The Toronto, Simcoe and Muskoka Junction Railway (TS&MJ) was formed in 1869. Its line headed northeast from a junction at Allandale (now part of Barrie), curving around the tip of Lake Simcoe and passing through the townships which would eventually become Oro-Medonte on its way to Orillia, Washago, and ultimately Gravenhurst. Construction began in 1870, and in 1871 the company was leased to the Northern Railway of Canada and operated as a wholly owned subsidiary thereafter. Service began along the line later that year, with the first known railway station in the township being located at Hawkestone. A basic wooden station building was constructed in 1871, with more outbuildings constructed later. The Northern Railway of Canada would engage in a number of upgrades to the line throughout the early 1870s, such as the extension from Washago to Gravenhurst, as well as conversion of the line from Provincial gauge to the standard gauge. In 1875, the line was incorporated into the Northern Railway of Canada and became its Muskoka Branch.