In 1890, the Canadian Pacific Railway built the first Château Lake Louise on the moraine at the end of the lake. Easily accessible by rail, Lake Louise and the surrounding countryside soon developed into a tourist center. From here, expeditions started out to explore the rocky region on horseback. 

Mountaineers from England and the United States scaled the as yet unknown peaks. The present day Château Lake Louise was built in 1924 after a fire destroyed its smaller wooden predecessor. In the early days, horse-driven coaches - later to be superseded by trams - transported guests from the rail station down in the valley to the hotel six kilometers away.

In the 1920s, a road was built from Banff to Lake Louise. In the Bow River Valley, the holiday village of Lake Louise developed with nearly 400 permanent inhabitants.