In 1888, Marion incorporated as a city. In 1889, the Marion Belt and Chingawasa Springs Railroad built a railroad from Marion north-east to Chingawasa Springs. A hotel was built near the place of the spa at Chingawasa Springs. A depot and restaurant were built too. Both Santa Fe and Rock Island had round trip fares from Chicago and western cities to Chingawasa Springs. The Panic of 1893 closed down the health spa and hotel, and businesses along the tracks never developed well. In 1893, the railroad stopped, and tracks were removed in 1910.