The Canadian Pacific Lumber Company was built by T.W. and T.F. Paterson in 1899 at the foot of Douglas Street on the north side of the tracks. In 1899 Perry Douglas Roe was hired as Manager and Robert Abernathy as Mill Superintendent. The mill was incorporated on February 2, 1900 with T.F. Paterson, Perry Douglas Roe, and Robert Abernathy as partners with a capital of $40,000.

In 1904, although the fire department tried to save the mill, it was destroyed by fire. It was rebuilt with a new Planing Mill and Dry Kilns and could then handle 150,000 feet of lumber in 10 hours. The buildings but not the machinery were insured. The owners decided to rebuild immediately so that workers could return to their jobs.

"[T]he town of Port Moody will not suffer by a catastrophe which overtook the only industry last week, and by which the large mill owned by the Canadian Pacific Lumber Company was totally destroyed by fire, as that Company has decided to rebuild at once." The Province, July 11, 1904, p.9

On February 27, 1913 5 Sikh men were killed and 3 wounded when a CPR westbound train, Engine 3537, crashed into The Canadian Pacific Lumber Company's yards. An inquiry of the accident found switch had not been repositioned properly after having freight cars delivered earlier. A stone marker near Pigeon Cove commemorates the men who died.

The Bell from Engine 3537 is at the Port Moody Station Museum.

In 1917 the mill was purchased and upgraded by Reynold's Shipping, Timber, and Insurance Agency Ltd.

It was renamed The Port Moody Lumber Co. in 1925.

In 1930 the mill burned down.