. Water quality, ecological changes, fish populations, operating costs, and market demand all influence the industry.

Lake Winnipeg is a working environment as well as a scenic destination. Its importance to Gimli extends beyond the beaches and waterfront views that attract summer visitors.

The lake has shaped the community’s development for more than 150 years, and it remains one of the most important factors in its future.

16. Gimli Today: A Community Balancing Heritage and Change

Today, Gimli is a rural municipality in Manitoba’s Interlake region, situated approximately 75 kilometres north of Winnipeg.

The community combines a permanent residential population with a much larger seasonal presence during the summer months. Its economy includes tourism, retail, fishing, agriculture, industrial activity, and services for residents and visitors.

The former military base has been converted into an industrial and commercial site, while the harbour continues to support commercial fishers and recreational boaters.

The area also benefits from its proximity to Winnipeg, which makes it accessible to people seeking a seasonal residence or a quieter alternative to city life.

Gimli’s Icelandic heritage remains one of its defining characteristics.

The New Iceland Heritage Museum preserves and interprets the area’s history, while the Icelandic Festival continues to connect the community with its cultural roots.

Historic buildings, including Tergesen’s general store, provide tangible links to earlier generations.

At the same time, Gimli is not simply a historical settlement preserved in place. It is a living community whose needs continue to evolve.

Like many rural and recreational municipalities, it must balance development with the protection of its distinctive character. It must also respond to changing economic conditions, infrastructure requirements, environmental concerns, and the needs of permanent residents and seasonal visitors.

Its future will depend partly on how effectively it maintains that balance.

17. The Meaning of Gimli’s 150-Year History

In 2025, Gimli marked 150 years since the arrival of the first Icelandic settlers in 1875.

The anniversary represented an opportunity to reflect on the community’s development from a small pioneer settlement into an established municipality with a distinctive cultural identity.

The story began with immigration and the creation of New Iceland. It continued through difficult winters, a devastating epidemic, agricultural expansion, the arrival of the railway, the growth of commercial fishing, and the development of tourism.

The twentieth century brought additional transformations. The military base connected Gimli to Canada’s wartime and postwar aviation history, while its eventual closure forced the community to seek new economic opportunities.

Cultural institutions, festivals, heritage preservation, and tourism subsequently became important elements of Gimli’s public identity.

Throughout these changes, Lake Winnipeg remained a constant presence.

It provided food and transportation for the earliest settlers, supported the fishing industry, attracted summer visitors, and continues to shape the landscape and economy.

Gimli’s history also demonstrates the lasting influence of immigration. Icelandic settlers established a community whose traditions remain visible more than a century later, while Ukrainian, Polish, Hungarian, German, Indigenous, and other communities contributed to the region’s broader cultural development.

The result is a place that cannot be understood through a single historical event or cultural tradition.

Gimli is simultaneously an Icelandic-Canadian heritage centre, a historic fishing community, a former military location, an agricultural region, an industrial site, and a lakeside tourism destination.

Its name evokes a place from Norse mythology associated with refuge and renewal. Its actual history is more complicated, marked by hardship, adaptation, economic change, and the gradual construction of a lasting community.

That combination of cultural continuity and transformation is what makes Gimli an important part of Manitoba’s history.

For visitors, it offers beaches, a harbour, festivals, museums, and recreational opportunities. For historians, it provides a distinctive example of immigration, local governance, and community development in Western Canada.

For the people who live there, it remains a community shaped by its past but continually adapting to the demands of the present.

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